Pivot Strategy Analysis

Homework #26: Studying Effectiveness and Reactiveness of Key Daily Price Levels Using Pivot Strategy Analysis

In this video, Homework #26, we explore the effectiveness of key daily price levels and study how price reacts to these key levels, accumulating reaction data over any user-specified period of time. The RTX Indicator Pivot Strategy Analysis (PSA) is an extremely powerful indicator that is custom made to simplify this type of analysis. In this video, we take a look specifically at how price reacts to the day session midpoint. We also explore the use of the Pivot Strategy Optimizer indicator for optimizing variables such as reset distance, target, and stop.

Pivot Strategy Analysis (RTX)

The PivotStrategyAnalysis (PSA) RTX Extension allows the user to specify any key daily or weekly price level such as previous high, previous close, or overnight VPOC, and analyze the effectiveness of that level as a pivot point during the following session or week.  The indicator provides for a variety of convenient options including stop, target, frontrun wiggle, reset distance, nature of system, trade limits, and time filters.  The frontrun wiggle determines how far ahead of the level, if any, to enter the trade (defaults to 0).