## Learn Forex Trading

**Author***: Andreas Thalassinos*

Leonardo Fibonacci, an Italian mathematician from Pisa, is credited with introducing the Hindu-Arabic numeral system to Europe during the Middle Ages. In his book, *Liber Abaci* or ‘Book of Calculation’, he also introduced an influential sequence of figures which have come to be known as the Fibonacci numbers.

The relationship between the numbers in this sequence (i.e. the ratio) is not just interesting on a theoretical level. It appears frequently around us in the physical world and is integral for maintaining balance in nature and architecture. It is also important in the financial markets; many traders use Fibonacci ratios to calculate support and resistance levels in their __forex trading strategies__.

**What is the Fibonacci sequence?**

Each number in the Fibonacci sequence is calculated by adding together the two previous numbers.

1 1 2 3 5 8 13 21 34 55 89 144 233 377 …and so on to infinity

What is significant about this pattern, however, is that the ratio of any number to the next one in the sequence tends to be 0.618.

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