How to Draw Fibonacci Retracement Levels on MT4

Fibonacci Retracement Indicator

To calculate these xauusd price pullbacks on the gold chart for example the MT4 we use Fibonacci retracement levels tool/indicator as shown on the image below.

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

To add this fibonacci retracement indicator tool on the MT4 platform, you can use the following shortcut method:

1. Click Insert2. Click Fibonacci3. Click Retracement

After adding this fibonacci retracement tool on the MetaTrader 4 platform this fibonacci retracement gold indicator can then be accessed from "MT4 Line Studies Tool Bar" as shown below.

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

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 the direction of the gold trend as shown below.

How to Place Fibonacci Retracement on a XAUUSD Chart

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