Pivot Points Standard with Middle Points

The Pivot Points Standard with middle points indicator provides a comprehensive set of support and resistance levels based on previous timeframe price action, including intermediate "middle points" for granular market analysis.

Usage

The tool is primarily used to identify potential reversal or breakout points in the market. Traders can utilize the standard Pivot (P), Resistance (R1-R3), and Support (S1-S3) levels to gauge market sentiment. The addition of middle points (mR1-mR3 and mS1-mS3) provides extra levels of interest where price often reacts or consolidates.

Key usage scenarios:

• Trend Identification: Prices trading above the main Pivot point typically indicate a bullish bias, while prices below suggest a bearish bias.
• Targets and Stops: Resistance levels serve as potential take-profit zones for long positions, while Support levels serve the same for short positions.
• Reversal Zones: Middle points act as secondary levels where a primary trend might stall before reaching a major standard pivot level.

Details

The script calculates the central Pivot Point using the classic floor pivot formula: (High + Low + Close) / 3 from the selected higher timeframe. Subsequent levels are derived from the range of the previous period. The "middle points" are unique additions calculated as the arithmetic mean between two adjacent standard levels (e.g., mS1 is the average of P and S1).

The indicator uses dynamic line drawings to ensure levels are projected forward clearly on the chart without cluttering historical data unnecessarily. It also includes built-in alert conditions for price crosses over major levels.

Settings

• Timeframe: Sets the anchor timeframe for the pivot calculations (e.g., Daily, Weekly, Monthly).
• Line Color: Customizes the color of all pivot lines and middle point lines displayed on the chart.

FAQ

How do I use the middle points?

Middle points act as additional support and resistance areas. If a standard level like R1 is broken, the mR2 level (between R1 and R2) often acts as the next minor hurdle for the price.

Can I change the source of the pivots?

The current version uses the standard high/low/close calculation from the previous period of the chosen timeframe. You can adjust the "Timeframe" setting to change which period the script references.

How do I access Pivot Points Standard with middle points?

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