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Fibonacci Retracements in Binary Options Using Fibonacci Retracements to Trade Binary Options Fibonacci Retracements have become a popular method among investors to help develop a strategy towards trading binary options. Although the name may sound complicated, Fibonacci Retracements can be easy to understand, granted you can remember a few important numbers. What is the Fibonacci Retracement Tool?

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Retracements are some of the most prominent components of any uptrend, regardless of its strength and it therefore makes perfect sense to build a trading strategy around this phenomenon. Why are retracements such inevitable components of all financial markets though?

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How to use our strategies from Best-Binary-Options-Strategy. Binary Options Fibonacci Strategy The retracement tool is probably the least understood, especially among the new traders. They hardly realize about the importance of having this tool by their side in order to take their trading to the next level.

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Binary Options Strategy with Fibonacci Retracements When trading binary options, it is one of the most profitable ways to follow an existing trend. As long as this continues, it can be traded profitably with high probability. However, also a possible trend reversal or a correction move can be determined within a binary options trading strategy with a relative probability. To this end, the Fibonacci Retracements are used, which are already included in the MetaTrader 4 platform and can be drawn into the chart.

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This tool is one based on thousands of years of mathematical observations originating in ancient Indian mathematics. Although he did not invent the number Fibonacci did a lot to bring it into widespread knowledge in middle aged Europe. The Fibonacci number, or sequence, is a derivative of the Golden Ratio and a phenomenon found throughout nature. The Golden Ratio has been used to describe the number and pattern of leaves on a tree, diamonds on the skin of a pineapple, the ratio of your arm span to your height and the movements of the markets.

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Additional indicator, such as Stochastic, will give information about relative oversold and overbought zones. Learn how to use these levels for your profit.

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