The Fibonacci sequence, named for its discoverer Leonardo Fibonacci, forms the...

Fibonacci was a 12th Century Italian mathematician who discovered the number series 1,1,2,3,5,8,13,21,34,55, where each successive number is the sum of the two previous numbers. The difference in ratio between these numbers into infinity is always 0.618, which is known as the "Golden Ratio". This number is one of the most important numbers in Technical Analysis and is always used as the most important retracement level.

Leonardo Fibonacci was an Italian 13th century mathematician who developed a sequence of "magic" numbers that many consider has a natural place in the financial market place. The sequence was developed by taking zero and adding one to this, then adding the current number in the sequence to the previous number to create the next in the sequence: 0 - 1 - 1 - 2 - 3 - 5 - 8 - 13 - 21 - 34 - 55 - 89 - 144 etc From this sequence of numbers certain ratios such as 38.2% and 61.8% can be derived and used in determining support and resistance.

for the stock market, a method of measuring potential support and resistance levels