Pivot Point Trading Strategy

Discussion in 'Trading' started by larrybf, Feb 2, 2002.

  1. I have constantly read references to pivot points and resistance ,support levels while trading the emini futures. Can these points actually be used as a trading sytem( i.e- sell resistance and buy support) or are these #'s merely using as confirming signals for other indicators and /or price action????
  2. Depends - using support/resistance definitely works.

    As far as the old (many decades old - before easy access to computers) pivot point formulas you now find in books or referenced on websites, they've been routinely replaced by more and more sophisticated computerized methods by many of the technical trading firms.

    Also, trading support/resistance isn't as simple as automatically selling resistance and buying support. You've got to take some specific and macro factors into consideration too.

    But knowing where the S/R areas are gives you the ability to focus. You can then look for signs of fading momentum or increased selling near resistance (or accelerated buying in the case of a breakout through resistance).
  3. Here is a link http://www.nyif.com/ They have a few courses about technical analysis that involve pivot points.
  4. dgzadok


    I focus very heavily on S/R and Pivots in my trading...

    i.e. if prices are nearing a R-Level and maybe stos are OB, and then I see a reversal candle, I have a very promising SHORT set-up...

    certainly not 100%... and this is only one of MANY ways to incorporate S/R levels in your trading :)

    Happy Trading!!!!

  5. dgzadok


    On the subject of Support and Resistance, I came across an interesting site several months back...


    I do NOT personally use this service, but it looked pretty interesting :)

    BTW... I'm not affiliated with nor do I receive any type of compensation from the site... in case anyone gets that idea...

    just passing along some info.

    Happy Trading!!!!

  6. Dave -

    FYI, I've actually got the handbook those guys sell with the so-called Camarilla Equation. I tested it out a couple of years ago - might as well throw darts at a price chart.

    Have yet to find anything that makes visualizing support/resistance clusters easier/better than Trade Prospector.
  7. I find it funny when people say "try this website...I've never tried it before...seems interesting....should help you...I'm not affiliated...nor compensated."

    Why even discuss a website someone supposibly never used it.

    Here's one...try http://www.britanyspears.com

    may have good info about pivot points...I wouldn't really know because I've never used it but site seems very interesting.

    I'm not affiliated with Britany nor do I get compensated :+)

    Nihaba Ashi
  8. Rigel


    Yeah, somethings not right.
    Obvious really.
    A feeble and pathetic attempt at covert spam.
    What a dork.
  9. dgzadok


  10. tymjr


    LOL, LOL, LOL.

    That made me laugh out loud or maybe you hadn't noticed. The whole exchange was really funny, particularly dgzadok’s link.

    Thanks guys. I needed that.

    BTW, I tried that last link but the site must be down. The one before it had some pretty fascinating and detailed analysis, though. LOL. :)
    #10     Feb 3, 2002