All Blogs / Analytics & Forecasts / Trading Systems

Fibonacci Alert Settings/Inputs Guide for MT4 & MT5

12 March 2026, 08:48

Complete User Documentation — MT4 & MT5

1. OVERVIEW

The Fibonacci Alert Expert Advisor automatically tracks Fibonacci retracement and extension levels, providing alerts when price approaches or breaks critical zones. This tool helps traders identify precise entry and exit points based on Fibonacci analysis, enhancing decision-making in volatile markets.

Who Should Use It: Retail forex traders seeking to enhance their technical analysis with automated alerts for Fibonacci levels.

Main Benefit: Maximize trading opportunities by receiving timely alerts on key Fibonacci levels, allowing for strategic entries and exits.

2. INPUT PARAMETERS & SETTINGS

This product shares a common set of general input settings with all Expert Advisor products in this series. The following sections are covered in the common guide: General Settings (lot size, SL/TP modes, magic number, trade direction), Breakeven Settings, Trailing Stop Settings, News Filter Settings and News Action Settings, Martingale Settings, Grid Settings, Hedge Settings, Risk Settings, Position Sizing, Alert Settings, Display Settings, Trade Time Settings, Trade Days Settings, Safeguard Settings, and Trend Filter Settings (MA Filter, ADX Filter, RSI Filter, MACD Filter, Parabolic SAR Filter — each with their own strategy options). All of these are fully documented in the Common General Input Settings for Expert Advisors. The sections below cover only the product-specific inputs unique to this product.

Indicator Settings

This section controls the parameters related to the ZigZag indicator used for Fibonacci level calculations.

Setting Name	Type	Default Value	Description	Example
ZigZag Depth	int	12	Defines the depth of the ZigZag indicator, affecting how many price movements are considered significant. A deeper setting captures broader trends.	10 - Use this for a more sensitive ZigZag that reacts quickly to price changes.
ZigZag Deviation	int	5	Sets the minimum price movement needed for a ZigZag change, ensuring only significant movements are captured. Adjusting this can reduce noise.	3 - A lower value for more frequent ZigZag changes in volatile markets.
ZigZag BackStep	int	3	Determines how many bars to look back for confirming a ZigZag change. This impacts the reliability of the identified levels.	2 - Useful for a quicker response in fast-moving markets.
ZigZag Leg	int	1	Specifies which leg of the ZigZag to analyze, allowing traders to focus on specific price movements. This can help in fine-tuning analysis.	1 - Set to analyze the most recent price leg for current market conditions.
Show Copyright Info	bool	true	Enables or disables the display of copyright information on the chart. Useful for branding and recognition.	false - Turn off to declutter the chart for focused analysis.

Level Settings

This section defines the Fibonacci levels that the indicator will track and alert on.

Setting Name	Type	Default Value	Description	Example
Level 1	double	0.0	Sets the first Fibonacci level, typically the starting point for retracement analysis. Adjusting this can refine your trading strategy.	0.0 - Use as a baseline for identifying subsequent levels.
Level 2	double	23.6	Defines the second Fibonacci retracement level, often used for identifying potential reversal points. Traders adjust this for specific market conditions.	23.6 - Commonly used for short-term trades in trending markets.
Level 3	double	38.2	Establishes the third Fibonacci level, indicating deeper retracements. Adjusting this level can help capture more significant price movements.	38.2 - Useful for medium-term trading strategies.
Level 4	double	50.0	Identifies the 50% retracement level, a critical area for many traders. Adjusting this can enhance the accuracy of potential reversal signals.	50.0 - Frequently used in various trading strategies for confirmation.
Level 5	double	61.8	Sets the 61.8% level, known as the golden ratio, often used for significant market reversals. Adjusting this can improve trade timing.	61.8 - Ideal for long-term traders looking for strong reversal signals.
Level 6	double	100.0	Defines the 100% level, indicating a complete retracement. Adjusting this can help traders identify full reversal points.	100.0 - Useful for confirming trend completions.
Level 7	double	161.8	Sets the 161.8% extension level, often used for identifying potential breakout points. Adjusting this can enhance profit targets.	161.8 - Ideal for traders looking to capitalize on strong trends.
Level 8	double	261.8	Defines the 261.8% extension level, useful for targeting extreme price movements. Adjusting this can help maximize potential profits.	261.8 - Best for aggressive traders aiming for high reward scenarios.
Level 9	double	423.6	Sets the 423.6% extension level, indicating extreme market conditions. Adjusting this can help traders identify rare opportunities.	423.6 - Used in highly volatile markets for speculative trading.

Display Settings

This section controls the visual aspects of the Fibonacci levels on the chart.

Setting Name	Type	Default Value	Description	Example
Line Color	color	clrWhite	Sets the color of the Fibonacci lines on the chart, allowing for customization based on trader preference. This can improve visibility.	clrRed - Use for better contrast against dark backgrounds.
Levels Color	color	clrLimeGreen	Defines the color of the Fibonacci levels, which can be adjusted for better chart readability. This helps in quick identification.	clrBlue - Ideal for highlighting levels in a busy chart.
Ray	bool	false

3. HOW IT WORKS

Core Calculation & Logic

The Fibonacci Level Alert EA calculates key Fibonacci retracement and extension levels based on market price movements. It identifies critical price zones where potential reversals or continuations may occur, providing traders with timely alerts.

This tool utilizes the mathematical principles of Fibonacci ratios, which are widely recognized for their predictive capabilities in financial markets. By tracking these levels, traders can make informed decisions on entry and exit points.

Entry Strategies Explained

Fibonacci Retracement Strategy

BUY Signal: A buy signal is generated when the price approaches a Fibonacci retracement level and shows signs of support.

SELL Signal: A sell signal occurs when the price hits a Fibonacci level and demonstrates resistance, indicating a potential downturn.

Best For: This strategy is best for trending markets where retracements are likely to occur.

Step-by-Step Workflow

Step 1: Set Up the EA Install the Fibonacci Level Alert EA on your trading platform and configure the settings according to your trading preferences.

Step 2: Define Fibonacci Levels Input the desired Fibonacci levels to monitor based on your analysis of the market.

Step 3: Enable Alerts Ensure that alert options are enabled to receive notifications via your preferred method.

Step 4: Monitor Price Action Observe how the price interacts with the defined Fibonacci levels for potential trading opportunities.

Step 5: Execute Trades Enter trades based on the signals generated by the EA when price approaches critical levels.

4. RISK MANAGEMENT FEATURES

This EA includes several risk management features to enhance trading safety.

Feature	Description
Alert Notifications	Receive alerts via different channels to stay updated on market movements and potential trade setups.
Email Alerts	Get email notifications for important price levels to ensure you never miss a trading opportunity.
Customizable Levels	Adjust Fibonacci levels according to your trading strategy and market conditions for better risk management.
Visual Alerts	Visual signals on the chart help you quickly identify key levels and potential entry points.

Quick Start Guide

Follow these steps to get started in under 5 minutes:

Install the EA: Download and install the Fibonacci Level Alert EA on your trading platform.
Open the Settings: Access the input settings to customize according to your trading style.
Set Fibonacci Levels: Define the Fibonacci levels you want to track for alerts.
Enable Alerts: Turn on alert notifications, email, and push notifications as preferred.
Choose Display Settings: Select colors and line widths for better visibility on your chart.
Apply the EA: Attach the EA to your desired chart and timeframe.
Monitor Alerts: Keep an eye on alerts and signals generated by the EA for trading opportunities.