# Chapter 10, Part I. Mysterious Fibonacci. - Q&A

Discussion in 'Complete Trading Education- Forex Military School' started by georgeta, May 29, 2011.

1. ### georgeta Sergeant

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Hello Mr. Morten!
If I understand corectly the definition of the swing, then the following chart is NOT a good example of ABC pattern. The problem is poit B that has no 2 higher lows on the right side.
Thank you!

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2. ### Sive Morten Special Consultant to the FPA

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Hi Georgetta,
yes, you're right. "BC" move should be well recognizable. As a filter for BC move you may use 3x3. If market shows close above 3x3 - then probably this BC move could be used as retracement for Fib extension estimation.
But this is as add-on to previous rules.

3. ### FOREXIRON Private

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'3x3'

Sive
May I understand what do you mean by a '3x3' from the swing perspective of the previous question ?

4. ### Sive Morten Special Consultant to the FPA

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Hi Forexiron
This is 3 period SMA shifted forward for 3 period. I suggest you to read 11 chapter, at least part that is dedicated to displaced MAs

5. ### blueraven316 Private

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Commander, I think this description is for some other chart, the chart #2 shown in the example retraced only little below the 0.5 extension, not 0.618.

Thanks for this course, it's priceless!

6. ### Sive Morten Special Consultant to the FPA

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Hi Blueraven,
No, description is correct, since it tells not about retracement to 0.618 but about extension.

7. ### magarlocate Recruit

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Hi Morten sir

may i know why 0.618 is retracement ratio and extension ratio please ?

8. ### Hamza Samiullah Corporal

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little bit confusing...

9. ### willie123 Recruit

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pips and equity uncle will