The December issue of SFO magazine has a big story about using floor trader pivots by John Seckinger and I have noticed there are more and more stories about FTP's outside of this forum. The floor trader pivots in various forms have been around for a while but until reading funky's success with them I mostly dismissed trying to use them after a cursory look some time ago. I had also previous seen some articles saying floor traders had moved on to more sophisticated methods since PDA's and other portable computers became available. However, with articles starting to appear in major trader publications too many may start jumping on these FTP's. And, we all know if a method or tool becomes too widely used that it eventually stops being a viable tool. Maybe we are at the point where enough people are using them that they are self-fulfilling turning points but as more start using them they will become less viable. Wally
This is nothing new. Floor traders have been using Pivots and relative S1, S2, and R1, R2 numbers for the last 25 years!
its all about how you use em? do you have the method that uses well concept XYZ? It's all about that. Note that funky's not exactly giving away his method cuz finding the actual method is hard. Word.
Funky is tricky that way. I think I understand much of how he is using FTP's. What is concept XYZ? I'm not familiar with that term.
I think pivots will always work regardless of whether floor traders use them or not. The main pivot, for example, is a summarization of a security's or future's most important price points: the close, the high and the low. Pivots also represent averages where traders accumulate or short shares, so that's why they are good for support/resistance. The best time to use pivtos, IMO, is from 9:30 to 11:30. After that they become less and less effective. lux