Pivot Points

This will explore pivot points which are a technical analysis tool that traders use to determine potential support and resistance levels based on the previous day's trading range.

Pivot points are a popular technical analysis tool used by traders to identify potential support and resistance levels in the market. Pivot points are based on the previous day's high, low, and closing price, and are used to estimate the market's current trend and potential price movements.

The basic idea behind pivot points is that the market has a tendency to "pivot" around certain price levels. When the market is trending up, pivot points can be used to identify potential areas of support where the price may bounce back up after a temporary dip. Conversely, when the market is trending down, pivot points can be used to identify potential areas of resistance where the price may bounce back down after a temporary rally.

Traders can use pivot points in different ways, such as to identify potential entry and exit points for trades, to set stop-loss orders, or to confirm the strength of a trend. Pivot points can also be combined with other technical indicators and chart patterns to improve their accuracy and effectiveness.

• The green pivot point to the far right is the 52 week high.
• The red pivot point to the far left is the 52 week low.
• The black pivot point is the current stock price.
• The four pivot points in the middle represent the moving averages: 200-day, 50-day, 21-day, and 10-day.
• The last column of pivot points are the Fibonacci retracements and extensions.

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