POLL: Are Fibonacci numbers a worthless or expensive crutch when it comes to trading?

Are Fibonacci numbers a worthless or even expensive crutch when it comes to trading?

  • Yes

    Votes: 128 56.9%

  • No

    Votes: 97 43.1%
  • Total voters
    225
Quote from college_trad3r:

I can bet you they didn't. Researchers aren't traders, or they would stop researching and be making money already . Researchers don't take in account psychology of the markets, as they believe markets are "efficient", whatever that means :)
More...

EVERYTHING is taken into account, naive one. It is called MARKET PRICING.

But now I see stock_trad3r has now used another alias. It is almost impossible to think anyone else could have so little understanding about the realities of trading.

You may join my ignore list.
 
When you buy or sell a share of stock you are expecting others to see what your expectations are and to act accordingly.If conditions remain the same and your analysis is correct it may happen.
If sufficient numbers of traders use a certain method it will affect the future prices making the method more successful than random.
If there are sufficient numbers of believers then any method will be successful whether or nor the belief is rational or correctly founded.
If there were a method originated that truly predicted market future action it would in time become known and soon become ineffective. No one would bet against it except noobies.
There you go. As long as sufficient noobies enter the Ponzi scheme continues.
Now it becomes clear.
 
Quote from Landis82:

I would tend to agree with the above.
Been using Fibs since my old floor trader days in NYC.

That having been said, I'm amazed that people here on ET would go on and on for 21 pages about whether Fibs work or not.

Actually, cancel that thought.
It's not surprising one bit . . . After all, this is ET, home of . . .
More...
I won't pretend to know how you used them in your own trading, but I would guess their use was as consequential to your performance as was your lucky tie. Just my opinion, of course.
 
Do the seeds of a sunflower grow forming the Fibonacci spiral? Yes, of course. Can one predict where exactly each seed will be located in the plant? NO! There is a huge misunderstanding between stable stochastic patterns and the ability to predict the outcome of a random event. Everything, therefore, boils down to the lack of education, unfortunately. Fibonacci numbers are the probable points of concentration, but the distribution around these points varies. So, yes Fibonacci numbers as well as Gaussian distribution and many other stochastic models work well except they cannot predict the outcome of one particular run on the series of events.
 
And, BTW, the way the Fibonacci numbers are usually used for trading is completely idiotic! I use Fibs all the time, but not as the "retracement" lines on the chart.
 
Quote from TraderZones:

EVERYTHING is taken into account, naive one. It is called MARKET PRICING.

But now I see stock_trad3r has now used another alias. It is almost impossible to think anyone else could have so little understanding about the realities of trading.

You may join my ignore list.
More...

I bet you they didn't distinguish between pre-market, open, lunchtime and close either. Only traders know that the times at which you trade can be of great importance :D
 
Quote from MAESTRO:

And, BTW, the way the Fibonacci numbers are usually used for trading is completely idiotic! I use Fibs all the time, but not as the "retracement" lines on the chart.
More...

Exactly.
 
You must log in or register to reply here.
Back
Top