Fibonacci Retracement Calculator

Calculate retracement & extension levels for swing trading

How to use this calculator:
1 Enter the Swing High and Swing Low prices from your chart (the calculator auto-detects the trend)
2 View Retracement Levels (23.6% - 78.6%) for potential support/resistance during pullbacks
3 Use Extension Levels (127.2% - 261.8%) as profit targets beyond the original swing

Swing Points

Uptrend: Retracements are pullback support levels Range: $7.25 (7.37%)

Fibonacci Levels Auto-calculates

Extension Targets
261.8% $0.00 —
200.0% $0.00 —
161.8% $0.00 —
127.2% $0.00 —
Swing Points & Retracements
100.0% $0.00 Swing High
78.6% $0.00 —
61.8% Golden $0.00 —
50.0% $0.00 —
38.2% Strong $0.00 —
23.6% $0.00 —
0.0% $0.00 Swing Low

What is Fibonacci Retracement?

Fibonacci retracement is a technical analysis method that uses horizontal lines to indicate areas of support or resistance at the key Fibonacci levels before the price continues in the original direction. These levels are derived from the Fibonacci sequence and are expressed as percentages: 23.6%, 38.2%, 50%, 61.8%, and 78.6%.

The 61.8% level (golden ratio) is considered the most significant because it appears throughout nature and financial markets. When price retraces to this level and bounces, it often signals a strong continuation of the original trend.

How to Use Fibonacci Levels in Trading

  • Identify the trend: Draw Fibonacci from swing low to swing high (uptrend) or swing high to swing low (downtrend)
  • Wait for retracements: Look for price to pull back to 38.2%, 50%, or 61.8% levels
  • Confirm with other indicators: Combine with candlestick patterns, volume, or moving averages
  • Set profit targets: Use extension levels (127.2%, 161.8%) for taking profits
  • Place stop losses: Below the next Fibonacci level or below 78.6% for long positions

Fibonacci Levels Explained

Level Type Significance
23.6% Shallow Retracement Minor pullback in strong trends
38.2% Moderate Retracement First major support/resistance
50.0% Mid-Point Psychological level (not true Fib)
61.8% Golden Ratio Most significant—strongest S/R
78.6% Deep Retracement Last defense before reversal
127.2% First Extension Conservative profit target
161.8% Golden Extension Most common profit target
261.8% Extended Target Aggressive target in strong moves

Frequently Asked Questions

Fibonacci retracement is a technical analysis tool that uses horizontal lines to indicate potential support and resistance levels. These levels are derived from the Fibonacci sequence and represent percentages (23.6%, 38.2%, 50%, 61.8%, 78.6%) of a price move. Traders use them to identify where a pullback might reverse and continue in the original trend direction. The tool is particularly useful for swing traders looking to enter trades at optimal pullback levels.

To calculate Fibonacci retracement levels: 1) Identify the swing high and swing low of a price move. 2) Calculate the price range (High - Low). 3) Multiply the range by each Fibonacci ratio (0.236, 0.382, 0.5, 0.618, 0.786). 4) For an uptrend retracement, subtract these values from the high to get support levels. For a downtrend retracement, add them to the low to get resistance levels. Example: If High = $100 and Low = $80 (range = $20), the 61.8% level = $100 - ($20 × 0.618) = $87.64.

The 61.8% level is called the "golden ratio" (or phi) because it's derived from dividing a number in the Fibonacci sequence by the number that follows it (e.g., 89/144 ≈ 0.618 or 61.8%). This ratio appears throughout nature—in the spiral of shells, the arrangement of leaves, and the proportions of the human body. In trading, it's the most watched Fibonacci level because price frequently finds strong support or resistance here, creating a self-fulfilling prophecy effect.

Retracements measure potential pullback levels within a trend (0% to 100% of the move) and are used to find entry points. Extensions project price targets beyond the original move (above 100%) and are used for profit targets. For example, if you enter a long trade at the 61.8% retracement, you might set your profit target at the 161.8% extension level. Think of retracements as "where to get in" and extensions as "where to get out."

The 38.2%, 50%, and 61.8% retracement levels are most reliable because they're watched by the majority of traders. The 61.8% (golden ratio) is particularly significant. For extensions, 161.8% is the most commonly used profit target. Reliability increases when Fibonacci levels align with other technical indicators—look for "confluence" where Fibonacci levels overlap with horizontal support/resistance, moving averages, or trendlines for higher-probability trades.

Yes, Fibonacci levels work on all timeframes from 1-minute charts to monthly charts. However, levels from higher timeframes (daily, weekly) tend to be more significant because they're watched by more traders. A best practice is to identify Fibonacci levels on multiple timeframes—when a level on a 4-hour chart aligns with one on a daily chart, that level becomes stronger. Swing traders typically focus on daily/weekly timeframes, while day traders use hourly and lower.

A swing high is a peak with lower highs on both sides—the price rose, reached a top, and then declined. A swing low is a trough with higher lows on both sides—the price fell, reached a bottom, and then rose. For Fibonacci analysis, choose significant swings that represent clear trend movements. Avoid minor fluctuations within the larger trend. When in doubt, zoom out to see the bigger picture or use higher timeframe swing points for more reliable levels.

Absolutely! Fibonacci retracement works for any market with price charts—stocks, forex, cryptocurrencies, commodities, and indices. The mathematical ratios apply universally because they reflect human psychology and crowd behavior, which is consistent across all markets. For forex and crypto, you may want to use more decimal places (3-4) due to smaller price movements. The tool is especially popular in forex trading where price often respects Fibonacci levels with remarkable precision.

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