Important Note: The Merlin Entry Strategy Builder is a research tool, not financial advice. You are in total control. You choose the specific price ranges and targets to build a strategy that fits your unique investment goals.
Entry Strategy Builder is a tool inside Merlin that helps you calculate potential entry targets using Fibonacci Retracement levels.
Instead of manually calculating Fibonacci levels, you can use Entry Strategy Builder to generate structured entry targets directly from the chart and instantly apply them to your entry plan.
Merlin does not execute trades. It helps you plan potential entry opportunities and maintain a disciplined approach to building positions.
Step-by-Step: How to Build a Fibonacci Entry Strategy
Step 1: Open Entry Strategy Builder
Navigate to the asset page you want to create an entry plan for.
Under the Your Strategies section, click on the Entry button and then Create Entry Strategy.
Click Next to continue.
Step 2: Identify the Low and High on the Chart
Once the chart loads:
Zoom out to view historical price action.
Locate the most recent major high point on the chart.
Looking to the left of that high, identify the significant low point that preceded the move upward.
Click on the low first.
Drag the Fibonacci tool from the low to the high.
This places the Fibonacci Retracement tool on the chart and displays the potential entry levels.
Tip: Focus on significant market swings rather than minor price movements. The more meaningful the low-to-high move, the more relevant the retracement levels will be.
Step 3: Calculate Your Entry Targets
Select the number of entry targets you would like Merlin to generate.
Click Calculate Entry Targets.
Merlin will automatically calculate potential entry levels based on the Fibonacci Retracement that was drawn.
Note: Depending on current market conditions, Merlin may generate fewer targets than requested if some retracement levels are already above the current market price.
Step 4: Build the Strategy
Review the generated entry targets.
If you're satisfied with the proposed levels, click Build Strategy.
The calculated targets will now be added to your Entry Strategy.
Step 5: Enter Purchase Quantities
The final step is to determine how many coins you would like to purchase at each target level.
For example:
Target 1 = 0.25 BTC
Target 2 = 0.50 BTC
Target 3 = 1.00 BTC
As you enter quantities, Merlin will automatically calculate:
Total coins accumulated
Total projected investment amount
Average cost basis across all targets
This allows you to see the potential impact of your entry plan before committing to it.
Step 6: Save Your Entry Strategy
Once you are satisfied with your targets and purchase quantities, click Save Entry Strategy.
Your Entry Strategy will now be saved and available under the Your Strategies section for that asset.
Important Notes
Entry Strategy Builder does not execute trades. It is a planning and research tool only.
You can edit or remove any entry target after creating your strategy.
Entry targets are based on Fibonacci Retracement levels generated from the low and high points you selected.
As market conditions change, you may wish to update your strategy and recalculate your targets.
Merlin helps you visualize potential entry opportunities and understand how different buying scenarios may affect your average cost basis.