Fibonacci Applications and Strategies for Traders by Robert Fischer
Practical use of the Fibonacci summation series and ratio is now very popular as it simplifies the process of solving any trading problem. Many traders employ the Fibonacci summation series to determine stop loss and take profit levels, while others use them to identify the end of a price correction as well as support and resistance levels.
Fibonacci Applications and Strategies for Traders Robert Fischer wrote in 1993 immediately made him one of the most famous experts in Fibonacci-based technical analysis. A great number of traders have appreciated the author’s extraordinary approach and new trading strategies presented in the book.
One of the main reasons why the book became so popular is that its author based his research on the Elliott Wave Theory. Robert Fischer believes that applying the Fibonacci tools taking into consideration the Elliott Wave Principle is the key to profitable trades.
A lack of hands-on examples in the book might be regarded as neglect. The Elliott Wave Principle is described in a sketchy manner. The use of Fibonacci retracements is given with regard to theoretical price behaviour patterns. Moreover, as there is no statistics of the tools’ efficiency, the reader has to empirically test the analysis methods himself.
A distinct feature of the Fibonacci Applications and Strategies for Traders book is that the author considers price swings from the perspective of support and resistance levels and time analysis. In his book Robert Fischer delivers a solution to a crucial problem to help traders define days when price swings are likely (for instance, the day on which a Fibonacci wave will end, etc). Fibonacci Applications and Strategies for Traders was a true landmark in the history of technical analysis. It provided the ground for a new dimension in the field of technical analysis ― Fibonacci complex analysis, a combination of price and time analysis involving Fibonacci tools. The findings of Robert Fischer penetrated into modern technical analysis and have been translated into new trading techniques and systems.
In his book, Robert Fischer touches upon the main empirical problem in technical analysis, namely assessment of price correction depth. Even though Fibonacci complex analysis made it easy to solve, identifying factors of price correction on the commodity and stock markets is still complicated due to specifics of price movements on these markets. But Fibonacci Applications and Strategies for Traders offers a unique tactic to deal with this problem. However, one should attach significance to relevance as such, so it is important to take into account a market to which the classy technical analysis principles described by Robert Fischer are applied.
The book by Robert Fischer is great for all traders interested in technical analysis of financial markets based on one of the most reliable and effective methods — application of Fibonacci tools.