Indices Trading Pivot Points Analysis & Pivot Points Trading Signals

Pivot Points Stock Indices Indicator consists of a central indices pivot which is surrounded by 3 resistance areas above and Three support areas below the center pivot.

Pivot Points Stock Indices Technical Indicator is considered to be leading technical indicator.

Pivot Points Indices Indicator provides a quick method for stock indices traders to analyze the general indices trend and analyze how the stock indices trading market is going to be moving during the day. A few calculations are used to plot the resistance and support levels for pivot point indicator.

To calculate these support & resistance areas for the coming trading day - the previous day's

• high,
• low, and
• closing indices prices are used

The indices trading day closes at 5:00PM EST and this daily closing time is when the Pivot Points Stock Indices Indicator is updated.

24-hour cycle for this Pivot Points Indices Indicator are calculated using a complex formula - the central indices pivot is then used to calculate the support & resistance areas as follows:

Resistance Level 3

Resistance Level 2

Resistance Level 1

Indices Trading Pivot Point Technical Analysis

Support Level 1

Support Level 2

Support Level 3

Pivot Points Indicator

Pivot Points Indices Indicator can be used in different techniques to generate trading signals. Following strategies are the most oftenly used technical analysis strategies:

Pivot Points Indices Technical Indicator Trend Identification

The central indices pivot point is used by stock indices traders to determine the indices trend direction. The stock indices trades opened by traders will only be in direction of this stock indices trend.

• Buy indices signal - bullish indices trend - stock indices price is above the central indices pivot point
• Sell indices signal - bearish indices trend - stock indices price is below the central indices pivot point

Pivot Points Indices Indicator Price Break-out Signals

Indices price break-out signals are generated as follows

• Buy indices signal is generated when the stock indices price breaks upwards through the central indices pivot point.
• Sell indices signal is generated when the stock indices price breaks-out downward through the central indices pivot point.

Pivot Points Indices Indicator Price Break out

Pivot Points Indices Indicator Price Reversal Trading Signal

Pivot Points Indices Indicator Trading Indices Price reversal stock indices signals are generated as follows

Buy indices trade signal - when stock indices price moves down toward one of the pivot support area, then touches the support zones or moves slightly through this support area then quickly reverses and moves upwards.

Sell indices trade signal - when stock indices price moves up toward one of the pivot point resistance level, then touches resistance area or moves slightly through this resistance area then quickly reverses & moves downwards.

Pivot Points Indices Indicator Price Reversal Trading Signal

Setting Stoploss & Take Profit Indices Order Levels

The central indices pivot-point & the other support levels & resistance levels of this pivot points indicator are used by stock indices traders to determine suitable indices stop loss setting levels and indices take profit areas.

Setting Indices Stop Loss Trading Order Levels and Setting Take Profit Indices Order Levels

If a buy order is placed above the central indices pivot point the Resistance Level 1 or Resistance Level 2 can be used to set the take profit level, and the Support Level 1 can be used to set the Stop Loss Indices Order Level for the indices trade.

To download Trading Indices Pivot Points MetaTrader 4 Indicator: https://c.mql5.com/21/9/pro4x_pivot_lines.mq4 Once you download the Pivot Points Stock Indices Indicator - open the indicator with MQL4 Language Editor, Then Compile Pivot Points MetaTrader 4 Indicator by pressing the Compile Button and Pivot Points MetaTrader 4 Indicator will be added to your MetaTrader 4 platform. NB: Once you add Pivot Points MetaTrader 4 Indicator to your MetaTrader 4, the indicator has additional lines named Mid Points, to remove these additional Pivot Points MetaTrader 4 Indicator lines open MQL4 Language Editor(shortcut keyboard key - press F4), and change line 16 from: extern bool midpivots = true: to extern bool midpivots = false: Then Press Compile again, and Pivot Points MetaTrader 4 Indicator will then appear as exactly shown on this learn indices web site.