Auto Fibonacci Mode

The Auto Fibonacci Mode indicator provides an automated solution for plotting Fibonacci retracement and extension levels, enabling traders to identify potential support and resistance zones dynamically. By utilizing a lookback mechanism and trend detection based on moving averages, the tool streamlines technical analysis by automatically adjusting levels to match current market volatility and direction.

Usage

The Auto Fibonacci Mode indicator is used to identify key price levels where reversals or trend continuations might occur. Traders can use the automated levels to set profit targets or stop-loss points based on standard or custom Fibonacci ratios.

• Trend Identification: The script automatically determines whether to plot levels from high-to-low or low-to-high based on the slope of a selected moving average.
• Support & Resistance: Use the generated lines to find areas where price action frequently reacts. The "Show H/L" feature allows for a clear view of the range used for calculations.
• Customization: Users can toggle up to 16 different Fibonacci levels and adjust the visual appearance, including gradient colors and price labels, to fit their chart theme.

Details

The indicator calculates its levels based on the highest high and lowest low found within a user-defined lookback period.

• Auto Mode: In this mode, the script calculates a moving average (EMA, SMA, RMA, HMA, or WMA) to determine the current trend direction. If the moving average is rising, it assumes a specific orientation for the Fibonacci grid; if falling, the orientation is flipped.
• Manual Override: The "Reverse" setting allows users to manually flip the Fibonacci sequence regardless of the automated trend detection.
• Visualization: Levels are projected forward to provide a clear reference for upcoming price action. The gradient coloring helps distinguish between deep retracements and extension levels.

Settings

General Settings

• Lookback: Sets the number of bars used to determine the highest and lowest price points.
• Reverse: Manually reverses the direction of the Fibonacci levels.
• Auto: Enables or disables automated trend detection via moving averages.
• Line back: Offsets the starting point of the Fibonacci lines on the chart.
• Length: The period used for the trend-detecting moving average.
• Auto (Type): Selects the calculation method for the trend (EMA, SMA, RMA, HMA, or WMA).

Appearance & Levels

• Fib Label: Toggles the display of the Fibonacci ratio labels.
• Price: Toggles the display of the specific price value for each level.
• Show H/L: Displays the highest and lowest lines used as the 0 and 1 boundaries.
• Level Toggles (l1 - l16): Allows users to enable or disable specific Fibonacci ratios.

FAQ

How do I change the trend detection method?

You can navigate to the settings and use the "Auto" dropdown menu to select between different moving average types like EMA, SMA, or HMA to better suit your trading style.

Can I use custom Fibonacci ratios?

Yes, the script allows you to enable up to 16 levels. While the default ratios follow standard technical analysis, you can modify the inputs to reflect any specific price percentage you require.

How do I access Auto Fibonacci Mode?

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