Fibonacci Retracement Levels for Long Entries and Exits

Summary

This script builds three Fibonacci retracement levels from the highest high and lowest low over a rolling lookback. The published defaults use a 50-bar window and levels at 0.236, 0.382, and 0.618 of that range. It opens a long position when the close crosses above the deepest listed retracement level, then closes that position when the close crosses below the shallowest level. The intermediate level is plotted for reference but does not appear in the entry or exit rules.

The document includes BTC/USDT futures backtest settings covering about a year, but supplies no performance report or results. The script has no short-entry rule, position sizing method, or explicit protective stop, and it does not explain why these particular crossings should predict an edge. Because the range is recalculated over a rolling window, levels can change as new highs or lows enter the lookback. The material is therefore a compact rule example; its effectiveness and sensitivity to lookback, market, and execution assumptions remain untested in the document.

Key ideas

• The script derives retracement levels from the rolling highest high and lowest low.
• A close crossing above the 0.618 level triggers a long entry.
• A close crossing below the 0.236 level closes the long position.
• The 0.382 level is displayed but is not used by the stated trade rules.
• The published BTC/USDT futures settings do not include reported performance evidence.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.