To identify support or resistance, you have to look back at the chart to find a significant pause in a price decline or rise. Then look forward to see whether a price halts or reverses as it approaches that level.
he Fibonacci indicator consists of Fibonacci retracement levels, which are 23.6%, 38.2%, 50%, 61.8% and 78.6% which are drawn between two price levels and can be used to indicate support and resistance in the market.
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