Attachments: What is the Differences between Fibonacci Fan and Fibonacci Arcs

What is the Differences between Fibonacci Fan and Fibonacci Arcs

#1
First Post: Oct 13, 2006 11:16pm Oct 13, 2006 11:16pm

archangel
| Joined Aug 2006 | Status: Trader | 24 Posts

Hi guys, i just wanted to ask what is the differences between these 2 indicators. Hope you guys can explain to me. Thanks

#2
Oct 14, 2006 1:44pm Oct 14, 2006 1:44pm

MatthewA
| Joined May 2006 | Status: Trader | 7 Posts

You can look them both up in the dictionary section of the investopedia website.

If you're looking for a more detailed explanation maybe someone else can help you.

#3
Sep 4, 2007 11:08am Sep 4, 2007 11:08am

jjk2
| Membership Revoked | Joined Jul 2007 | 427 Posts

there are none. they are both as "useless" as any other technical analysis tool.

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#4
Sep 12, 2007 5:04am Sep 12, 2007 5:04am

gundeji juli
| Joined Aug 2007 | Status: Fxdon | 9 Posts

i think both are useless

#5
Nov 30, 2007 5:22am Nov 30, 2007 5:22am

sleep1Iopen
Joined Nov 2007 | Status: Trader | 537 Posts

Quoting jjk2

Disliked

there are none. they are both as "useless" as any other technical analysis tool.

Ignored

Best learn your fibs Daniel son "grasshopper"

#6
Mar 29, 2008 2:43am Mar 29, 2008 2:43am

ogom
| Joined Mar 2008 | Status: Trader | 11 Posts

WEATHER FIBONACCI NUMBER ARE USELESS OR NOT. I BELIEVE HE SHOULD ACTULLY KNOW WHAT THER MEAN AND DECIDE IF IT IS USELESS TO HIM OR NOT. WELL IF U REALLY WANNA KNOW ABOUT FIBONACCI U CAN LEARN ABOUT IT WITH THIS LINK.
http://www.babypips.com/school/fibonacci_who.html OR YOU CAN CHECK OUT THIS PDF FILE http://www.analistademercado.com.br/Fibonacci01.pdf

IF ALL THIS DOES NOT EPPLAIN WHAT U ARE LOOKING FOR I SUGGEST THAT YOU GOOGLE SEARCH IT. GOODLUCK !

#7
Mar 29, 2008 6:18am Mar 29, 2008 6:18am

auxesis
Joined Apr 2007 | Status: (Latin: statūs), rank, state | 3,127 Posts

Quoting archangel

Disliked

Hi guys, i just wanted to ask what is the differences between these 2 indicators. Hope you guys can explain to me. Thanks

Ignored

Archangel,

Fib fans and arcs deal with time price analysis, hopefully the following charts will shed some light on the makeup and thoughts behind their use. Both deal with time (the number of bars being represented by the time frame of the chart) and the number of pips being measured.

Fib fans (see chart 1) mark the fib measure of the move and take lines starting from the origin point of the move and project lines through the points where the respective fib ratios intersect the “y” axis. If you notice these are also marked by the fib time projection intersections.

If you will notice the line that bisects the .5 fib ratio you will notice that it travels and reaches the 200% in time mark intersection of the top of the move. These are slopes and are the basis of Speed lines, Time lines, DGL’s ( dynamic Gann lines) and such.

Fib fans mark areas where time and price are square, these areas are where price should react, not necessarily reverse.

To understand Arcs, you need to bring up your Pythagorean math as the arc can be set to a scale. The length measurement that the arc uses is set to the Hypotenuse of the right angle formed. See fig 2.

In fig. 3 you can see how the 100% arc line intersects the horizontal line of the bottom or start of the move at 295 bars out in time. This equals the Hypotenuse divided by the scale of the arc, here 5.

Basically the Fib Arc tool is a projection tool, that can measure out in fib ratio’s in relation to the scale of the chart being displayed.

There are many thoughts and disciplines that are seen in trading. Those that think all movement is random, and those that believe there is structure to market movements. One side of analysis in the structured realm deals with market geometry. In which waves or price movements can be measured using natural laws of mathematics and physics.

These are some of the basic tools that fall into that realm.

Hope this helps, it’s not the definitive answer, just a start on where to look. There’s a tremendous amount of study one needs to really understand them.

Fwiw,

a

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#8
Mar 29, 2008 2:06pm Mar 29, 2008 2:06pm

ActioReactio
| Joined Oct 2007 | Status: Trader | 38 Posts

Quoting auxesis

Disliked

Archangel,

Fib fans and arcs deal with time price analysis, hopefully the following charts will shed some light on the makeup and thoughts behind their use. Both deal with time (the number of bars being represented by the time frame of the chart) and the number of pips being measured.

Fib fans (see chart 1) mark the fib measure of the move and take lines starting from the origin point of the move and project lines through the points where the respective fib ratios intersect the “y” axis. If you notice these are also marked by the fib time projection intersections.

If you will notice the line that bisects the .5 fib ratio you will notice that it travels and reaches the 200% in time mark intersection of the top of the move. These are slopes and are the basis of Speed lines, Time lines, DGL’s ( dynamic Gann lines) and such.

Fib fans mark areas where time and price are square, these areas are where price should react, not necessarily reverse.

To understand Arcs, you need to bring up your Pythagorean math as the arc can be set to a scale. The length measurement that the arc uses is set to the Hypotenuse of the right angle formed. See fig 2.

In fig. 3 you can see how the 100% arc line intersects the horizontal line of the bottom or start of the move at 295 bars out in time. This equals the Hypotenuse divided by the scale of the arc, here 5.

Basically the Fib Arc tool is a projection tool, that can measure out in fib ratio’s in relation to the scale of the chart being displayed.

There are many thoughts and disciplines that are seen in trading. Those that think all movement is random, and those that believe there is structure to market movements. One side of analysis in the structured realm deals with market geometry. In which waves or price movements can be measured using natural laws of mathematics and physics.

These are some of the basic tools that fall into that realm.

Hope this helps, it’s not the definitive answer, just a start on where to look. There’s a tremendous amount of study one needs to really understand them.

Fwiw,

a

Ignored

This is as fine a discussion as you will find on the subject. An excellant post, auxesis.

I will add only this, fib arcs, while an excellent tool in the hands of the right person, often falls short of potential because of scaling issues. Most chart packages do not allow for the proper scaling of charts thus the arcs will become distorted and rendered useless. Metatrader 4 is particularly difficult to work with in this regard.

#9
Mar 29, 2008 2:52pm Mar 29, 2008 2:52pm

smjones
Joined Mar 2006 | Status: THANK YOU MERLIN,TWEE and FF Team | 4,603 Posts

Quoting ActioReactio

Disliked

This is as fine a discussion as you will find on the subject. An excellant post, auxesis.

I will add only this, fib arcs, while an excellent tool in the hands of the right person, often falls short of potential because of scaling issues. Most chart packages do not allow for the proper scaling of charts thus the arcs will become distorted and rendered useless. Metatrader 4 is particularly difficult to work with in this regard.

Ignored

What is the problem with the scaling? Is it the log type scale? In the properties section the scale can be set 1 to 1 would that help?

#10
Mar 29, 2008 3:23pm Mar 29, 2008 3:23pm

Gnat
Joined Jun 2007 | Status: Unconventionable Conventionist | 2,768 Posts

Hey Auxexis!

That was really outstanding! If every question would be adressed with that combo of knowledge and vigour this would be an even happier place!

Have a nice weekend!
Gnat

#11
Edited 5:12pm Mar 29, 2008 4:53pm | Edited 5:12pm

auxesis
Joined Apr 2007 | Status: (Latin: statūs), rank, state | 3,127 Posts

ActioReactio & Gnat,

Thanks for the kind words, but when i looked over the post i noticed the arc charts were in err, so here's a more simplistic view of the arcs set in 1X1 scale.

Obviously if we measure the Y axis it should equal the X axis, or in scale. The hypotenuse measure comes into play when we measure the arc off the 3rd side of the triangle.

Sorry for the error in the original post, hadn't had enough coffee this morning when I put that together.

Good weekend all,

a

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#12
Jun 11, 2010 1:23pm Jun 11, 2010 1:23pm

taq
| Joined Apr 2009 | Status: Trader | 157 Posts

An excellant post, auxesis.

#13
Nov 24, 2010 12:30am Nov 24, 2010 12:30am

FX4Newbies
| Commercial User | Joined Apr 2010 | 2,840 Posts

Quoting auxesis

Disliked

Archangel,

Fib fans and arcs deal with time price analysis, hopefully the following charts will shed some light on the makeup and thoughts behind their use....

Ignored

Very well done Auxesis.

FX4Newbies

Trade what you see, not what you think or feel. Let the market come to you.

#14
Nov 28, 2010 10:44am Nov 28, 2010 10:44am

kundrit
| Joined Sep 2010 | Status: Trader | 45 Posts

Quoting auxesis

Disliked

Archangel,

Fib fans and arcs deal with time price analysis, hopefully the following charts will shed some light on the makeup and thoughts behind their use. Both deal with time (the number of bars being represented by the time frame of the chart) and the number of pips being measured.

Fib fans (see chart 1) mark the fib measure of the move and take lines starting from the origin point of the move and project lines through the points where the respective fib ratios intersect the “y” axis. If you notice these are also marked by the fib time projection...

Ignored

It sound to me like Conny Brown that explained to us judging by the wording and sentences. Excellent explanation