Fibonacci Time-Price Zones

The Fibonacci Time-Price Zones tool provides advanced chart visualization that integrates Fibonacci ratios with time and price geometry to identify potential market turning points and dynamic support/resistance zones.

Usage

The Usage section describes how the script can be used to analyze market structure through multiple geometric perspectives. The tool allows users to define two anchor points (A and B) that set the scale for the Fibonacci calculations.

• Zone Types: Users can select to display retracement levels (internal pullbacks), extension levels (external projections), or both simultaneously.
• Geometric Shapes: The interpretation of the Fibonacci levels changes based on the selected shape:
  • Circular: Generates semicircles radiating from point B. These are used to identify cyclical turning points where price meets a specific ratio in both time and price.
  • Orthogonal: Creates L-shaped intersections. These highlight specific "time-price" coordinates where horizontal price levels and vertical time intervals meet.
  • Sloped: Projects levels along the angle of the trendline. This is used to track support and resistance that evolves as time passes, maintaining a constant relationship with the trend's momentum.
  • Horizontal: Provides traditional static Fibonacci levels, useful for comparing time-price data against standard price-only analysis.

Details

The script's execution relies on normalizing the relationship between the vertical (price) and horizontal (time) axes.

• Scaling Mechanism: Because price scales vary significantly between assets (e.g., BTC vs. Penny Stocks), the indicator calculates an aspect ratio based on the proportional difference between the user-defined anchor points. This ensures that the circular geometry remains proportional regardless of the chart's zoom level or asset price.
• Geometric Foundations: The Circular shape utilizes logarithmic scaling with radial expansion to align with standard technical analysis circle tools. In contrast, the Orthogonal, Sloped, and Horizontal shapes use geometric progression scaling for linear extensions.
• Time Correspondence: For non-24/7 markets (like stocks), the script accounts for market gaps and closed sessions to ensure the temporal component of the Fibonacci ratio remains accurate relative to bar indices.

Settings

Fibonacci Levels

• Visibility: Toggle individual Fibonacci levels (0.236, 0.382, etc.) on or off.
• Level Value: Manually define the Fibonacci ratio for each level.
• Color/Linewidth: Customize the visual appearance and thickness of each level to emphasize key zones.

Setup

• Zone Type: Select between Retracement, Extension, or Both.
• Shape: Choose the visualization method (Circular, Orthogonal, Slope, or Horizontal).

Visual Settings

• Fill %: Controls the background opacity between Fibonacci levels (0% to 100%).
• Lines: Toggles for the primary Trendline (A-B), Extension line (B-C), and Retracement line (B-D).
• Labels: Toggles for point markers (A, B, C, D) and Fibonacci level percentage labels.

Time-Price Points

• A and B Points: These define the start and end of the primary trend. They can be set via the settings menu or by dragging markers directly on the chart.

FAQ

How do I adjust the indicator for different assets? The indicator's calculations are anchored to user-defined points. When switching assets with different price scales, you must adjust the A and B anchor points on the chart to recalibrate the geometry to the current price action.

Why don't the circles and horizontal lines always align perfectly? Circular and linear shapes use different mathematical scaling methods (radial vs. linear progression). While the tool optimizes for visual accuracy, these distinct geometric foundations mean they represent different perspectives of the same Fibonacci data.

How do I access this indicator? You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.