Pivot Points Calculator

PIVOT POINT CALCULATOR

The calculator will generate pivot points in four different systems. Fill the boxes below with the previous period’s data (mostly previous day’s) and press “Calculate”. For DeMark pivot points calculation Current Open price is compulsory.

A pivot point calculator is an arithmetic program used by traders to anticipate price movements. Pivot points are frequently used to calculate resistance and support levels which are, in turn, used as visual cues to execute trades. As a technical analysis tool, pivot points have proven themselves to be very effective as most of them follow it and automatically they are tested.

Pivot point analysis & calculation

If a day’s price action begins above the pivot point, prices will tend to stay above that point until it reaches a resistance point. Conversely, if a day’s pricing action begins below the pivot point, the price will tend to stay below that point until it reaches a support point. A resistance level is a price that tends to prevent further upward movement. A support price is a price action point that tends to prevent further downward movement. In its simplest form pivot point trading is “trading between the lines”. The most popular and hence the most successful form of pivot trading is based on reversals. Simply put, when price approaches a pivot above, a trader waits for a reversal at that point and sells. The opposite is true when price action is moving downward. The patient pivot trader waits for a bounce off the pivot of support and places an order to buy. If the market opens or later trades at the extremes R2 or S2, pricing will exhibit a tendency to trade back toward the pivot point. Hence, traders tend to avoid buying high (at R2) or selling at the low (S2). The wisdom of this is even greater the further the price moves away from the day’s pivot point.

Classic

The classic pivot points are the most basic and popular type of pivots used in trading. The pivot point is interpreted as the primary support/resistance level. The formula to calculate classic pivot points is:

Pivot (P) = (H+L+C)/3
Resistance (R1) = (2×P)−L
R2 = P+H−L
R3 = H+2×(P−L)
Support (S1) = (2×P)−H
S2 = P−H+L
S3 = L−2×(H−P)

Woodie’s

It is similar to classic pivot points. But it gives more weight to the close price of the previous period. The formula to calculate Woodie’s pivot points is:

Pivot (P) = (H+L+2×C)/4
Resistance (R1) = (2×P)−L
R2 = P+H−L
Support (S1) = (2×P)−H
S2 = P−H+L

Camarilla

It’s a set of eight very probable points which resemble support and resistance values for a current trend. The formula to calculate Camarilla pivot points is:

R4 = (H−L)×1.1/2+C
R3 = (H−L)×1.1/4+C
R2 = (H−L)×1.1/6+C
R1 = (H−L)×1.1/12+C
S1 = C−(H−L)×1.1/12
S2 = C−(H−L)×1.1/6
S3 = C−(H−L)×1.1/4
S4 = C−(H−L)×1.1/2

DeMark’s

It’s not actually pivot points but forecasted predicted future lows and highs of the period. The formula to calculate Demark’s pivot points is:

If Close < Open Then X = H+2×L+C;
If Close > Open Then X = 2×H+L+C;
If Close = Open Then X = H+L+2×C;
New High = X/2−L;
New Low = X/2−H

The Pivot Calculator Powered By Investing.com, the Forex, Futures, and Stock Markets Portal.
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