BuyHighSellLow - Pivot points

The BuyHighSellLow - Pivot points indicator is a trend-following tool designed to identify breakout opportunities and trend reversals using multi-timeframe pivot levels. By utilizing price action relative to specific resistance and support zones, it aims to capture extended market moves.

Usage

The script is primarily used to execute a breakout strategy based on pivot point levels. Traders can use it to identify entries and exits based on the following logic:

• Long Entry: Triggered when the price closes above the R1 (Resistance 1) pivot level.
• Short Entry: Triggered when the price closes below the S2 (Support 2) pivot level.

The indicator is versatile across different timeframes. By adjusting the Resolution parameter, users can control the duration of the trades. A higher resolution (e.g., Daily or Weekly) will result in longer-term trade signals, whereas a resolution closer to the chart timeframe will provide more frequent, shorter-term signals.

Details

This tool implements classic pivot point calculations to derive five resistance levels (R1-R5), five support levels (S1-S5), and a central Pivot Point (PP). The script features a unique "Higher Timeframe Multiplier" logic; if the resolution is left blank or matches the current symbol, the tool automatically calculates a higher timeframe based on the user-defined multiplier to ensure the pivots remain significant relative to the current chart.

Settings

• Source: Determines the price data used for crossover and crossunder calculations (default is Close).
• Resolution: Sets the timeframe used to calculate the pivot points (e.g., 4D, D, W).
• Higher Timeframe multiplier: Used to automatically derive a pivot resolution if the primary resolution is not manually specified.
• Trade Direction: Filters signals to show only "Long", only "Short", or "All" trades.
• Backtest from / Timeframe: Defines the starting point for historical performance data (Backtest range).
• Hide Bands: Toggles the visibility of the pivot level lines and background color zones on the chart.

FAQ

How do I use the Higher Timeframe Multiplier?

If you want the script to automatically adapt to your chart, ensure the Resolution setting is empty or matches your current chart. The script will then multiply your current timeframe by this value to create the pivot levels.

What is the difference between the R and S levels?

R1 through R5 represent resistance levels above the central pivot point, while S1 through S5 represent support levels below it. This script specifically triggers long positions on R1 breakouts and short positions on S2 breakdowns.

How can I access BuyHighSellLow - Pivot points?

You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.