CandelaCharts - Fib Retracement (OTE)

📝 Overview

The CandelaCharts Fib Retracement (OTE) indicator is a precision tool designed to help traders identify Optimal Trade Entry (OTE) levels based on Fibonacci retracement principles, as taught in ICT (Inner Circle Trader) methodology.

This indicator automatically plots Fibonacci retracement levels between a selected swing high and swing low, highlighting the key OTE zone between the 61.8% and 78.6% retracement levels—a prime area for potential reversals in trending markets.

📦 Features

• Automatic & Custom lookback modes
  
• Customizable fib levels
  
• Dynamic coloring
  
• Reverse & extend
  

⚙️ Settings

• Lookback: Controls the number of bars to look back. You can choose between **Automatic** or **Custom** mode.
  
• Line Style: Sets the line style for the Fibonacci levels.
  
• Levels: 0, 0.236, 0.0.382, 0.500, 0.620, 0.705, 0.790, 0.886, 1.000. Allows you to toggle the visibility of Fibonacci levels.
  
• Dynamic Coloring: Colors Fibonacci levels according to trend direction.
  
• Show Labels: Shows the price value at each Fibonacci level.
  
• Reverse: Flips the Fibonacci levels in the opposite direction.
  
• Extend Left: Extends the Fibonacci levels to the left.
  

⚡️ Showcase

Dynamic Coloring

Manual Coloring

Fib Retracement

Extended

Custom Length


📒 Usage

Using the CandelaCharts Fib Retracement (OTE) is pretty straightforward—just follow these steps to spot high-probability trade setups and refine your entries.

• Identify the Trend – Determine whether the market is in an uptrend or downtrend.
  
• Select Swing Points – The indicator automatically plots from the most recent swing high to swing low (or vice versa).
  
• Wait for Price to Enter OTE Zone – Look for price action confirmation within the optimal entry zone (61.8%-78.6%).
  
• Enter the Trade – Consider longs in an uptrend at the OTE zone, and shorts in a downtrend.
  
• Set Stop & Target – Place stops below/above the swing low/high and target extension levels (127.2%, 161.8%).
  

🎯 Key takeways

The CandelaCharts Fib Retracement (OTE) is a must-have tool for traders looking to refine their entries and maximize risk-reward potential with precision-based ICT trading strategies. 🚀

🚨 Alerts

The indicator does not provide any alerts!

⚠️ Disclaimer

Trading involves significant risk, and many participants may incur losses. The content on this site is not intended as financial advice and should not be interpreted as such. Decisions to buy, sell, hold, or trade securities, commodities, or other financial instruments carry inherent risks and are best made with guidance from qualified financial professionals. Past performance is not indicative of future results.