What is a pivot point. How to Trade Pivot Points: Four Golden Rules! Disadvantages of Pivot Points or Why You Will Definitely Lose Using It

Pivot Points are a type of support and resistance level used by many intraday and short-term traders. When trading Pivot levels, many of the same rules apply as with other types of trading at .

Many traders keep a close eye on daily Pivots as they are considered key levels on intraday time frames. We will go through the basics and discuss a couple of trading strategies that can be used with daily Pivots.

What are Pivot Points?

Pivot points calculate horizontal price levels on the chart. These levels show potential areas where the price could reverse, especially during the first touch of these levels. Many Forex traders make their trading decisions based on intraday levels of the daily pivot, and intraday traders also play an important role because price action trading is closely related to these levels.

How to calculate Pivot levels?

The calculation of anchor points is quite simple. This requires only three numbers - closes, tops and bottoms.

To begin with, we must calculate the main fulcrum. The formula for this is:

Pivot Point (PP) = (Daily Top + Daily Low + Daily Close) / 3

Because the Forex market operates 24/5, there is some confusion about the timing for using the concepts of daily market opening and closing. Most forex traders use 11:59 (23:59) GMT for market close time and 12:00 AM (00:00 GMT) for market opening. By doing this, you can separate the daily trading sessions from each other.

Once you have a pivot, you can start calculating further upper and lower pivots. They are called the first, second and third pivot resistance levels, and the first, second and third pivot support levels.

Calculation of the first Pivot - R1, S1

So when we have the main pivot level, we can calculate the first support and resistance.

R1 = (2 x Pivot Point) - Daily Low
S1 = (2 x Pivot Point) - Daily High

Second Pivot Calculation - R2, S2

R2 = Pivot Point + (daily high - daily low)
S2 = Pivot Point - (daily high - daily low)

Third Pivot Calculation - R2, S2

R3 = Daily high + 2 x (Pivot Point - daily low)
S3 = Daily Low - 2 x (Daily High - Pivot Point)

I have shown you how to calculate Pivot levels, so now you can calculate and understand them yourself. We will now discuss some quick ways calculating pivot levels without having to do daily manual calculations.

Adding to the schedule

When applying the main level of the pivot, three supports and three resistances, there will be 7 various levels. As you have already understood from the above, it can be a bit tedious to do the calculations manually. Exist various options to get pivot levels without manual calculations.

Calculation of reference points on the calculator

There are many online calculators to calculate Pivot levels. When you open the Pivot Calculator, you will need to add three price variables. These are the daily high, the daily low and the closing price. After adding these values, you simply click on the "calculate" button and you will instantly get your anchor points. Once you have done this, you can simply place these lines on your chart.

Pivot levels indicator

Most of the trading software, available today, already supports this indicator, which will automatically calculate all levels for you and place them automatically on the chart. First, check the list of built-in indicators on your trading platform. If you don't have , you can download from our website.

When displaying the Pivot Levels indicator on a chart, you should see something like this:

It's 30 minute chart EUR/USD pairs for March 2, 3, and 4, 2016. horizontal lines on the chart are Pivot levels. The blue line is the center level. The lines above the main one are resistance levels: R1, R2 and R3. The lines below the blue line are support levels: S1, S2 and S3, (S2 and S3 are not visible).

We also see three vertical lines on the chart. These three lines separate different trading days. Please note that the Pivot levels of each trading day are built differently. This is because each trading day has different daily highs, lows, and opening prices. Thus, the pivot levels are very different.

Application in trade

There are a few basic rules for trading pivot points.

Be bearish when price is below the main Pivot level
Be bullish when the price is above the main Pivot level
Open a long position if the price rebounds from S1, S2 or S3.
Open a short position if the price bounces off R1, R2 or R3.

Since we have discussed the structure of Pivot levels and the way they are calculated, it is now time to demonstrate trading with Pivot on a chart.

Take a look at the image below:

This is the hourly chart of the USD/JPY pair from February 29 to March 4, 2016. The chart shows the price action of the pivot levels over the last five days.

The circles show the moments when the price consolidates and fluctuates around the pivot points (pivot levels). The arrows show when the price finds support or resistance around these levels.

In this example, we see that the price fluctuates around the level and in 8 cases we have a price reversal after the interaction with the pivot point.

Trading strategy by Pivot levels

Now that we have seen Pivot levels in action, we move on to applying some Pivot trading strategies.

Trading by Pivot levels using .

First, I'll show you how to use pivot points as part of a net price trading strategy actions without the help of any additional trading indicator. We will rely on to enter the market. If we enter the market on a breakout, we will place a stop loss below the previous pivot level. We are targeting the second pivot level after the breakout.

Look at this graph:

Terminology: Stop - stop loss level, Target - position target (take profit), Lont - long position (buy), Short - short position (sell), Breakout - price breakdown, Hammer - hammer model, Supported - support zone, Close - point exit from the position.

This is the hourly chart of the GBP/USD pair from January 28 to February 5, 2016. We have two breakouts through the PP (Pivot Point) level.

The first break through the blue level occurs at the beginning of the chart. It would be possible to enter a short position on GBP/USD. Stop-loss should be placed directly above R1 - the first pivot level above the main level. The target should be S2 - the second level below the main pivot level.

It is very important to emphasize that if your trade is considered overnight (lasts after the close of the day), then Pivot levels are likely to change during the next day. As such, your stop loss and target may need to be adjusted to reflect new levels.

According to trading example above, about six hours after the short pound/dollar trade, the price hits a target that would give us a potential profit of 138 pips.

The price starts to rise after reaching the target. In the middle of the next trading day, the GBP/USD pair breaks the main pivot level in a bullish direction. This is a good opportunity for long position. If you want to take advantage of this opportunity, you must place your stop order directly below S1, which is not visible in the picture at this particular moment. At the same time, your target should be on R2.

After the break of the main level, the price starts to rise and breaks through R1. The next day, the pivot levels are different. The price drops to the central level, and even closes below the candle. However, the candlestick is , which is the formation of a rejection candlestick. This suggests that the deal should remain open. Also, the stop loss below S1 remains intact. Then the price begins to consolidate, which lasts until the end of the trading day.

When the next trading day arrives, the pivot points are adjusted again and they are tighter. The main level is higher. The price tests the main pivot point as a level and bounces up. Then GBP/USD enters an uptrend and the target on R2 is reached.

Please note that after reaching the target, GBP/USD closes the candle above R2. This means that the uptrend could continue, leaving us with a third trading opportunity. If you are in long position, you should place your stop loss right below R1. Since the long position is open on a break through R2, the target limit order should be placed somewhere above R3 (we don't have R4). You can also use your own to determine how long you should stay in a position.

Trading with the MACD

In this pivot trading strategy, I will include the Moving Average Convergence Divergence () indicator. The essence of this strategy is to match the pivot breakout point or hit hard with a MACD transition or divergence. When you use signals from both indicators, you must enter the market in the respective direction. In this trade, you should also use a Stop Loss as with the previous strategy. Your stop should be at the previous pivot level. You should stay in the trade until the MACD gives the opposite signal. The image below will make the picture more clear to you.

This is the hourly chart of the USD/CAD pair for February 19 - 26, 2016. The image shows one long and two short possible positions. Signals are based on breakouts of pivot levels and MACD crosses.

Let's start with the first trading position, which is short. MACD lines cross down and we get the first signal for a possible downtrend. A few hours later, we see that the price has broken the main level, and this is the second bearish signal in this case. You can now go short USD/CAD based on this trading strategy. Stop loss should be placed just above the R1 level, as shown in the image.

The price starts a downward movement. However, we see a correction to the main level (first black arrow). Then the price bounces off the level and the decline continues. The second swing in a bearish trend leads to a bullish crossover of the MACD lines and the trade should be closed. One could take 53 pips of profit from this trade.

Notice that a few hours after the MACD bullish cross, the price is already above the main pivot point. There are two relevant signals coming from Pivot and MACD levels. This looks like a good opportunity to go long. In this case, the stop loss should be placed below the S1 level. The price starts to rise and the MACD begins to trend in a bullish direction. In the middle of the next trading day, the MACD lines interact in a bearish direction. This should be taken as a close signal. A long trade would result in a profit of 57 pips.

The price rises to R1 and starts approaching this resistance level. All of a sudden, USD/CAD bounces in a bearish direction. At the same time, the MACD lines are crossing in the bearish direction. This is another combination of two signals from Pivot and MACD levels, and is an opportunity short position. The price immediately goes below the pivot point and continues to decline rapidly. A correction occurs after that and the MACD lines almost cross in a bullish direction. However, there is no bullish confirmation from the MACD for a trade. Prices continue to move down. The next swing in a bearish trend results in a bullish cross in the MACD, which should be taken as an exit signal. This trade would result in a profit of 235 pips within about two days.

Conclusion

Pivot levels are important intraday chart levels that act as support and resistance levels.

Pivot levels are considered very objective because they are calculated using an exact formula.
The basic pivot level configuration includes a basic pivot level with three upper resistance levels (R1, R2 and R3), and three lower support levels (S1, S2 and S3).
Pivot levels are calculated using the daily high, low and closing price of a Forex pair.
To set a daily time frame, many traders use a single period:

Start: 00:00 AM GMT
End: 11:59 PM GMT

Every trading day, the PP, R1, R2, R3, S1, S2 and S3 levels change their location as the daily highs, lows and closing prices are different every day.

You should always use a stop loss when trading Pivot levels. A good stop placement is the previous pivot level above/below the position opening level.

You should take profit after the price passes two Pivot areas, or based on other hints price action or confirmation signal of the indicator.

Two methods for trading Pivot levels:

Trading with Price Action
Trading with the MACD

The pivot point of currency pairs in the Forex market is usually called the Pivot or Pivot Points. The ability to correctly identify it is considered one of the key points for successful trading. Note that you can work effectively with pivot points knowing only three elements:

Power reserve per trading session or day (difference between the maximum and minimum price - Low and High).
Pivot point during a trading session or day.
Trend direction.

If we use the “trend is your friend” rule and make trades exclusively in the direction of the main movement, knowing the location of the pivot point will allow us to:

determine the earning potential within a trading session or day;
insure yourself against large losses in the event of an unforeseen change in trend for us;
it is advantageous to enter the market at the beginning of a directional movement, and not in its middle or end, when it is too late to “catch profit”.

Ability to correctly determine Pivot Points- a necessary (though not sufficient) condition for obtaining a stable profit from making purchases and sales in Forex.

Pivot calculation

The scheme proposed by us underlies the world-famous Pivot Points tactic.

Pivot point is calculated by the formula:

Pivot = (High + Low + Close) / 3

high - yesterday's high;
low - yesterday's low;
close - yesterday's close price.

R1 = 2Pivot - Low;

S1 = 2Pivot - High;

R2 = Pivot + (R1 - S1);

S2 = Pivot - (R1 - S1);

R3 = High + 2 × (Pivot - Low);

S3 = Low - 2 × (High - Pivot).

R1,R2,R3 - resistance levels;
S1,S2,S3 - support levels.

The Pivot Points tactic is binary in nature. Each subsequent move logically follows from the previous one and is its continuation. key point remains a pivot. If the trend continues, the pivot point follows it.

Note that this simple calculation system largest banks and funds have been in use for more than half a century.

However, the classic Pivot Points tactic did not change the ratio of successful and losing traders, which remained in the proportion of 1 to 20. Therefore, it is legitimate to talk about the shortcomings of this system, as well as look for ways to improve it.

Disadvantages of Pivot Points or why you will definitely lose using it - the conclusions of Masterforex-V.

Pivot Points are a "toy" for analysts, not forex traders. Why?

1. For traders of Masterforex-V, the trend is important, and not a shift INSIDE of it of some kind of Pivot Points by 40 or 50 points to one side. For example, on April 17, GBPUSD broke through important level accumulation of orders 1.4319 and consolidated UNDER it

target #1 (intermediate level of MF) = 1.4072
target #2 (serious MF level) = 1.3993

ABOVE the level of 1.3993 and will repeat the summit assault
UNDER the level and then its targets are below (1.3789 and 1.3578). This is exactly the scenario that happened in the market.

Is THIS information from the closed forum of Masterforex-V traders enough for you? Plus tips online experienced traders on the forum and skype? And what ADDITIONAL important information could classical Pivot Points give you? That's right, none.

But analysts brokerage companies and "independent" Internet media every day could tell readers with a smart look that the pound dollar lost 150 punts in a day, and the pivot points at this (!!) minute is at the level of XXX. And so every day for 10 days with the obligatory indication of the "pivot point" Pivot Points from which, allegedly, the GBPUSD can "start up", moreover, the analyst is responsible for "upward reversal on a bearish trend", the analyst SHIFTS from himself to... Pivot Points .

2. At what point in time to calculate Pivot Points (high, low and closing price of the day), if the Forex market is open around the clock? It turns out that in Europe - one pivot, in America - another, and in Asia - the third. And all this must be applied to the SAME market situation, although all three variables (High, Low, Close) in the early corners of the world are different for residents of Tokyo, Moscow, London and New York.

Author's pivots Masterforex-V.

Pivots MF1, MF2 and MF3, unlike the classic Pivot Points, are built on real trend reversal points and do not depend on the High, Low and Close of the day. I repeat, it is not the day of the trend that is important, but the point of correction (rollback), thanks to which we clearly see

levels of accumulation of orders (they are built on the intersection of MF pivots, as REAL trend reversal points);
end of the trend (pivot MF3) and the beginning of the correction;
transition to the senior TF (pivot MF2)
transition to an even higher IF (MF1 pivot) with a reversal of the entire trend.

Examples of pivots and trading tips with their use are given on the closed forum of the Academy for traders of Masterforex-V. I don't want the market to "take into account" these 3 author's tools out of 30, the intersection of which gives a strong signal to buy or sell.

Here, in the public domain, I simply give you strong and intermediate levels, looking at which you will understand how much easier it is to understand the market through the intersection of the MF pivots.

Online example for EURUSD:

Or an example online for NZDJPY. Pay attention to how the price moves from level to level of the MF and tells us the market algorithms.

The so-called "pivot points" are potential reversal points of trend positions that identify support and resistance levels. All calculations on the values of the potential reversal are carried out through historical analysis. On numerous resources that are present on the World Wide Web, there are special calculation calculators. In these online applications, market players independently enter points of resistance and support levels for the previous trading period (for example, for the last day) and, as a result, get access to possible Pivot points. At the same time, there are resources that provide traders with final settlements.

Logical Aspects of the Pivot Point Technical Method

Notably, the Pivot Point technique is seen as clear evidence that self-fulfilling prophecies do exist. After all, the indicator of pivot levels is an indispensable tool for those market participants who find themselves in the “exchange trap”. At the same time, the Pivot Point methodological analysis turned out to be effective due to the numerous transactions of the same type that were carried out by traders. Derived indicators of pivot levels still work.

Those who claim that the methods of reference (basic) points are no longer in demand by traders are mistaken. Since the vast majority of market participants use them to this day. This circumstance testifies that the reference point method is a promising direction and can bring positive results.

However, there are some concerns related to the fact that the pivot point methodology was formed in accordance with the already outdated Forex cycles. Nevertheless, it cannot be ruled out that the indicator of pivot levels has undergone a transformation, that is, it has adapted to new realities.

Pivot points. How to use?

To do this, you need to visit the resource ru.investing com Next, you need to find a section called "Technical analysis" (it is located in the top menu). After that, you need to enter the group called "Pivot Points".

Let's decipher the table:

"PP" - Pivot Points - is the very necessary reversal point;
"S" stands for support level;
"R" - resistance level.

The most adequate reaction of the exchange happens when the market is activated under the "PP". At the same time, the dynamics of its upward movement slows down slightly at the “R1” mark, after which it reaches “R2”, and at the end it tends to go down. As a rule, the value can jump out of the resisting levels. And the crossing of the “R3” border indicates that a clear uptrend should be expected. At the same time, the table is equipped with an option that allows you to determine the time interval. For binary options trading, it is best to use a short period of time (no more than 30 minutes). As for the Forex system, it is more rational to choose an interval of one or 5 hours.

Methodology for calculating the indicator of pivot levels

In the process of calculating the indicator of pivot levels, it is necessary to use algorithms such as: “P” = (“Capital indicator” + “Minimum indicator” + “Cost of completion”) / “3” is the main boundary, based on the PP technique.

The first resistance is equivalent to the calculation: "P" is multiplied by "2" and the "Minimum value" is subtracted.
The second resistance is equivalent to the calculation: the “Limit value” is added to “P”, after which the “Minimum value” is subtracted from the resulting parameter.
The third resistance is equivalent to the calculation: "2" is added to the "Limit value", then the resulting amount is multiplied by ("P" from which the "Minimum value" must be subtracted).
The first maintenance level is equivalent to the calculation: "P" is multiplied by "2" and the "Limit value" is subtracted.
The second support level is equivalent to the calculation: the “Limit value” is subtracted from “P”, after which the “Limit value” is added again to the resulting amount.
The third support level is equivalent to the calculation: “2” is subtracted from the “Minimum value”, and then the resulting parameter is multiplied by (“Limit value”, from which “P” must be subtracted).

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Varieties of pivot points

The above formula, by which pivot points are determined, is not the only one. Many researchers have developed their own algorithms that allow you to calculate support and resistance levels. So you have the opportunity to use the following options:

traditional;
classic;
formula based on Fibonacci numbers;
Woody's algorithm;
De Mark's calculations;
formula "camarilla".

The pivot point of currency pairs in the Forex system is a pivot or PP. If a trader knows how to calculate it, then he will be able to effectively make transactions on the stock exchange. It does not require any special knowledge. To work with pivot points, it is enough to navigate in just 3 elements:

power reserve for an entire trading session or a day (taking into account the imbalance between the highest and lowest prices);
pivot point on Forex, which is reflected during the trading session or day;
trend vector.

If we take as a basis the rule that says that “the trend is your friend”, then you should make transactions only in the direction of the main vector.

At the same time, information regarding the location of the pivot point allows:

identify possible earnings within a trading session or a day;
insure against significant losses if an unexpected change of direction occurs;
it is effective to enter trades with a directed movement, and not in an average or final position, when it is no longer necessary to count on profit.

Strategic trading by pivot levels

Initially, a market player needs to mark the levels on the chart. For these purposes, he uses quote data, candlestick formations and levels for the previous day. So he will be able to identify potential turning points of the current trading day.

In the event that the exchange of this trading session activates above the main level of the PP, then during the day the market participant should focus on contracts involving the acquisition of an asset. When the value on the exchange at its opening does not reach the central border, then there should be short-term transactions in favor. Also practical trade does not do without such reference components as the center and points "R1", "S1".

Trading using pivot RRs involves identifying a breakout or change in R1 as well as S1. In the vast majority of cases, when the market rests on the pivot levels "S2", "S3" or "R2", "R3", this means that there has been a resale or repurchase of market positions. Therefore, these levels are used by the market participant to complete rather than activate positions. Effective entry into one or another trading position occurs at the moment when the exchange begins to activate, being above the main reference indicator. It should also gradually descend and, at the same time, cling to the pivot level “R1”. The latter must always break through. As a result, the market will inevitably approach R2. In this scenario, the most the best option entry into exchange trading is to overcome the pivot level "R1" and the subsequent movement to "R2". When exchange trading does not stop, it is possible to complete a fragmentary position that has reached the “R2” level. As for the remaining fragments of positions, they must be kept in order for prices to reach R3. There are times when "R1" as well as "S1" cannot be penetrated. Then it is required to participate in exchange trading in conditions of a rebound in value from these indicators.

Strategic trading on pivot levels within certain boundaries

In this scenario, pivot levels are used as classical supporting and resisting indicators. Their importance is calculated by the time frame that was used to form these levels. Also of no small importance is the range of verification of indicators. The more often the price bounces off the pivot levels, the more durable they will be. In such conditions, it is impossible to do without the classical trading scheme in the range. As soon as the price of the asset reaches the 1st resisting pivot level, the market participant immediately enters the position in the opposite direction. At the same time, it sets Stop-loss above the 1st resisting level. When the value of an asset approaches the 1st support level, the market player becomes an active buyer of assets. At the same time, it moves Stop-loss under the 1st supporting indicator.

Strategic trading when breaking pivot levels

Let's assume that the value of an asset is unstable and varies within the unfolding Pivot point and ends under its borders. You enter exchange trading and activate a Sell position. In this case, your Stop-loss must be placed above the pivot level. As for the order, which is called Take profit, it must correspond to "S1". When the value of the asset is under "S1", then you should move the Stop-loss and place it above this level. After that, it is recommended to observe the trends that appear on the stock exchange. Often the price still continues to move to S2 and S3. Therefore, it is necessary to move the very first Take profit closer to this indicator. Do not ignore the following situation. When a pivot level is broken, it is more rational to wait for additional testing of this level. Only then should the trading position be activated.

"ABC" of a novice trader:

when the value of an asset is located in the same coordinate system as the level of the central pivot level, then it is necessary to monitor the movement (the latter can head for "S1" or "R1");
when the price approaches R1, it will eventually touch R2 (however, it can also approach the central pivot level);
when the value of the asset approaches “S1”, there will be a further movement to “S2” or a return to the central pivot level;
when the price reaches "R2", it will subsequently approach "R3" or return to the initial level "R1";
when the price reaches "S2", it will start moving towards "S3" or return to "S1";
in the event that there are no important news occasions in the Forex system, then often the price starts moving near the pivot levels to “S1” or “R1”;
when there are important news occasions, then the price during the exit process can immediately break through "R1" or "S1" and approach "R2" or "S2" (there are situations when it rests on "R3" or "S3");
usually "R3" and "S3" reflect limit values the direction of the value of the asset, in particular, with significant volatility (but, as a rule, under the condition of calm exchange trading, approaching these indicators rarely occurs);
Pivot levels function ideally during the flat direction of exchange trading, when the value of an asset varies in the range of "R1", as well as "S1".

At the same time, novice traders should understand that the use of pivot levels is not a guarantee that the value of an asset will reverse from these levels. It is best to use these levels in conjunction with other tools that are created for technical analysis.

Part #1: THEORY

Today one of the newcomers binary options with this request: "I liked the Pivot points trading strategy. I have already visited more than 10 sites where this strategy is described, but I could not apply it. I don’t understand when to open a deal ??? Everyone writes that you need to wait until the price drops to the pivot point and immediately take on an increase. But in fact, the opposite is true. The price is always below the pivot point, and as soon as it grows to it, it turns in the other direction. That is, it falls. Because of this, a mess in my head. Help me figure it out, if not difficult."

Personally, I became interested and I also decided to climb other sites with strategies. I opened their articles one by one and my hair stood on end. Firstly, they seem to be written as a carbon copy. Secondly, indeed with an error that will inevitably lead to the loss of investment in the option. I got the feeling that these articles were written about Pivot points people, either very far from the options market, or they themselves have never used this strategy!))

So I decided to add this article. now this step-by-step instruction, which will help you apply Pivot points to earn money. I added my personal observations and skills from practice. You will not read this anywhere else (only if my "colleagues" do not rewrite my strategy as a carbon copy on their site). If all this is observed, the strategy will be very a high percentage profitability.

Have you ever heard the expression: “The bearish market mood is changing to bullish”? Do you know what it means? The essence of the expression is that after a decrease in the value of an asset (bearish market sentiment), there is an increase in the value of the same asset, that is, its growth (bullish market sentiment). And here is the celebrity of the financial market itself.

Now let's look at the concept Pivot Points. They are used in most technical analyses. And they mean points of reversal and resistance. It is at these points that the trends (downward and upward) replace each other.

1) The first thing to do is to open economic news calendar! Pivot points are used for short term trading currency pairs. Therefore, you need to make sure that no important news is expected for the corresponding currency. Whatever strategy you use, it will not work if the economic calendar data comes out. I do not trade half an hour before the news on the corresponding currency and half an hour after its release. At this hour, the market is not stable: it either prepares for new data or reacts violently to it. And we need peace!

Below I have imported an online economic calendar for you, follow the news on it.

2) Technical analysisClassic Pivot Points (Pivot Points).

!!!The table works in online mode, table indicators are updated automatically!!!

Name	S3	S2	S1	Pivot points	R1	R2	R3
EUR/USD	1.1081	1.1090	1.1096	1.1105	1.1111	1.1120	1.1126
USD/JPY	107.89	107.94	107.97	108.02	108.05	108.10	108.14
GBP/USD	1.2166	1.2218	1.2256	1.2308	1.2346	1.2398	1.2436
USD/CHF	0.9493	0.9503	0.9509	0.9519	0.9525	0.9535	0.9540
USD/CAD	1.3777	1.3789	1.3798	1.3810	1.3819	1.3831	1.3840
EUR/JPY	119.59	119.72	119.81	119.94	120.03	120.16	120.25
AUD/USD	0.6154	0.6162	0.6172	0.6180	0.6190	0.6198	0.6208
NZD/USD	0.6025	0.6036	0.6050	0.6061	0.6075	0.6086	0.6099
EUR/GBP	0.8932	0.8958	0.8995	0.9021	0.9058	0.9084	0.9122
EUR/CHF	1.0524	1.0542	1.0554	1.0572	1.0584	1.0602	1.0614
AUD/JPY	66.41	66.53	66.62	66.74	66.84	66.95	67.05
GBP/JPY	131.36	131.94	132.36	132.94	133.36	133.94	134.35
CHF/JPY	113.19	113.28	113.39	113.48	113.59	113.68	113.79
EUR/USD	1.5285	1.5303	1.5316	1.5334	1.5347	1.5365	1.5378
AUD/USD	0.8491	0.8505	0.8518	0.8532	0.8545	0.8559	0.8572
NZD/USD	0.8320	0.8336	0.8353	0.8369	0.8386	0.8402	0.8420
USD/JPY	78.09	78.14	78.18	78.22	78.26	78.30	78.34
NZD/JPY	65.08	65.21	65.34	65.47	65.61	65.73	65.87
AUD/NZD	1.0158	1.0172	1.0182	1.0196	1.0206	1.0220	1.0230
GBP/AUD	1.9742	1.9808	1.9851	1.9917	1.9961	2.0026	2.0070
EUR/AUD	1.7894	1.7918	1.7943	1.7967	1.7991	1.8016	1.8040
GBP/CHF	1.1552	1.1613	1.1655	1.1716	1.1758	1.1819	1.1861
EUR/NZD	1.8236	1.8268	1.8291	1.8323	1.8346	1.8378	1.8400
AUD/CHF	0.5842	0.5856	0.5868	0.5882	0.5893	0.5908	0.5919
GBP/NZD	2.0096	2.0175	2.0225	2.0304	2.0354	2.0433	2.0483
USD/CNY	7.0084	7.0085	7.0085	7.0086	7.0086	7.0087	7.0088
USD/INR	73.840	73.851	73.856	73.868	73.873	73.885	73.890
USD/MXN	21.8415	21.8575	21.8725	21.8885	21.9035	21.9195	21.9345
USD/ZAR	16.1732	16.2106	16.2478	16.2852	16.3224	16.3598	16.3970
USD/SGD	1.4135	1.4139	1.4144	1.4148	1.4153	1.4157	1.4163
USD/HKD	7.7689	7.7692	7.7693	7.7695	7.7696	7.7698	7.7700
USD/DKK	6.7167	6.7205	6.7251	6.7289	6.7335	6.7373	6.7419
GBP/USD	1.6794	1.6867	1.6920	1.6994	1.7047	1.7121	1.7173
USD/SEK	9.6824	9.6938	9.7010	9.7125	9.7197	9.7312	9.7383
USD/RUB	72.5804	72.5950	72.6053	72.6199	72.6302	72.6448	72.6551
USD/TRY	6.3169	6.3215	6.3265	6.3310	6.3360	6.3405	6.3455
BTC/USD	5379.1	5379.2	5379.1	5379.2	5379.1	5379.2	5379.1
BTC/EUR	4958.9	4977.1	4986.1	5004.3	5013.4	5031.6	5040.6

16:52:58 16:52:58

Now let's look at how to read indicators correctly Points Pivot (Pivot Points). This strategy is good for five minute options, therefore, the table with indicators is set up for me on 5 minute interval.

Now let's look at the Pivot Points table item.

In my screenshot above, we see that

currency pair EUR/USD minutes has a Pivot Point - 1.1259

currency pair GBP/USD minutes has a Pivot Point - 1.5382

Having received this data, we can safely start earning from one of the binary options brokers. The main thing is that Short-term options for 5 minutes are available on the platform.

Now we look at the rate for the currency pair of interest on the broker's platform. For example, let's take EUR/USD. If in this moment well currency pair below Pivot points 1.1259, then you should buy an option to increase. From my experience: I will take a raise if I see that the current rate is lower than one hundredth from the Pivot point, and this is not higher than 1.1190. If the rate is higher than the Pivot point of 1.1259 (I wait until 1.1290 or even 1.1359), you can safely take it down. The pivot point is the pivot point. If the rate is below it, then it will grow, and at this point it will turn to fall.

Another observation of mine, if you trade currency pairs. I trade EUR/USD and GBP/USD during the European session(the volatility of EUR and GBP is then higher), and USD/JPY after lunch Moscow time. The American trading session opens, USD is more active then.

That's all. Agree nothing complicated. If you have a demo account, practice, watch the points change (they are not constant for an hour or a day). I periodically update the data page for up-to-date information! After that, you can safely move on to real trading. It is better to start with a minimum investment.

Part #2: PRACTICE

Now I'll show you how I use this strategy. I use it very often, the percentage of profitability is high!

1) I check that there are no important news on the economic calendar in the near future;

2) I open the platform of my broker;

3) I analyze the table with Pivot Points;

4) and then quickly check the currency pairs and their current exchange rate one by one. Is it very different from the provided pivot point. If the value of the currency pair is much lower, I open an option to increase. If the value of the currency pair is much higher, I open a down option. I got 3 forex pairs.