The key Fibonacci ratios are
- 61.8% ratio (also referred to as "the golden ratio" or "the golden mean") is calculated by dividing one number in the Fibonacci series by the number that follows it.
- 38.2% ratio is calculated by dividing one number in the series by the number that is found two places to the right.
- 23.6% ratio is calculated by dividing one number in the series by the number that is three places to the right.
- 50% ratio is not really a Fibonacci ratio, but it is used because of the overwhelming tendency for an asset to continue in a certain direction once it completes a 50% retracement.
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