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    Pivot Points Calculator

    What is Pivot Points Calculator?

    The Pivot Points Calculator is a must have tool for forex traders. Pivot points are technical analysis indicators that show the overall market trend over different time frames. This calculator helps you find the key support and resistance levels based on previous days high, low and close. With these levels, you can make better entry and exit decisions, reduce risk and increase profits. The tool is easy to use and gives you instant calculations to support your live trading.

     

    How Does The Pivot Points Calculator Work?

    The Pivot Points Calculator uses the high, low and close of the previous trading day to calculate the pivot point and support and resistance levels. Here’s how it works:

    1. Input Data: Traders input the previous day’s high, low, and closing prices into the calculator.
    2. Calculate Pivot Point: The calculator uses these inputs to compute the central pivot point (P) using the formula: 

                                                                      P = ( High + Low + Close ) / 3                    

    1. Determine Support and Resistance Levels: Once the pivot point is calculated, the tool then computes the support (S1, S2) and resistance (R1, R2) levels using the following formulas:
      • First resistance (R1) and support (S1) levels: 

                                                                      R1 = ( 2 × P ) − Low 

                                                                      S1 = ( 2 × P ) − High 

    • Second resistance (R2) and support (S2) levels: 

                                                                      R2 = P + ( High − Low )

                                                                      S2 = P − ( High − Low )

    1. Display Results: The calculator presents the pivot point along with the calculated support and resistance levels, which traders can use to make more strategic decisions.

    This automated process eliminates the need for manual calculations, ensuring accuracy and saving valuable time for traders.

    Why use the Forex Profit Calculator

    Using the Forex Pivot Points Calculator offers several benefits to traders, making it an indispensable tool in forex trading:

    1. Accurate Market Analysis: The calculator provides precise support and resistance levels, which are critical for identifying market trends and potential reversal points.
    2. Time-Saving: Manual calculation of pivot points can be tedious and error-prone. This tool automates the process, delivering instant and accurate results.
    3. Improved Decision-Making: By understanding key levels in the market, traders can make more informed decisions about when to enter or exit trades, thus enhancing their trading strategy.
    4. Risk Management: Identifying support and resistance levels helps traders manage risk by setting appropriate stop-loss and take-profit orders.
    5. User-Friendly: The tool is designed to be simple and easy to use, making it accessible for both novice and experienced traders.

     

    Overall, the Forex Pivot Points Calculator is a valuable resource for optimizing trading strategies, improving profitability, and managing trading risks effectively.