Fibonacci Progression with Breaks

Fibonacci Progression with Breaks measures how far price is willing to stretch. It anchors a central level, flags each significant deviation from it, then raises the requirement: the next deviation must clear a threshold scaled by the following Fibonacci sequence value, measured either in raw points or as a multiple of a 200-period ATR. The design is a progression-style take on Fib projection analysis — levels that expand with the move instead of waiting for it.

How to Trade the Fibonacci Progression with Breaks?

• Checkmark prints: price deviated significantly upward during an uptrend — momentum is extending with the trend.
• Cross prints: the bearish counterpart — a significant downward deviation while the central level points lower.
• Central level direction: above its previous value reads as an uptrend, below it as a downtrend — the tool's own trend filter.
• Break label: once deviations exceed the user-set Sequence Length, a break marks the breakout, the central level snaps to the current close, and the Fibonacci multiplier resets to 1.
• Upper and lower extremities: plotted around the central level at the threshold distance, they behave as adaptive support and resistance.

Fibonacci Progression with Breaks Settings

• Method: "Manual" or "Atr" — how the deviation distance is defined.
• Size: the deviation distance itself; direct points under Manual, an ATR multiplier under Atr.
• Sequence Length: the maximum number of significant deviations tracked before a break resets the progression.

Frequently Asked Questions

Why does each signal require a bigger move than the last?

Every flagged deviation advances the multiplier to the next Fibonacci sequence value, so thresholds grow as a trend matures. Late signals therefore represent genuinely unusual extensions rather than routine fluctuations.

What should I do when a break label appears?

A break says the old central level no longer describes the market: the level re-bases at the current close and the progression starts over. Many traders treat that moment as a prompt to reassess for continuation or a fresh trend leg — pairing the tool with the Fibonacci Trailing Stop covers the exit side with the same number family.

Is Fibonacci Progression with Breaks free?

Yes — you can pick it up in the free LuxAlgo Library and push it into Quant, LuxAlgo's AI, from this page to watch the progression and its resets play out live.