Percentage Retracements

Percentage retracements, commonly referred to as retracements or pullbacks, are a fundamental concept in technical analysis. They’re used to identify potential levels of support or resistance within a price trend.

The concept is based on the idea that after a significant price movement in one direction, the price may temporarily reverse or "retrace" a portion of that movement before continuing in the initial direction.

In practical terms, these tools help crypto traders identify potential buying or selling opportunities.

Here’s more on the pros and cons of percentage retracements and how you can apply them in your crypto trading endeavors.

Fibonacci trend analysis is a fascinating and widely used method in the world of trading, including cryptocurrency trading. Drawing from Fibonacci retracement levels, these are percentages that are often considered "natural" support and resistance levels.

Read the guide below and explore how to apply Fibonacci trend analysis to crypto trading, how to trade using Fibonacci retracements, plus some practical examples to enhance your trading strategy.