Pivot Points

Multi milion dollar fund..

Calculate daily pivots from your brokers previous day's range, Most common time-frame is 5pm est..As most of my colegues use too. Some creative types like 3pm est, actually mgforex resets each day at 3pm est. Thisi will give you an overall Support and resistance range for the current period based on previous days activity. This of itself is not enough.. For those of you that don't exactly like to draw firets... short for fibonacci retraces.

heres the trick that make my trades and saves my tail from over zealous entry/exits. calculate pivots at 4 hour intervals starting from the 8am est mark.. hence: 8am, 12 noon, 4pm, 8pm, 12am, 4 am and again it restarts.. This gives you a dynamic linear rage of support and rsistance based on forward momentum. It amazes me just how many of you retail traders look all over the place actually everywhere but in the price and past range high low price to trade the market.. Do you think standing in the pit I have time or even capability to look at macd shmaked rsi etc???? No.. Price Action creates the ebb/flow. I have a HP scfi calculator programmed with pivot formulation. You get to know price behavior just like you get to know your girlfriends.. boyfriends attitude, responses to behavior. Take this mentality to market and you will find yourself walking with the price. Sentiment is ever on going creation of he thinks she thought Oh **** Here it goes. Oh and dont exactly try to trade everything!!!!! trading the Pound dollar then jumping to the dollar yen is as like trading oil futires then jumping on a microsoft trade. get to know your market like you know your people! for it is merely people that trade! I am sharing this for the burdon of relief,

I partake in this forum to better understand the small spec from the street side. Oh I see you from the pit as an ever losing battle. Trading is more instinc, savy witt and adherence to rules of engagement and disengagement. If you have a single lot at 100k margin or have a 10,000,000 holding at nearly no margin it is no different. of course I have more technique I use that goes along with pivots.. However that is a matter of personal preference, just as each of you have personal attributes that have to be learned not instructed..
Safety First. Don't take aim until you have a real target!!

P.S. for those of you that need a pivot calculator follow the link..
http://www.deltat1.com/Education/too...ot-calculator/

It is fully programmable like what I use in a 300 dollar calculator.. enjoy.

Please excuse my grammer or spelling errors in my posts. I post like I trade , You get one shot at a clean entry/exit


Also I posted previousy that I would offer pivot related trading material. Most all of the items I have a copyright protected.. And I must protect the material as you would expect your own to be protected. I do regret the offer since I have received over 100 emails.. I will however continue to post tid-bits for yor consumption.. Take note the my last post above for it is a core element in pivot trading!! get my meaning. your application of that technique is entirely up to you? take my word ... it works for me and countless other money managers for a quick market s&p analysis. Hint.. Look at the price and you will fill in the blanks. ebb/flow it means just that! We create the market based on stall points.

Follow the yellow brick road>>

I downloaded the attached file of pivot points and they are 30-40 pips different than the daily pivot points according to Action Forex where I usually get them from.So I'm wondering how useful PP are in general. Can you comment? thanks for the file.

I think I stand to be corrected. I just checked Action Forex and the updated pivot points match the attached file you recommended almost to the pip. thanks again

you will want to get your pivots from a site that posts them daily. each broker has their own prices so your pivots may be different then the "real" pivots (meaning the majority).

the more people that use pivots the better they work, if you happen to be off by 2 pips on the main pivot you can be off by 15 pips at r3, which is bad.

i use this page, there are probably better. the plan is to get the one that the most people use

http://www.actionforex.com/forex_ana..._200603205733/

It is always best to rely on your own methods first hand, action forex has provided good comparable results to my own calculations. My price feed is from Bank Of America Just about the biggest bank in the world. If you look at the earnings figures for bam you will see the majority of the profits are from futures i.e. currency. This is a feed I trust daily. If you trade platform has a feed that concerns you, I would rid the bug. If you become relaint to sources such as action forex and even the online pivot calculator link I provided you will be discouraged and lost if and when those websites fold.
Here is an excel pivot calculator for your use..

Peter.
What program do you use to open the PP calculator you suggest?

Hi Currency Analyst. I am new to Forex Factory but active in other forums. I am impressed by the level of experience here. When I saw your posts on pivots, I immediately thought you were someone I could learn a thing or two from. I read all of your posts

I developed a strategy on my own that relies on Fibonnaci retracements and pivots as its key. I use that same pivot calc you provided in the link. I can't believe more people don't use them or don't think they work. I started out with Fibonnaci and just spent time watching how a candle formed and how price reacted to the levels. It wasn't enough. Then I found pivots and was intrigued when I read that they were used by the original floor traders to quickly determine price movement. Adding pivots to my Fibonnaci strategy was golden! Then, my world opened up and I saw the other lines of support/resistance as well. I thought I'd found the Holy Grail when I backtested my strategy on GBP/JPY for 6 months without one failed trade. Of course, no strategy is perfect, but after months of trying things that only worked 30% of the time, it was nice to find some consistency.

Since this forum relies on giving as well as receiving, I thought I'd offer one of my "aha" moments in trading before asking my question. This will no doubt be obvious to you, but may help other newbies. I trade daily charts and set entry orders rather than manually entering as I find this saves me from a lot of mistakes and time spent staring at charts. My "aha" moment was simply realizing that if I wanted the same backtested results when forward testing, I could set all of my trades at the close of the daily candle. This is a simple truth that added structure and reason to my trading. After all, we are seeing the closed candle when backtesting. I wish there was trading software that would actually redraw the candle as it formed in the past. Maybe there is, but I bet it's expensive.

Ok, now for my question. Until I read your materials, I had never heard of a price cluster. Could you explain in simple terms what a price cluster is? I just can't seem to grasp it. Also, what is a confluence of levels? I have had success without this information, but I don't want to be in the dark about something that could potentially improve my trading.

Thanks in advance!