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.
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.
In the chart of the Euro against the U.S. dollar. We note that the line of the weekly Pivot Point (1.2830) is located above the current quote, if the market continues upward with the same force that began the week, we can buy position, just above the close of the pivot point.
____WEEKLY_____
Weekly - R3 = 1.3345
Weekly - R2 = 1.3210
Weekly - R1 = 1.2965
Weekly Pivot = 1.2830
Weekly - S1 = 1.2585
Weekly - S2 = 1.2450
Weekly - S3 = 1.2205
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____MONTHLY______
Monthly - R3 = 1.4066
Monthly - R2 = 1.3808
Monthly - R1 = 1.3374
Monthly Pivot = 1.3116
Monthly - S1 = 1.2682
Monthly - S2 = 1.2424
Monthly - S3 = 1.1990
