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Pivot Points

📖 How to trade horizontal levelsHello! If you like this analysis, please make sure to like the post! Today we are going to focus on horizontal levels (HL). ➖HLs and other instruments are based on MA, they are used only for determining support and resistance levelling. They are plotted depending on where the price movement stopped, where the price made its important high/low/close. Higher timeframes are used to find horizontal levels and lower timeframes are used for more accurate measurements. Monitoring the weekly level of graphs throughout a working out day, 3D or 4H is called “synchronization”. 🧐You should determine the horizontal level using at least two points, since the consistency and reaction of the price should be checked. You should note that the usual “the more price rebounds from the level, the stronger it is” rule is not working in this case. Actually it works in the opposite way, as the number of attempts increases the higher the probability of breaking the level. 💡 For example, now it is very important for bitcoin to have a level of $10,000, which was formed in May 2018. It held the price several times throughout several months, but in the end it was broken upwards. Now it is the most powerful psychological support for most of the traders. ❗️ There is another advantage of horizontal levels — the longer the level holds the price, after breaking it, it will work in the opposite direction either as support or resistance. 👉HLs are important psychological markers to which price is returning to for testing. While reaching the level, the price movement may slow down, as many traders are fixing their positions close to it. 👉In general, there are a few HL trading strategies. You should always remember that a strong tool such as TA is just a guideline. You have to see the correct price reaction, and simply buying or selling depending on the level without any confirmations — is just a lottery. 📌By saying the correct reaction, we mean that there is a trade above or below the level, as well as strong candlestick patterns. By the way, a combination of HL and trend. Lines can form patterns, like triangles...
COINBASE:BTCUSDEducation
by I.T.Analytics
5
Tutorial on selecting your Price TargetR - Stands for Resistance 1, Resistance 2, Resistance 3 S - Stands for Support 1, Support 2, Support 3 P - Stands for Pivot Point One resistance level may be tomorrow's support. An easy way while initially learning is from analysts reports. I prefer to use pivot points based off TF's I anticipate tying up buying power in the trade. I.e. I5m-1hr Intraday Daily TF 1-4 days Weekly TF 4-14 days If you are not using pivot points, they are very easy to use on TradingView and will help have more success when selecting entries, stops, and targets.
NYSE:LMTEducation
by ZenMode
3
[2] Risk Management & Market Psychology.Wanted to expand a little bit on my prior post, in which I explain a few more key concepts. - Risk Management - Laddering (DCA'ing) into trades - Identifying the highs/lows - Market Psychology - Wave timings as a reflection of momentum Most the information is on the sheet, and I prefer to keep little snippets or pockets of information, so this leaves you all to go and do your own research, where you will absorb it a lot more. This is all very much a sneak peak of what is to come. Expect sometime in the future to have a copy of all my knowledge in a book, this will help give you a chance on developing an edge in the markets, which can be applicable to any asset. From my prior post, we saw the bullish count come into play in which the 1.618 fib extension was a perfect place to take profit and look to add back on the dip. Many thanks, Anon.
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BITSTAMP:BTCUSDEducation
by monetae_anon
70
Bitcoin Pivot Points: one of TV's greatest free toolsTV indi "Pivot Points Standard" set to "traditional" style. What is a Pivot? The word "Pivot" is used a lot, meaning many different things. What I am showing is the ''Old-School'' definition of that term. This "indicator" has been in use since 1970's with great results. Pivots are as simple as this: (H+L+C)/3 of the previous period = Center Pivot (P) in the current period. The 'Support' ( Sx ) and 'Resistance' ( Rx ) pivots are derived from the above. There are many variations, but ''Traditional'' is the first, and most widely used. Some very cool aspects: Pivots do NOT repaint, they are plotted at period beginning and stay till end. Back-testing is easy, change "Historical Pivots" setting as far back as you want. Clutter free, Interpretation free, Labor free, and best of all, FOR free on TV :) What do they tell you? They seem to make good TARGETS for a move, and often lose energy there. Many traders will look to take profits at a Pivot , which is obvious in above chart. Strength of a trend can be gauged by which Pivots the asset is hitting most often. Who uses them? Many, many traders still use them, as do Banks and Money Managers. Swing traders looking for Daily, Weekly, or Monthly trades, set and forget. Even Fibonacci fans such as myself will glance at the Pivots to get a bearing. How to Deploy them? Back in the day Pit Traders had index cards with Pivot Points (values). Trading View has a free indicator "Pivot Points Standard" which I use. For a detailed Tutorial on How to Use Pivots, see these Ideas below: Chapter 1 : Intro and Setup Chapter 2 : Adding "Mid Pivots" Chapter 3 : Plotting Future Pivots .
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COINBASE:BTCUSDEducation
by EuroMotif
15
Divergent BarsDivergent bars help a trader identify a potential shift in the current price trend. Divergent bars are an effective technical tool for futures, options, and stock traders using any timeframe. A divergent bar is defined as the following: 1. A potential shift from a bullish trend to a bearish trend is evidenced by the current price bar showing a higher high than the previous bar and the current bar closes in the bottom 50% of the price bar. Also known as a Bearish Divergent Bar . This indicates that bullish movement higher is weakening. 2. A potential shift from a bearish trend to a bullish trend is evidenced by the current price bar showing a lower low than the previous bar and the current bar closes in the upper 50% of the price bar. Also known as a Bullish Divergent Bar . This indicates that bearish movement lower is weakening. To open a position using the divergent bar: 1. When the divergent bar indicates a possible bearish entry , place an order to buy to open a put (for options traders) or sell short (futures traders) at the low of the divergent bar. If the bullish trend is not complete, it is likely this position will not be filled. If, before the order is filled, the price moves above the high of the divergent bar, the bar is no longer valid as an entry signal and open orders should be cancelled. If the order is filled, use your usual profit targets, which will vary by trader. If the position is filled, futures traders should set a stop based on the high of the divergent bar. Options traders should monitor the price action and close the position if price moves above the high of the divergent bar. 2. When the divergent bar indicates a possible bullish entry , place an order to buy to open a call (for options traders) or buy long (futures traders) at the high of the divergent bar. If the bearish trend is not complete, it is likely this position will not be filled. If, before the order is filled, the price moves below the low of the divergent bar, the bar is no longer valid as an entry signal and open orders should be cancelled. If the order is filled, use your usual profit targets, which will vary by trader. If the position is filled, futures traders should set a stop based on the low of the divergent bar. Options traders should monitor the price action and close the position if price moves below the low of the divergent bar. The most effective way to use the divergent bar signal is to view it as one signal aligned with another reliable signal, such as the Bollinger Bands, Awesome Oscillator, or other momentum/trend shift indicator. The signal is so specific that it adds exceptional strength to the likely reversal. For example, on the chart of TVC:SPX , two divergent bars are highlighted, each one anticipating a strong and clear reversal in the swing trend. In the first example, a Bullish Divergent Bar appears at the beginning of October. The low is lower than the previous bar’s low and the current bar closes in the upper half of the price bar. This indicates a potential long entry. It is also paired with a Bollinger Band Snap. The next day stochastic crosses up and the high of the divergent bar is broken, signaling a long entry. The second example occurs in late January with a Bearish Divergent Bar . The high of that bar is higher than the previous bar’s high and it also closes in the lower half of the price bar, signaling a bearish divergent bar. The next market day the low of the divergent bar is broken, the Awesome Oscillator (AO) is red, and stochastics is crossed down. This alignment between divergent bar, AO, and stochastics signals a short entry. In both of these examples there is strong follow through from the divergent bar entry. Moving 35 points immediately to the upside on the bullish divergent bar entry and trending about 100 points lower the days following the bearish divergent bar entry. Divergent bars, when paired with other indicators, can be a reliable indication of a potential shift in the trend.
SP:SPXEducation
by NewCycleTrading
3
Simple pivot strategyFree money. Price usually never misses daily pivot. And if price does miss pivot during a day - it will come back to that level sometime later. God knows when but it will. This applies to all pairs but works very well in gold as you see. If you see price open with a gap away from the daily pivot - you can safely target daily pivot 90 percent of time it will hit it. Those 10 percent of times when price might miss a pivot happen during the strong trends. Actually a missed daily pivot or two marks a START of a strong TREND. Test various instruments yourself and just get convinced. The same applies to weekly and monthly pivots. With missed weekly pivots you can catch dozens of pips. GOOD LUCK!
OANDA:XAUUSDEducation
by ICFX
4
Where Euro turns?As you see if price breaks monthly A or C pivots (of Fisher's ACD system based on opening range) it usually turn at classic monthly R1, S1, sometimes reaching R2, S2...and very rarely S3, R3 (in case of extreme volatility as with covid or some major crisis). Why so? Bcs most American institutional traders use floor pivots for targets. BUT keep in mind we are in the end of the month and June 2nd we will have new monthly opening range and new A and C pivots. Today bullish move stopped at monthly R1. I suspect price will return to A pivot. This system is great trading map.
Education
by ICFX
How to identify global trendHello Traders! To find out if price is in bullish or bearish global trend a half year ACD should be applied. Only half yearly Initial Balance can do this. Conditions: If weekly price stays primarily BELOW HALF YEARLY OPENING RANGE (INITIAL BALANCE - IB ) AND in-between IB and lower A-PIVOT = BEAR MARKET If weekly price stays primarily ABOVE HALF YEARLY OPENING RANGE (INITIAL BALANCE - IB ) AND in-between IB and upper A-PIOVOT = BULL MARKET If price moves into the opposite zone and manages to stay (!) there for a few weeks (time factor, spike is not enough) then a trend change is on the way in the next half year. As you can see EURUSD´s macro trend is BEARISH and we already broke half yearly A-PIVOT. Fisher describes Opening Range ( IB ) as FULCRUM. It holds the market. Without it things collapse. And as you see Half Yearly A-PIVOT breakouts are MASSIVE! One can not detect those by applying yearly opening ranges. Also here, you can often observe similar loop post-breakout patterns as with yearly A breakouts. I hope this technique will save you from many loosing trades! God bless! GOOD LUCK!
Education
by ICFX
A-pivot breakouts in EURUSDA-pivots (called A-UP and A-DOWN) are calculated using the opening range (OR - that is where price "belongs") often referred as Initial Balance ( IB ), in our case - monthly opening range. You can find the formula in Fisher´s book. Red lines are opening range (the range of first 2 or 3 trading days in the beginning of month). Then one multiplies a specified distance (certain number of ticks above below OR) from opening range to get A-pivot level. I am not sure about the exact formula but ACD indicators do it automatically. Opening range ACD strategy is usually applied to day trading but it is interesting to see how EURUSD reacts when those A-pivots are broken on monthly. In relatively smooth downtrends price nearly always forms this peculiar bow-loop pattern, returning back to where it broke. Sometimes such bows or loops are formed twice a month. This is not observed in strong trending market (you can flip back) but still even then price uses those levels as support - resistance. The fact that price keeps returning back to monthly A-pivot means there is no strong trend yet. GOOD LUCK!
Education
by ICFX
4
Trader/Investors must understand this process.......!Kindly comment with " Yes " for agree and "No" for disagree with this post: Before the break-out, I've informed that " Breakout will give truck of Money. ..!". Exactly, we seen this statement was TRUE, didn't it? (End of idea link is added about this idea) Let's talk step by step was happened here. The Width of congestion area was equal to height of the price surged. From my personal experience and the survey/observation I'm talking about this is almost the same area as price congestion in size of width and height after the price break. Let's try to explain in another words: Horizontal width of congestion size = Vertical price move after break-out. (Generally, i noted that price moved away so far after breakout whenever congestion area is much longer.) --> Let's talk little more deeper about CONGESTION area: In the congestion area, accumulation or distribution process process. We will talk about accumulation only because, this was happened here. Accumulation : smart money, money makers, huge fund-management, landlord of global investors whatever you called them they grab/connecting instrument(stocks, currency,etc) from retail investors in very slow motion because, they can smell insider upcoming news. After the completing this accumulation, news clear and price start to go away from the breakout area. later i will try to explain you more deeper about it practically. Yes, obviously we can smell the process accumulation/distribution.
BITSTAMP:BTCUSDEducation
by Jay_shree
159
How to use Central Pivot Range (CPR)In this post I demonstrate how you may use Central Pivot Range (CPR) to find the best entries. CPR is leading and static indicator that opens ahead of day. It acts as support or resistance during trends. Price usually pulls back to CPR in trending markets. In fact, any pivot is a Fibonacci retracement level (33.3 or 66.6) from the previous low (33.3) or high (66.6). This is not holy grail, CPRs are often pierced as you see, but it will be a helpful tool in your analysis. Blue - weekly CPR Black - daily CPR 1 Day, week opens BELOW CPR look for shorts. 2 Day, week opens ABOVE CPR look for longs. 3 Day week opens WITHIN CPR prepare for ranging market. As you see thin CPRs are forecasters of volatility. With thin CPR, there is also more likelihood that it will be pierced. Average size CPR is more solid and less prone to be broken on the other hand. Very wide CPR often predict range within. You may also use yearly and monthly CPRs in the same manner. GOOD LUCK!
Education
by ICFX
1
Today Pivot Points Support and Resistance | Try itI calculate the important lines of support and resistance in my own way. They are good for determining the end or beginning of new trends, as well as for intraday trading and swing trading. In any case, this is a very important confirming moment for my trading strategy. Try it and tell me your opinion. Thank! TICKER S3 S2 S1 Pivot Point R1 R2 R3 EUR/USD 1.072 1.077 1.08 1.086 1.09 1.095 1.1 USD/JPY 106.572 106.967 107.213 107.673 108.019 108.396 108.753 GBP/USD 1.223 1.23 1.236 1.243 1.25 1.255 1.261 AUD/USD 0.62 0.625 0.63 0.634 0.64 0.643 0.648 USD/CHF 0.959 0.962 0.966 0.969 0.973 0.976 0.979 NZD/USD 0.584 0.59 0.593 0.599 0.604 0.609 0.614 USD/CAD 1.384 1.393 1.4 1.409 1.418 1.425 1.433
Education
by MinnieTrading
4
7 Steps to Drawing Professional Trendlines+ Predicting DirectionHow To Correctly Draw Trend-Lines To Assess Breakouts Trend-lines are the most fundamental skills of anyone performing the technical analysis of charts. As a certified market analyst, you are taught how to draw trendlines properly, this is the quick guide to doing it right. There are 3 time-frames for trends according to Charles Dow the father of technical analysis and the Dow Jones Industrial average. 3 Trend Timeframes • Short-term: Days to Weeks • Medium-term: Weeks to Months • Long-term: Months to Years 3 Types of Trend • Uptrend • Down Trend • Sideways Consolidation The secret of trend-lines is combining these 6 factors to assess market direction. Looking at the NVIDIA chart I have plotted key trendlines and the expected direction once price breaks through or bounces off a trendline . 4 Trends on the NVIDIA Chart 1. The long-term trend – Uptrend By connecting the lowest lows (closing price) on a price chart we can easily see that NVIDIA is in a long-term uptrend. As this trend spans from 2016 through 2020 (months to years) it is a long-term trend. 2. The medium-term trend – Sideways Connecting the highest highs for NVIDIA from 2019 to 2020 (weeks to months) we can see that NVIDIA is in a sideways consolidation pattern. Here you can see that trend-line (2.) is also called the resistance line. The price bounced twice off the resistance line but did not break through, meaning resistance. Also, in terms of the chart pattern, it is a “double top”. 3. The Short-term Trend – Downtrend Looking at the days to weeks timeframe and connecting the highest highs of the closing prices we can clearly see that NVIDIA is in a downtrend. 4. Long-term lateral support line Here we can draw a horizontal line connecting previous highs and lows to see there a possible future target price may be. Using Trend-lines to Establish Possible Price Direction Now that we have drawn the trend-lines we can see that if price breaks through or bounces off a trendline what the next market move will be. Predictions are colored in Red. 5. Price Breaks Through Long-term Trend Line If the stock price breaks down through the long-term price trend (1.) then we expect it to move down to trend-line (4.) at $120 6. Price Breaks Up through Short-term Down Trend If price breaks up through trend line (3.) Then we expect resistance at the Medium-term trend line (2.) At this point, it will either move back down to continue up. 7. Price Breaks through Medium-term Trend 2. Finally, if the price moves up through medium trend (2.), this is a new all-time high and a bull run. Summary I hope this guide shows you how to draw trend lines properly to give professional reliable results and market entry timings. Thanks Barry – LiberatedStockTrader.com
NASDAQ:NVDAEducation
by liberatedstocktrader