Fibonacci Applications and Strategies for Traders

by Robert Fischer

A fresh look at classic principles and applications of Fibonacci numbers and the Elliott Wave trading system. Demonstrates how to calculate and predict key turning points in commodity markets, analyze business and economic cycles as well as identify profitable turning points in interest rate movement. Forty charts and tables show how to use this analysis on a daily, weekly or intra-day trading basis.

• Format: Hardcover
• Language: English
• ISBN: 0471585203
• ISBN13: 9780471585206
• Release Date: October 1993
• Publisher: Wiley
• Length: 192 Pages
• Weight: 1.06 lbs.
• Dimensions: 0.8" x 6.2" x 9.5"

Customer Reviews

Good

Combines Elliot Wave Theory with precise Fibonacci set of entry and exit rules. Anyone wanting to learn either and immediately be able to apply it to their trading method, should pick this one up.

A useful starting point

The intent of Fischer's work here is to make the Elliott Wave Principle useful for objectively setting price and date targets. As he points out, there is too much subjectivity in wave counting to make Elliott Wave a useful predictive method, but the application of Fibbonaci expansion ratios makes possible an objective trading strategy.One valuable element is his method for calculating Fibbonacci price confluence zones by multiplying the amplitude of wave 1 by a factor of 1.618, then multiplying the total amplitude from the beginning of wave 1 to the end of wave 3 by a factor of 0.618, giving a target zone for the end of wave 5.Another interesting concept is the application of Fibbonacci expansion numbers to date ranges, for example by multiplying the days difference between two swing points by 1.618 to find the possible next swing date. Fischer includes specific trading strategies in order to minimize risk and increase the chaces of trading success. This is not a "get rich in the market" how-to book, but it offers useful tools for a careful and disciplined trader to make money consistently in the securities markets.Finally, he offers the tantalizing prospect of using the Fibbonaci spiral to combine both price and time expansion targets, and includes in an appendix the instructions for programming a computer to do this.Altogether, a worthwhile text deserving of careful study.

Great Application

I appreciated the techniques and am currently attempting to apply them in my trading in both the price and time perspectives. I identified with the idea that Elliott was "predictable" only in certain situations, too many exceptions. For the spiral equation, I wish more examples, explanation and tools were included to the reader. I felt like I wanted to know more and wondering why there were no more examples (no general cases work or what?). I would like to see the idea of alternation fully applied to the spirals.I did not find the spiral equations intuitive. Case in point is the 2 radii equation of the spiral, does the separation pi/2 mean it is 90 degrees apart? I think that section needs further amplification/rewrite. It would be nice if we could generate the spiral using a spreadsheet instead of the code presented.

A ELLIOTT'S PRACTICAL APPLICATION!!

It's the only autor who gives a practical application to Elliott's and Fibonnacci theories.

An excellent theoretical application of Fibonacci.

Fibonacci is a standard trading tool for professional traders, and Robert Fischer details how to apply it to chart movements. What I found most informative was the explanation for using it in time, horizontally, as well as vertically. Unfortunately, this book is not for the beginner trader, and there are not any exact directions on how to trade.