Pivot points

Intraday support and resistance levels calculated from the prior day's high, low and close.

Definition

The classic pivot is the average of the prior high, low and close; levels above and below it are projected from there. Day traders watch them because many other traders do.

Formula

Pivot P = (high + low + close) / 3; R1 = 2P - low; S1 = 2P - high

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