Demark Pivot Points x14v

DeMark Pivot Points The formula used in the calculation of the Tom DeMark "Pivot Points" are: The value of X in the formula below depends on where the Close of the market is. If Close < Open then X = (H + (L * 2) + C) If Close > Open then X = ((H * 2) + L + C) If Close = Open then X = (H + L + (C * 2)) R1 = X / 2 - L PP = X / 4 (this is not an official DeMark number but merely a reference point based on the calculation of X) S1 = X / 2 - H Where R1 is the upper Resistance level, PP is the Pivot Point, S1 is the lower level. STANDARD PIVOT POINT: The calculation for a pivot point is shown below: Pivot point (PP) = (High + Low + Close) / 3 and resistance levels are then calculated off the pivot point like so: First level and resistance: First resistance (R1) = (2 x PP) - Low First (S1) = (2 x PP) - High Second level of and resistance: Second resistance (R2) = PP + (High - Low) Second (S2) = PP - (High - Low) Third level of and resistance: Third resistance (R3) = High + 2(PP - Low) Third (S3) = Low - 2(High - PP) Read more: http://www.babypips.com/school/how-to-calculate-pivot-points.html#ixzz1TxnjBX8K