4.8 Fibonacci Time

As with many things in life, timing is everything. The same applies with trading, hence why we always wait for the setup to come to us.
In trading, we respect the timing of our setups, because it adds to our risk management as well as taking profits.
For example, in an uptrend, many traders will panic buy at the top of a swing, set a tight stop loss, only for the market to retrace 10% before continuing up.
Even though they were correct about the trend and the continuation, they were off with their timing and thus they got stopped out at a loss.
Fibonacci Time Zones are produced using the Trend-Based Fib Time tool on Tradingview, this tool can be used to determine if and when a correction/impulsive move may end.

As with many things in life, timing is everything. The same applies with trading, hence why we always wait for the setup to come to us.
In trading, we respect the timing of our setups, because it adds to our risk management as well as taking profits.
For example, in an uptrend, many traders will panic buy at the top of a swing, set a tight stop loss, only for the market to retrace 10% before continuing up.
Even though they were correct about the trend and the continuation, they were off with their timing and thus they got stopped out at a loss.
Fibonacci Time Zones are produced using the Trend-Based Fib Time tool on Tradingview, this tool can be used to determine if and when a correction/impulsive move may end.

Key Points of the Lesson
UTILITY
Time plays a crucial role in determining which waves of a move are linked together.
Useful to determine when a corrective/impulsive price action structure may end.
Helpful to time your entry, often harder than determining the direction price might go.

IMPLEMENTATION
Click on three pivots, or double-click the second pivot.
Choose significant pivots based on market structure.
Use Fibonacci numbers or multiples of 0.5.
Levels (also used for Harmonic Patterns):
0.618
1
1.618
2
2.618
0.5 multiples can be useful for the stock market.
used on 4h/4h+.

TIPS & TRICKS
Correction can take 2-3 times the length of the impulse, and at least a 1 to 1.
Quick correction compared to the preceding impulse likely indicates that more corrective price action will follow.
Generally, Bitcoin corrects sooner than the stock market.
Fib time can be used to measure corrections, not just the impulses.
Very powerful tool in combinations with Harmonic Patterns and Elliott Waves (EW).
Preferred Fib Time extensions for Harmonic Pattern: 1 and 1.618.

TAKE HOME MESSAGE
Used for timing your entry.
Use three pivots.
1 and 1.618 preferred extensions.
Powerful with Harmonics and Elliott waves.

Levels Fibonacci Time