How to Draw Fib Retracement Areas Indicator on MT4

MT4 Trading Platform Line Studies ToolBar - Fib Retracement Indicator

To calculate the price pull backs on the chart for example the MT4 we use Fib retracement levels tool as illustrated on the screenshot below.

If you want to analyze some charts using this Fibonacci retracement line studies tool, it is already provided for in the MT4 platform, the following procedure is used to add this Fibonacci retracement tool on the MetaTrader 4 Software. On The MT4 software this fibonacci retracement tool will automatically draw the retracement levels on a chart once it is placed on the chart.

To add this fibonacci retracement technical indicator tool on the MT4 platform, you can use the following short cut technique:

1. Click Insert 2. Click Fibonacci 3. Click Retracement

After adding this fibonacci retracement tool on the MT4 software this fibonacci retracement indicator can then be accessed from 'MetaTrader 4 Line Studies Tool Bar' as illustrated below.

This fibonacci retracement tool is located on MT4 (Line Studies Toolbar), to go to this MetaTrader 4 Line Studies tool bar click 'View' at the tops left corner of MT4 next to file, then click 'Tool-Bars', Then Check 'Line Studies'. You can learn how to use MetaTrader 4 Line Studies Tool Bar on the MT4 platform using a demo practice account.

Shown Below is an example of the Fibonacci retracement tool, we always draw the fibonacci retracement indicator between two chart points, point 1 and point 2, in direction of the trend as shown below.

How to Place Fib Retracement on a Chart

To Place this fibonacci retracement tool on a chart, click on the button shown above on MT4 software. Then select 2 chart points, the first point is where the trend starts and the second point is where the trend pull back is starting.