what is the fibonacci sequence 
the fibonacci sequence was developed by the italian mathematician leonardo fibonacci in the 13th century the sequence of numbers starting with zero and one is a steadily increasing series where each number is equal to the sum of the preceding two numbers some traders believe that the fibonacci numbers and ratios created by the sequence play an important role in finance that traders can apply using technical analysis understanding the fibonacci sequencethe numbers in the fibonacci sequence don t equate to a specific formula however the numbers tend to have certain relationships with each other each number is equal to the sum of the preceding two numbers for example 0 1 1 2 3 5 8 13 21 34 55 89 144 233 377 xn xn 1 xn 2