DailyPivotPoints - MetaTrader 5 Script | Forex Indicators Download - MT4/MT5 Resources

The Daily Pivot Point indicator helps paint a picture of the market's future direction, unlike other tools behind the market.

Information obtained from the previous day is used to calculate checkpoints for the current day's minor trends.

The Pivot Point (PP) is the equilibrium point - the level to which price is attracted throughout the day. With three values ​​from the previous day: High, Low and Close, 13 levels are calculated for the smaller time frame: equilibrium, 6 resistance and 6 support levels. This level is called a checkpoint.

Checkpoints offer the possibility to easily determine the direction of a minor trend. Three values ​​are the most important - the equilibrium point level, Resistance 1 (RES1.0) and Support 1 (SUP1.0). While price moves between these values, it is common to see pauses in the movement, or even rollbacks.

Thus, the DailyPivot Points indicator:

If the market opens above the equilibrium point that day, it is a signal to open a long position. If the market opens below the equilibrium point, then the day is favorable for opening short positions.

The checkpoint approach consists in monitoring the possibility of a reversal and breakout when the price collides with the resistance level RES1.0 or the support level SUP1.0. When the price reaches the RES2.0, RES3.0 or SUP2.0, SUP3.0 levels, the market is usually overbought or oversold, so these levels are mostly used as exit levels.

The indicator was first implemented in MQL4 and published in the code base of mql4.com on December 23, 2005.

Calculated based on the previous day's high, low and closing prices, generating new values for Pivot Point (PP), Resistance 1 (RES1.0), Resistance 2 (RES2.0), Resistance 3 (RES3.0), Support 1 (SUP1.0), Support 2 (SUP2.0) and Support 3 (SUP3.0), as well as intermediate values: Resistance0.5 (RES0.5), Resistance1.5 (RES1.5), Resistance2.5 (RES2.5), Support0.5(SUP0.5), Support1.5 (SUP1.5) and Support2.5 (SUP2.5).

In this way, the mapping of the maximum and minimum values ​​of previous days to the future is involved.

PP = (highest price + lowest price + closing price) / 3

RES1.0 = 2*PP - Low
RES2.0 = PP + (High-Low)
RES3.0 = 2*PP + (High – 2*Low)

SUP1.0 = 2*PP – High
SUP2.0 = PP - (High - Low)
SUP3.0 = 2*PP - (2*High – Low)

RES0.5 = (PP + RES1.0) / 2
RES1.5 = (RES1.0 + RES2.0) / 2
RES2.5 = (RES2.0 + RES3.0) / 2

SUP0.5 = (PP + SUP1.0) / 2
SUP1.5 = (SUP1.0 + SUP2.0) / 2
SUP2.5 = (SUP2.0 + SUP3.0) / 2

Attachment download

📎 dailypivotpoints.mq5 (16.62 KB)

Source: MQL5 #472