TV 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:
this guy is absolutely right about pivot points. and one of.... the best.... pivot point settings is CAMARILLA. and use of the CPR central PIVOT Range. with the knowledge about what it indicates. if you are looking for a combination of these two that has a system with specifics and call to actions to build your discipline check out this free indicator thrown together tradingview.com/script/6CW0Ltac-VPTbollfib-Camarilla-Danarilla/
MartinWeb
⋅
@Gunslinger2005, do you mean the gap in the middle of the camarilla grid with cpr central pivot range? do they usually give a hint to the regions where the price does large jumps in a short time?
SammyNoden
⋅
Hi. Thanks for these posts about pivot points. I added Pivots Traditional Yearly to the daily chart of XLMUSDT, but S1 appears at just above 0 and all the lower supports are obviously deep into negative numbers which is not very helpful. I presume this is where mid points are useful, but is there any reason why support levels are showing so low on this chart?
EuroMotif
⋅
@SammyNoden, Hello, in regards to yearly pivot, keep in mind that the current pivots it calculates will be based on the Hi/Low/Close of the PREVIOUS year. Also the supports/resistances are just adding/subtracting from the central pivot, so negative numbers are possible.
In crypto, I would not give much weight to such long tf pivots, monthly about the longest I would use. For longer periods, maybe stick with Moving Averages and such?
SammyNoden
⋅
@EuroMotif, Ok I'll probably have to play around with combining PPs with other indicators to show support levels because the yearly resistance levels look good to me. Thanks again!
HeWhoKnows
⋅
Thanks for sharing. It remains to be seen see how the Corona crisis and the beginning dollar decline will affect the Bitcoin price in the long run. After all, gold is rising, too.
HeWhoKnows
⋅
Thanks. This was helpful.
Will_Wortel
⋅
Hi, I'm new with Pivot. And I'm wondering how I can paste the Pivot method in this long term chart.