Automatic Daily Fibonacci v0.3

The Automatic Daily Fibonacci v0.3 indicator automatically plots dynamic Fibonacci retracement levels based on the highest and lowest price points over a specified daily lookback period. This tool is designed to save setup time and reduce manual errors by projecting standard Fibonacci levels around a calculated center line to identify potential support and resistance zones.

Usage

The indicator can be used to identify key intraday or multi-day price levels where reversals or continuations might occur. By default, it identifies the highest high and lowest low of the last two days (including the current day).

• Dynamic Levels: The Fibonacci levels (0.236, 0.382, 0.500, 0.618, 0.764, and 1.000) are plotted both above and below a center line (0.000).
• Trend Identification: Price action above the center line suggests a bullish bias relative to the lookback period, while action below suggests a bearish bias.
• Volatility Scaling: The range of the levels scales automatically as the high and low of the specified timeframe change, providing a real-time perspective on market structure.

Details

The script calculates the Fibonacci range based on two primary components: the "Fibonacci Lookback Length" and the "Fibonacci Centre Line Source."

The center line (0.000 level) is determined by taking the average of the selected source (e.g., HL2) over the lookback period. The upper range is defined as the distance between the highest high of the lookback period and this center line, while the lower range is the distance between the center line and the lowest low. Fibonacci ratios are then applied to these ranges to project the internal levels. This specific implementation ensures that levels remain proportional even when using different lookback lengths or source types.

Settings

• Timeframe For Fib Levels: Determines the higher timeframe from which the high and low prices are fetched (e.g., Daily, Weekly).
• Fibonacci Lookback Length: Sets the number of bars from the specified timeframe to include in the high/low and center line calculations.
• Fibonacci Centre Line Source: Selects the price source used to calculate the 0.000 level (e.g., Open, High, Low, Close, HL2, HLC3).

FAQ

How do I access Automatic Daily Fibonacci v0.3?

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

Can I change the levels to be weekly instead of daily?

Yes, by adjusting the "Timeframe For Fib Levels" setting to 'W', the indicator will calculate levels based on weekly price action.

What is the purpose of the center line?

The center line acts as a pivot point. The indicator calculates an upper range from the high to this line and a lower range from the line to the low, projecting Fibonacci retracements within both segments.