How To use fibonacci retracement in QUOTEX

In binary options trading, one of the most effective tools for identifying potential entry and exit points is the Fibonacci retracement. It is not just a simple technical tool—it’s a method that professional traders across forex, stocks, crypto, and commodities use daily to predict price behavior.

When applied correctly on QUOTEX, the Fibonacci retracement can significantly improve your win rate by allowing you to anticipate price reversals and continuations with high precision.

👉 Before diving deeper, if you’re curious about regulations and trust, check out Is Quotex a trust broker or not?.

What is Fibonacci Retracement?

📊 Fibonacci retracement is a tool based on the famous Fibonacci sequence, discovered by Leonardo Fibonacci in the 13th century. In trading, certain ratios derived from this sequence (23.6%, 38.2%, 50%, 61.8%, and 78.6%) are used to identify potential support and resistance levels.

These levels often act as “psychological barriers” where the price either bounces or breaks through. On QUOTEX, this becomes extremely powerful for timing Call or Put options.

⏩Start Trading with Quotex 👉First deposit get 30% bonus

Why Use Fibonacci Retracement in QUOTEX?

Many traders rely solely on simple moving averages or RSI when trading binary options. However, Fibonacci retracement offers a deeper perspective:

• 🔍 Precision – Helps spot exact levels where price may reverse.

• 📈 Trend continuation – Confirms pullbacks in strong uptrends or downtrends.

• ⏱ Perfect for expiry timing – Works especially well on 1m–15m QUOTEX trades.

• 🧠 Psychological edge – Market participants around the world respect these levels.

💡 In short: Fibonacci retracement is like a “map” of where price is likely to react.

Step-by-Step Guide: How To Use Fibonacci Retracement in QUOTEX

Unlike TradingView, QUOTEX has limited charting tools. So the best workflow is:Draw Fibonacci levels on TradingView → Use those levels to enter trades on QUOTEX.

Step 1: Identify the Trend

• Look at the market on TradingView.

• Is it trending up or down? Fibonacci works best in trending markets.

Step 2: Choose Swing High and Swing Low

• For an uptrend: Draw from the swing low to swing high.

• For a downtrend: Draw from the swing high to swing low.

Step 3: Mark Fibonacci Levels

The most important retracement levels are:

• 38.2% – Shallow pullback, trend continuation.

• 50% – Neutral zone, strong bounce area.

• 61.8% – Golden ratio, most reliable reversal zone.

Step 4: Wait for Price Reaction

• When price retraces to one of these levels, wait for confirmation (candlestick patterns or oscillator support).

Step 5: Place Trades on QUOTEX

• If price bounces at a Fibonacci level in an uptrend → Place Call.

• If price rejects a Fibonacci level in a downtrend → Place Put.

👉 To practice without risk, try using a Quotex demo.

Case Studies: Fibonacci in Action on QUOTEX

Example 1: EUR/USD Uptrend

• Asset: EUR/USD

• Trend: Strong uptrend

• Drawn Fibonacci: Swing low at 1.0800 → Swing high at 1.1000

• Price retraced to 61.8% (1.0880) and formed a bullish engulfing candle.

• Action: Entered Call option on QUOTEX with 5m expiry.

• Result: Trade ended ITM (in the money).

Example 2: BTC/USDT Downtrend

• Asset: Bitcoin

• Swing high: $27,000 → Swing low: $25,000

• Price retraced to 50% ($26,000) then rejected strongly.

• Action: Placed Put option on QUOTEX with 3m expiry.

• Result: Successful trade.

📌 Key lesson: Always combine Fibonacci levels with price action confirmation.

Advanced Fibonacci Trading Strategies for QUOTEX

1. Fibonacci + EMA (Trend Confirmation)

• Use 20 EMA to confirm the trend.

• If price retraces to 61.8% and EMA points up → Call.

2. Fibonacci + RSI Divergence

• When price hits 61.8% but RSI shows divergence → Strong reversal signal.

3. Fibonacci Extension Levels

• Beyond retracements, you can project extensions (161.8%, 261.8%) for profit targets.

• On QUOTEX, this helps to predict continuation moves.

Common Mistakes When Using Fibonacci on QUOTEX

❌ Forcing Fibonacci on sideways markets.❌ Trading without waiting for confirmation.❌ Ignoring news events (which can break Fibonacci levels).❌ Using too short expiry times without trend context.

👉 Always combine Fibonacci with trend analysis and risk management.

Risk Management With Fibonacci on QUOTEX

Even though Fibonacci is powerful, no indicator is perfect. To protect yourself:

• Risk only 2%–3% per trade.

• Avoid revenge trading after losses.

• Set daily profit and loss targets.

• Keep a trading journal.

If you want to explore alternatives, read Qxbroker review or check rankings like Best binary options brokers in the world and Top 10 Binary Option Brokers 2025.

Comparing Fibonacci vs Other Indicators on QUOTEX

• Fibonacci Retracement: Predicts natural pullback levels.

• RSI/Stochastic: Momentum-based, short-term.

• MACD: Trend confirmation.

• Moving Averages: Smooths trend, but less precise than Fibonacci.

💡 The strongest setups often come from combining Fibonacci retracement with one momentum indicator.

Final Thoughts

Using Fibonacci retracement in QUOTEX can transform the way you trade. Instead of guessing, you start trading with structure and precision.

The 61.8% golden ratio is one of the most respected levels in trading history. By mastering Fibonacci, you’re aligning yourself with professional traders worldwide.

Trading on QUOTEX is fast and intuitive, but with Fibonacci, it becomes a calculated process—giving you an edge in the competitive world of binary options.

FAQs: How To Use Fibonacci Retracement in QUOTEX

Q1: Can I draw Fibonacci directly on QUOTEX charts?A1: No, QUOTEX has limited tools. Use TradingView, then apply levels on QUOTEX.

Q2: What is the most important Fibonacci retracement level?A2: The 61.8% golden ratio, followed by 50% and 38.2%.

Q3: Can Fibonacci be used for 1-minute QUOTEX trades?A3: Yes, but works better with 3m–15m expiries.

Q4: Does Fibonacci work in all markets?A4: Best in trending markets like forex and crypto.

Q5: Can beginners use Fibonacci on QUOTEX?A5: Absolutely. Start with swing highs and lows, then practice on a demo.

Q6: Is Fibonacci accurate enough to rely on alone?A6: No. Always combine it with confirmation indicators (RSI, candlestick patterns).

Q7: How do I practice Fibonacci trading safely?A7: Use a Quotex demo account first.

Q8: Is QUOTEX legit for Fibonacci strategy trading?A8: Yes, see details at Is Quotex legit?.

Q9: What expiry time works best with Fibonacci in QUOTEX?A9: 3–15 minutes, depending on trend strength.

Q10: Can I use Fibonacci with other brokers besides QUOTEX?A10: Yes, check Best binary options brokers in the world or Top 10 Binary Option Brokers 2025 for more options.