Using Fibonacci time studies to forecast prices

Fibonacci analysis can be enhanced by using time projections. Fibonacci time forecasts are applied to a chart like other Fibonacci studies, and work best when combined with either a retracement or fan study. When you are in a trade, the time study will help you watch for points in which reversals are likely to occur. When you are looking for new trade opportunities with a retracement or fan study, the time forecast can add to the probability of a successful outcome. Time forecasts also add weight to potential support or resistance levels, and help identify when a bounce or change of trend could appear. Knowing where and when you may want to pay the most attention to your analysis is a great way to optimize your trading efforts. A time forecast uses the Fibonacci number series (1,1,2,3,5,8,13,21…) to identify potential “areas of interest” in the future. They are applied very easily to a chart at a significant price bottom or top. Usually it is applied at the same price point you would use to attach the first anchor point of a Fibonacci retracement or fan study. For the rest of the article and a video, click here: [url]http://www.pfxglobal.com/video-archives/video-03-04-fibonacci-time-projections.html[/url] [IMG]http://www.pfxglobal.com/images/john/03042008time2small.png[/IMG]