Quote from konviction:
And you're going to be averaging down at every fib level, like you have been doing in your examples?
Yes. Well, at 38%, 50% and 62% (or whichever price is closest when there's not an exact match). I average down with this method. I'm sure there will be lots of haters and nay-sayers telling me how bad this is, but with properly defined risk and stop losses
there is nothing wrong with averaging down. I know where the hard stop is for every trade before I begin.