Pivot Points calculate support and resistance levels from the previous candle's high, low, and close. The Pivot (P) is the central level, with Support 1 (S1) below and Resistance 1 (R1) above.
Visual Encoding
X-Axis: Time (candle intervals)
Y-Axis: Price levels (auto-scaled)
Pivot: Central level (solid)
S1: Support level (dashed)
R1: Resistance level (dotted)
Interpretation
Above Pivot: Bullish bias for the period
Below Pivot: Bearish bias for the period
S1 Support: Acts as support — expect bounces
R1 Resistance: Acts as resistance — expect rejection
Trading Signals
Price holding above the Pivot = bullish bias for the period
Price holding below the Pivot = bearish bias for the period
Bounce from S1 = potential long setup
Rejection at R1 = potential short setup
Price Overlay
Close Price: Actual closing price (same Y-axis, dashed violet)
Price bouncing off S1 = support level confirmed
Price rejected at R1 = resistance level confirmed
Price relative to Pivot shows directional bias for the period