Location: JNB, ZA
Fellow traders, forgive me for clogging this forum with yet another draft version of Rolling Pivots. As an amateur programmer I am battling to get it finished.
Anyway, we have [rolling] Daily Pivots on 60-min charts working(!!) Unfortunately the Time-Zone adjustment doesn't work any longer and the Pivots are drawn from 00h00 to 23h00.
Also, on historical Fridays you will find two sets of pivots(??). Fortunately, the current Friday does have only one [correct] set of pivots. This is because Forex market closes Friday 17h00 (NYC time) and opens on Sunday 17h00 (NYC). Currently 17h00 in NYC is 23h00 in JNB, so on continuous chart I have two midnights an hour apart :) That clearly demonstrates the importance of getting the time-zone right (i.e. drawing the pivots from/to corect trading hours), as one hour out gives somewhat different Pivot levels.
Finally, I got a question about the significance of the dotted lines just above/below the central Pivot level. This is called Pivot Range and can be used for Position Trading (going long/short when market penetrates Pivot Range levels and reversing the position when the market penetrates the range in the opposite direction). According to Mark Fisher (read The Logical Trader) it works well with commodities, I find it less effective in the Forex market. Also according to Mark, if the current Pivot Range is narrow, one should expect greater volatility (from daily low to daily high levels) or greater directional move, while when the Pivot Range is relatively wide the market is expected to trade sideways. My interpretation is that if I have narrow Pivot Range I look for the market to move beyond R1/S1 levels and if Pivot Range is wide I look for the market to be contained within the R1/S1 levels.
Attached file : DailyPivots60minChart.txt (4KB - 514 downloads)
Attached file : DailyPivots60minChart.JPG (141KB - 495 downloads)