The pivot point is generally used by traders in banks and large institutions. As these groups of people that form a large volume of transactions, usually cause the price movement.
The pivot points are considered, higher levels of support and resistance where it is likely to see the revulsion in prices.
What it consists:
____WEEKLY_____
Weekly - R3 = 1.4665
Weekly - R2 = 1.4418
Weekly - R1 = 1.4103
Weekly Pivot = 1.3856
Weekly - S1 = 1.3541
Weekly - S2 = 1.3294
Weekly - S3 = 1.2979
One of the strategies is to seek a period of congestion, rather than a period trend. This can be found at the extreme levels of R2, R3 or S2, S3.
____MONTHLY______
Monthly - R3 = 1.5455
Monthly - R2 = 1.4851
Monthly - R1 = 1.4354
Monthly Pivot = 1.3750
Monthly - S1 = 1.3253
Monthly - S2 = 1.2649
Monthly - S3 = 1.2152
