PIVOT, SUPPORT AND RESISTANCES

Fibonacci Trader can draw the traditional daily pivot lines in any intraday chart.

The next picture shows the S&P Mini 1 minute/10 minutes/Daily chart, we are in there using the indicator Pivot/Sup/Res for the highest period in this case the daily data. The horizontal lines are the daily pivot, support and resistance, note they are plotted for the complete day. These are the traditional pivot, support and resistance calculations ( red, cyan and green lines) plus other 2 (magenta and blue lines).

The next chart shows the same S&P Mini, now with a 81 minutes/Daily/Weekly chart. The supports are now calculated to the next time frame of the chart (the daily), but the value for the lines  are the same.

The calculation of these lines are

Pivot = (H + L + C)/3, not we have an option to change the pivot to use (O + H + L) where O is the open of the current period.

Support 1 = Pivot * 2 - High
Resistance 1 = Pivot *2 - Low

Support 2 = Pivot - Resistance 1 + Support 1
Resistance 2 = Pivot + Resistance 1 - Support 1

Support 3 = Pivot - Resistance 2 + Support 1
Resistance 3 = Pivot + Resistance 2 - Support 1

Support 4 = Pivot - Resistance 2 + Support 2
Resistance 4 = Pivot + Resistance 2 - Support 2

Trading any market carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading, and seek advice from an independent financial advisor if you have any doubts.

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