Fibonacci Time Extension Lines Drawing Object
Fibonacci Time Extension Lines are analytical drawing tools used to monitor support and resistance levels as well as breakout price activity. Support indicates a low or series of troughs where price activity has not penetrated. Resistance indicates a high or series of peaks where price activity has not penetrated. Identifying and monitoring these two levels can assist in determining whether a market will stay on course or reverse its course. Penetration through a support line or resistance line may indicate a market reversal. Support and resistance lines can also be used in conjunction with Percent Retracement analysis to identify past trend correction patterns. These patterns can then assist in predicting future patterns.
You can also use the shortcut menu for a selected object component (identified with small squares) to change the drawing properties such as Color, Style, Weight, and any object specific settings.
Drawing a Fibonacci Time Extension Lines Object
Drawing objects are applied to a chart to assist with data analysis. See About Drawing Objects for more details.
- Activate a Chart Analysis window.
- Use the Drawing > Fibonacci Time Extension Lines menu sequence.The pointer will change to the shape of Time Extension Lines icon.
- Click where you want to add the Time Extension Lines and drag your pointer to the left or right to position the drawing object.
- Click where you want the Time Extension Lines to begin.
- Move the pointer up, down, left, or right to position the Time Extension Lines, then click again to add.
Moving a Fibonacci Time Extension Lines
After a Fibonacci Time Extension Lines is applied to a chart, you can reposition the drawing object at any time to evaluate another group of bars.
- Activate a Chart Analysis window containing a Fibonacci Time Extension Lines object.
- Select the Fibonacci Time Extension Lines (small squares in the middle of each Fibonacci line confirms the drawing object is selected) and drag horizontally to reposition.
Customizing a Fibonacci Time Extension Lines Settings
- Activate a Chart Analysis window containing a Fibonacci Time Extension Lines object.
- Right-click on a Fibonacci Time Extension Lines object and select Edit 'Fibonacci Time Extension Lines' from the menu.
- Click the Settings tab.
- Under Percentage, select a check box to enable the display of the Major Trend, Retracement, Base, and each parallel horizontal price line.
- Enter a percentage (in decimal format) in the box corresponding to the selected check box. This value determines at what point a support/resistance line intersects the underlying trendline from a base retracement level.
- In the drop-down lists, select a Line Color, Line Style, and Line Weight for each segment.
- Selecting the Use the following color, style and weight for all lines check box will allow the matching properties to be used for all lines. The individual line properties will become unavailable (grayed out).
- Select the Set as Default check box to use these settings as the default for all future support/resistance lines.
- Click OK.
You can also use the shortcut menu for a selected object to change available settings.
Related Topics
Customizing the Alerts of a Drawing Object
Customizing the Labels of a Drawing Object