I don't understand Fibonacci's precepts other than to have an idea that it is "wave analysis" based on recurring numerical sequences. My question is that I'm curious how the system can still work if the principles are widely known. It seems to me that once a system is out there, it usually doesn't work any more. Are there different interpretations to the numbers?
libertee4all , Fibonacci numbers are not a system, They are natural law. Since they have no upper limit and the ways to use them seem unlimited it takes a lot of study for them to be useful. Like EW theory the fib ratios can give many different answers, so ones trading plan needs to prepare for several of the most likely scenarios. The EW rules, that the third wave can't be the shortest in time or aptitude, the second wave can retrace 100% of wave 1 and that the 4th wave can't enter into the territory of the 1st wave greatly aid in determining which fib ratios to rule out, usually just a few possibilities are left. The nature of the stock helps to limit daily range possibilities . . . . .SLW rarely has a range of greater than 8 % , for example. Old fib levels and areas of support and resistance are important, Gann numbers and angles, etc. I'm sure others could add to this list , and I encourage them too.
Thanks for your response. I'm not a trader and make most of my decisions are based on macroeconomic trends I believe will develop. Do you think studying Fibonacci's laws would be worth my time from something other than just an academic standpoint? my math background is limited to college calculus and entry level physics (but decades ago, lol)