Forex Pivot Points

Pivot Points are widely used by day traders to quickly determine where forex market sentiment may change between bullish and bearish. Pivot Points are also commonly used to find likely Support and Resistance levels. Pivot Points are calculated using the Open, High, Low, and Close prices for the previous period.

First, check the list of indicators your trading platform offers. Results achieved on the demo account are hypothetical and no representation is made that any account will or is likely to achieve actual profits or losses similar to those achieved in the demo account. This is so, because each trading day has different daily high, low and close values. When the next trading day comes, the pivot points are readjusted again and they are tighter.

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Forex pivot points are calculated horizontal price levels on the chart. These levels show potential areas where the price can reverse, especially during the first touch of these levels. Many Forex traders make their intraday trading decisions based on daily pivot levels, and as such it is important for intraday traders to watch price action at these .

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