Pisan Fibonacci has been dead for 300 years yet modern day traders of the Forex (foreign Exchange) market, still apply his methods daily as they trade Yen for Euro's and Aussies for dollars.
February 19, 2006 (Press Release) --
Forex Traders profit from Dead Italian Mathematician
The forex (foreign exchange) market is the largest trading market in the world,
estimated at 1.8 Trillion dollars daily; it dwarfs the next competitor,The New York
Stock Exchange (NYSE) by 2 to 1 in the dollar per day turnover stakes.
It is the modern day warrior battlefield and from lone day traders to the largest
investment institutions and probably your local main street bank, all are playing this
24 hour, 5 day a week market and many are using the mathematical formula‘s of a
long dead Italian mathematician called Leonardo Pisano, (c. 1170 - Pisa, 1250),
nicknamed Fibonacci to improve their profits.
Leonardo Fibonacci became a world renowned mathematician at the age of 32 publishing
a book called Liber Abaci, or Book of Calculation. Amongst other things this book outlined
the Fibonacci number sequence, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144… etc, which was
originally introduced to solve a problem in relation to the growth of a population of rabbits.
Of major importance to this sequence of numbers where every next number is the sum
of the proceeding two, 0, 1 (0+1), 2 (1+1), 3 (2+1), 5 (3+2), 8 (5+3), 13 (8+5), etc is
the "Fibonacci ratios", derived from comparing the relationship between each number and
each alternate number, and even each number to the one four places to the right. By doing
this we arrive at some fairly consistent ratios.
The important ones are .236, 50, .382, .618, .764, 1.382, 1.618, 2.618, and 4.236
It turns out that the ratios are mathematical principles prevalent in nature around us, and is
also in man-made objects. Fibonacci numbers appear in ancient buildings, in plants, planets,
molecules, the dimensions of human bodies, and of course foreign exchange price charts
Serious Foreign exchange traders use these ratios daily in there trading to gauge price
support levels and plot profit target objectives. Trading millions of dollars a day with the aid
of this ancient mathematical formula
Metatradertools.com (www.metatradertools.com) presents the first of a series of articles from
world respected Fibonacci Trader Neal Hughes – The Fib Master, is an expert Fibonacci Trader
and has spent many years applying the principles of Fibonacci ratios to the financial markets
to gauge safe entry and profitable exit positions
Along with other Technical Analysis indicators, Mr. Hughes outlines in this first article trading
methods using the Fibonacci formula to bank profits before the market turns and evaporates them.
A full copy of the article is at www.metatradertools.com/wordpress
Additional Info
Metatradertools.com (www.metatradertools.com) is a supplier of third party software to the Metatrader forex trading platform and a forex information portal for active traders.
Forex Traders profit from Dead Italian Mathematician
The forex (foreign exchange) market is the largest trading market in the world,
estimated at 1.8 Trillion dollars daily; it dwarfs the next competitor,The New York
Stock Exchange (NYSE) by 2 to 1 in the dollar per day turnover stakes.
It is the modern day warrior battlefield and from lone day traders to the largest
investment institutions and probably your local main street bank, all are playing this
24 hour, 5 day a week market and many are using the mathematical formula‘s of a
long dead Italian mathematician called Leonardo Pisano, (c. 1170 - Pisa, 1250),
nicknamed Fibonacci to improve their profits.
Leonardo Fibonacci became a world renowned mathematician at the age of 32 publishing
a book called Liber Abaci, or Book of Calculation. Amongst other things this book outlined
the Fibonacci number sequence, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144… etc, which was
originally introduced to solve a problem in relation to the growth of a population of rabbits.
Of major importance to this sequence of numbers where every next number is the sum
of the proceeding two, 0, 1 (0+1), 2 (1+1), 3 (2+1), 5 (3+2), 8 (5+3), 13 (8+5), etc is
the "Fibonacci ratios", derived from comparing the relationship between each number and
each alternate number, and even each number to the one four places to the right. By doing
this we arrive at some fairly consistent ratios.
The important ones are .236, 50, .382, .618, .764, 1.382, 1.618, 2.618, and 4.236
It turns out that the ratios are mathematical principles prevalent in nature around us, and is
also in man-made objects. Fibonacci numbers appear in ancient buildings, in plants, planets,
molecules, the dimensions of human bodies, and of course foreign exchange price charts
Serious Foreign exchange traders use these ratios daily in there trading to gauge price
support levels and plot profit target objectives. Trading millions of dollars a day with the aid
of this ancient mathematical formula
Metatradertools.com (www.metatradertools.com) presents the first of a series of articles from
world respected Fibonacci Trader Neal Hughes – The Fib Master, is an expert Fibonacci Trader
and has spent many years applying the principles of Fibonacci ratios to the financial markets
to gauge safe entry and profitable exit positions
Along with other Technical Analysis indicators, Mr. Hughes outlines in this first article trading
methods using the Fibonacci formula to bank profits before the market turns and evaporates them.
A full copy of the article is at www.metatradertools.com/wordpress
Additional Info
Metatradertools.com (www.metatradertools.com) is a supplier of third party software to the Metatrader forex trading platform and a forex information portal for active traders.
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