How to Draw CFD Fibonacci Expansion on Up CFD Trend

Drawing Fibonacci Expansion Levels CFD Indicator on an Upward CFD Trend

We use CFD Fibonacci Expansion levels to estimate where the cfd trend movement will reach. There are 2 oftenly used CFD Fibonacci Expansion levels: 61.8%CFD Fibonacci Expansion Level & 100% CFD Fibonacci Expansion Level, these CFD Fibonacci Expansion Levels are used for setting take profit levels.

On the CFD Fibonacci Expansion indicator example illustrated and shown below you can see that the CFD Fibonacci Expansion technical indicator is plotted along the direction of the cfd trend, since the cfd trend is up - the CFD Fibonacci Expansion indicator is drawn upwards.

These CFD Fibonacci Expansion levels are shown as horizontal lines above the CFD Fibo Expansion technical indicator, showing profit-taking areas. In the cfd example illustrated below if you had used of 100.00% CFD Fibo Expansion level you would have made a good profit from the trade set-up.

How to Draw CFD Fib Expansion on Upward CFD Trend - How to Draw CFD Fibonacci Expansion on Up CFD Trend

From the above CFD Fibonacci Expansion indicator tool example, the upward cfd trend continued & both 61.80% and 100.0% CFD Fibonacci Expansion levels were all hit after which the cfds price retraced again after getting to the 100.00% CFD Fibonacci Expansion level.

From the CFD Fibo Expansion indicator tool examples above, after plotting this CFD Fibonacci Expansion tool there are two levels that are used to show the profit taking areas, these two CFD Fibonacci Expansion zones are plotted as horizontal lines across the cfds chart marked as 61.8%CFD Fibonacci Expansion Level & 100% CFD Fibonacci Expansion Level.

Explanation of How to Draw CFD Fibonacci Expansion Levels Technical Indicator on CFDs Charts

We use CFD Fibonacci Expansion levels to estimate where the cfd trend movement will reach. There are Two important CFD Fibo Expansion levels: 61.8% & 100% CFD Fibonacci Expansion Levels, these are used for taking profit.

To draw CFD Fibonacci Expansion levels on the cfds chart we wait until the cfds price retracement is complete & the cfds price starts to move in original direction of the CFD trend. Where the cfds price retracement reaches is used as chart point 3. CFD Fibo Expansion Technical Indicator is plotted using three chart points as shown on the cfd example displayed below of how to plot the CFD Fib Expansion Technical Indicator Tool.

The CFD Fibonacci Expansion example displayed below shows the 3 Chart Points where the CFD Fibonacci Expansion technical indicator is drawn, marked as Chart point 1, Chart point 2 and Chart point 3.

Chart point 1 is where the cfd trend started, Chart point 2 is where the cfd trend pulled back & retraced and Chart point 3 is where the cfd retracement reached as shown on the CFD Fibonacci Expansion Indicator Tool example shown below.

How to Draw CFDs Trading Fib Expansion Technical Indicator on Upwards CFD Trend

Please note where these CFD Fib Expansion zones are plotted - CFD Fibonacci Expansion zones are drawn above the Fibonacci indicator, these are the chart points where a trader will set the takeprofit orders using these CFD Fibonacci Expansion Levels - 61.80% and 100.00% CFD Fibo Expansion Levels.