Fibonacci Arc Indicator MT5
Platform: MT5 Type: Market Levels Last update: July 19, 2025The Fibonacci Arc Indicator for MT5 plotts dynamic curved lines that traders can utilize as price channel or even as support/resistence levels. The formula behind this tool includes Fibonacci-based calculations.
Let’s check some effective ways to introduce it to real trading – golden ratio strategies always provide interesting prospects. We’ll explore few approaches to find profitable and reliable ones.
Example chart:
How to use the fibonacci arc indicator for mt5?
As you can see on the GPB/USD H4 chart, there are two bent lines – violet one and blue one and they serve as visualisation of important market levels. Please note that these fibonacci arcs are not plotted automatically by the indicator and some manual actions are required.
In order to start, you need to click in any place of the chart and a violet straight line should appear. With second click you can adjust curvature of this line. Third and last click triggers the placement of blue line, you just need to specify the distance.
To utlize this effectively try to match peaks and bottoms of price with touch of the arcs. To give another shot just click a button in top right corner.
Trading strategies
Once the fibonacci arcs are in place (just make sure to place them properly), you can apply one of the suggested strategies.
Support and resistance
This strategy assumes trading within boundaries defined by the fibonacci arcs. When price approaches upper or lower band and fibonacci arcs are placed properly, there should be high probability reaction. Verify it with price action pattern (e.g. pin bar) and place order in the reversed direction.
Breakout
While above approach is very decent, sooner or later a breakout from arcs happens. Wait patientily for such scenario, as afterwards huge moves will most likely take place. There may be, however, some fakeouts – it’s adisable to not rush and double check the setup. Wait for the first pullback after the breakout.
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