PD Fibonacci Retrace

The PD Fibonacci Retrace indicator plots the previous day's high, low, and key Fibonacci retracement levels on the current intraday chart to help traders identify potential support and resistance zones based on prior price action.

Usage

The tool is primarily used by intraday traders to gauge the current price position relative to the previous day's range. Traders often look for reactions at the 38.2%, 50%, and 61.8% retracement levels to determine if a trend is continuing or reversing. For example, if the price holds above the 50% level after a pullback, it may indicate bullish strength, whereas a break below could signal a shift in momentum.

Details

The script fetches the high and low prices from the daily timeframe ("1D") using security requests. It then calculates three internal Fibonacci levels between these extremes:

• 38.2% Level: Calculated as a 61.8% offset from the high.
• 50% Level: The exact midpoint of the previous day's range.
• 61.8% Level: Calculated as a 38.2% offset from the high.

The indicator also includes built-in alert conditions for price crossovers of the 50% retracement level, allowing for automated monitoring of mid-range breaks. This implementation was inspired by concepts originally shared on ProRealCode.

Settings

• High/Low Plots: These visual lines represent the previous day's maximum and minimum price points.
• Retracement Plots: These lines represent the 38.2%, 50%, and 61.8% levels calculated from the previous day's range.

FAQ

How do I use the PD Fibonacci Retrace levels?

Traders use these levels as dynamic support and resistance. The 50% level is often viewed as the "equilibrium" point of the previous day's volatility.

Can I change the Fibonacci ratios?

The current version uses fixed standard ratios (38.2%, 50%, 61.8%). To use different ratios, the source code calculations would need to be adjusted.

How can I access PD Fibonacci Retrace?

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