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Bhodee · 05-08-2004, 15:00

I've been reading about Pivot Points and would like to know how others are using them to trade - ie: are you waiting for R1 to be hit, then taking a short position with R2 as the stop and S1 as the target?

Here's the list of forumlas from another thread:

pivot:= (high + low + close) / 3;
r1:= 2*pivot - low;
s1:= 2*pivot - high;
r2:= pivot + (r1-s1);
s2:= pivot - (r1-s1);
r3:= high - (2 * (low - pivot));
s3:= low - (2 * (high - pivot));
sm1:=(pivot+s1)/2;
sm2:=(s1+s2)/2;
sm3:=(s2+s3)/2;
rm1:=(pivot+r1)/2;
rm2:=(r1+r2)/2;
rm3:=(r2+r3)/2;

Using August 4th High, Low and Close of 1.2068, 1.1968 and 1.2051 for the EUR/USD (may be off by a pip or so) I got the following values:

Pivot 1.2029
R1 1.2090
S1 1.1990
R2 1.2129
S2 1.1929
R3 1.2190
S3 1.1890
SM1 1.2010
SM2 1.1960
SM3 1.1910
RM1 1.2060
RM2 1.2110
RM3 1.2160

Does anyone have the URL for Peter Bain's website where he goes over the previous day's pivot points? I've only been able to find his website where he markets his system, I'd love to learn more about pivot points before committing to a system purchase.

Dialogue on pivot points and how you use them would be appreciated.

Thanks.

05-08-2004, 15:00	#1 (permalink)
Bhodee level 1 Join Date: Apr 2004 Posts: 27 Rep Power: 0	Pivot Points I've been reading about Pivot Points and would like to know how others are using them to trade - ie: are you waiting for R1 to be hit, then taking a short position with R2 as the stop and S1 as the target? Here's the list of forumlas from another thread: pivot:= (high + low + close) / 3; r1:= 2pivot - low; s1:= 2pivot - high; r2:= pivot + (r1-s1); s2:= pivot - (r1-s1); r3:= high - (2 * (low - pivot)); s3:= low - (2 * (high - pivot)); sm1:=(pivot+s1)/2; sm2:=(s1+s2)/2; sm3:=(s2+s3)/2; rm1:=(pivot+r1)/2; rm2:=(r1+r2)/2; rm3:=(r2+r3)/2; Using August 4th High, Low and Close of 1.2068, 1.1968 and 1.2051 for the EUR/USD (may be off by a pip or so) I got the following values: Pivot 1.2029 R1 1.2090 S1 1.1990 R2 1.2129 S2 1.1929 R3 1.2190 S3 1.1890 SM1 1.2010 SM2 1.1960 SM3 1.1910 RM1 1.2060 RM2 1.2110 RM3 1.2160 Does anyone have the URL for Peter Bain's website where he goes over the previous day's pivot points? I've only been able to find his website where he markets his system, I'd love to learn more about pivot points before committing to a system purchase. Dialogue on pivot points and how you use them would be appreciated. Thanks.