Daily Pivot (Fibonacci)

The Daily Pivot (Fibonacci) indicator is a versatile technical analysis tool that automatically calculates and plots daily support and resistance levels using both Traditional and Fibonacci methodologies. It serves as a comprehensive framework for intraday traders to identify potential price reversals or breakout points based on the previous period's price action.

Usage

The indicator can be used to identify key psychological levels where price is likely to react. Traders often look for long entries when price bounces off a Support (S) level or short entries when price rejects a Resistance (R) level.

• Pivot Point (PP): Acts as the primary anchor for the session's bias. Trading above the PP generally suggests a bullish sentiment, while trading below suggests a bearish sentiment.
• Fibonacci Mode: Calculates levels (R1-R5 and S1-S5) using Fibonacci ratios (0.382, 0.618, 1.0, 1.382, 1.618) applied to the previous session's range.
• Traditional Mode: Uses standard floor pivot calculations for support and resistance levels.
• Intraday Focus: The tool is designed for intraday charts, where it project levels from a higher timeframe (defaulting to Daily) onto the current chart.

Details

The script utilizes the request.security function to fetch the High, Low, and Close prices of the previous session based on the user-defined "Pivot Timeframe."

• Traditional Formula: R1 is calculated as PP * 2 - Low, whereas S1 is PP * 2 - High.
• Fibonacci Formula: Levels are determined by adding or subtracting specific multiples of the previous range (High - Low) from the Pivot Point. For example, R1 is PP + 0.382 * (High - Low).

The indicator includes a dynamic labeling system that adjusts based on the "Pivot Label offset" setting, ensuring that price levels and their corresponding values remain visible at the edge of the chart.

Settings

• Pivot Type: Choose between 'Traditional' or 'Fibonacci' calculation methods.
• Pivot (Checkbox): Toggles the visibility of the central Pivot Point line.
• R1 - R5: Individual checkboxes to toggle specific Resistance levels.
• S1 - S5: Individual checkboxes to toggle specific Support levels.
• Pivot Label offset: Adjusts the horizontal placement of the price labels to prevent overlap with candles.
• Timeframe: Defines the lookback period used for calculation (default is 'D' for Daily).

FAQ

How do I change the calculation method?

You can switch between Traditional and Fibonacci methods in the "Pivot Type" dropdown menu within the script settings.

Why are the levels not appearing on my chart?

Ensure you are viewing an intraday timeframe (e.g., 1m, 5m, 1h) and that the "Pivot" or specific "R/S" checkboxes are enabled in the settings.

Where can I find more tools like this?

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