Bitcoin Trading Pivot Points Analysis and Pivot Points Trading Signals
Pivot Points Cryptocurrency Indicator consists of a central bitcoin pivot which is surrounded by Three resistance areas above and Three support areas below the center pivot.
Pivot Points Cryptocurrency Technical Indicator is considered to be leading technical indicator.
Pivot Points Bitcoin Indicator provides a quick method for cryptocurrency traders to analyze the general bitcoin trend and analyze how the btcusd trading market is going to be moving during the day. A few calculations are used to draw the resistance and support levels for pivot point indicator.
To calculate these support and resistance levels for coming trading day - the previous day's
- high,
- low, and
- closing bitcoin prices are used
The bitcoin trading day closes at 5:00PM EST & this daily closing time is when the Pivot Points Cryptocurrency Indicator is updated.
24-hour cycle for this Pivot Points Bitcoin Indicator are calculated using a complex formula - the central bitcoin pivot is then used to calculate the support & resistance areas as follows:
Resistance Level 3
Resistance Level 2
Resistance Level 1
Bitcoin Trading Pivot Point Technical Analysis
Support Level 1
Support Level 2
Support Level 3
Pivot Points Indicator
Pivot Points Bitcoin Indicator can be used in different methods to generate cryptocurrency signals. Following strategies are the most commonly used technical analysis strategies:
Pivot Points Bitcoin Technical Indicator Trend Identification
The central bitcoin pivot point is used by cryptocurrency traders to determine the bitcoin trend direction. The cryptocurrency trades opened by traders will only be in direction of this cryptocurrency trend.
- Buy bitcoin signal - bullish bitcoin trend -price is above the central bitcoin pivot point
- Sell bitcoin signal - bearish bitcoin trend -price is below the central bitcoin pivot point
Pivot Points Bitcoin Indicator Price Breakout Signals
Bitcoin price breakout signals are generated as follows
- Buy bitcoin signal is generated when the bitcoin price breaks upwards through the central bitcoin pivot point.
- Sell bitcoin signal is generated when the bitcoin price breaks-out downward through the central bitcoin pivot point.
Pivot Points Bitcoin Indicator Price Break out
Pivot Points Bitcoin Indicator Price Reversal Trading Signal
Pivot Points Bitcoin Indicator Trading Bitcoin Price reversal bitcoin signals are generated as is described below
Buy bitcoin signal - when bitcoin price moves downward towards one of the pivot points indicator support area, then touches the support levels or moves slightly through this support area then quickly reverses and moves upwards.
Sell bitcoin signal - when bitcoin price moving up towards one of the pivot point resistance area, then touches resistance area or moves slightly through this resistance area then quickly reverses and moves downwards.
Pivot Points Bitcoin Indicator Price Reversal Trading Signal
Setting Stoploss & Take Profit Bitcoin Order Levels
The central bitcoin pivot-point & the other support levels & resistance levels of this pivot points indicator are used by cryptocurrency traders to determine suitable bitcoin stop loss setting levels and bitcoin take profit areas.
Setting Stop Loss Bitcoin Order Levels and Setting Take Profit Bitcoin Order Levels
If a buy order is placed above the central bitcoin pivot point the Resistance Level 1 or Resistance Level 2 can be used to set the take profit level, and the Support Level 1 can be used to set the StopLoss Bitcoin Order Level for the bitcoin trade transaction.
To download Bitcoin Trading Pivot Points MT4 Indicator: https://c.mql5.com/21/9/pro4x_pivot_lines.mq4 Once you download the Pivot Points Cryptocurrency Indicator - open the indicator with MQL4 Language Editor, Then Compile Pivot Points MT4 Indicator by pressing the Compile Button and Pivot Points MT4 Indicator will be added to your MT4 platform. NB: Once you add Pivot Points MT4 Indicator to your MetaTrader 4, the indicator has additional lines named Mid Points, to remove these additional Pivot Points MT4 Indicator lines open MQL4 Language Editor(shortcut keyboard key - press F4), and change line 16 from: extern bool midpivots = true: to extern bool midpivots = false: Then Press Compile again, and Pivot Points MT4 Indicator will then appear as exactly shown on this learn bitcoin trading web site.
