Visualizing Fibonacci-Style Circles Around Price Anchors

Summary

This chart indicator draws a sequence of expanding circles around selected price and time anchors. Anchors can be confirmed pivot highs or lows, or the start of a daily, weekly, or monthly period. The circle sizes follow a Fibonacci-like recurrence: after the initial values, each size is formed by adding the previous two. A user-set starting value scales the sequence, while the script uses a long-period ATR to set the circles’ vertical scale and a fixed multiplier for their horizontal span. Circles can be enabled or disabled individually and assigned separate colors.

The tool is intended as a visual aid for considering possible support, resistance, or expansion areas, and it marks each anchor and connects it to current price. The document recommends a linear rather than logarithmic chart for its visualization. It offers no rules for trading from circle intersections, no statistical analysis, and no evidence that the circles identify reliable price levels; their interpretation remains discretionary.

Key ideas

• Anchors can be confirmed pivot points or daily, weekly, and monthly period changes.
• Circle sizes expand through a recurrence based on the sum of the two preceding sizes.
• The starting value and ATR-based vertical scaling affect the circles’ plotted dimensions.
• The circles are presented as possible visual reference areas, not as a tested trading signal.
• The document recommends using a linear price scale for the intended visualization.

Tags

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