Camarilla Pivot Points

Unlike classic Pivot Points, where the main pivot point level and its relationship to the market price is what traders focus on in their trading, the Camarilla Pivot Points most important to the traders are the third and fourth level of support and resistance. Pivot Points is a method for calculating support and resistance levels. Resistance and support levels indicate where a major price movement is expected. As a trend indicator, it indicates an upward movement, for instance, if the pivot point price is broken in, then the market is bullish, and vice versa. Pivot points are short-term trend indicators, however and therefore useful for only one day. The second method is to use pivot point price levels to enter and exit the markets.