What are the daily pivot points used in cryptocurrency trading?

3 answers

• Dec 18, 2021 · 3 years ago
  Daily pivot points are a technical analysis tool used in cryptocurrency trading to identify potential support and resistance levels for the day. They are calculated based on the previous day's high, low, and close prices. Traders use pivot points to determine entry and exit points for their trades. By identifying key levels, traders can make more informed decisions and increase their chances of profitability. It's important to note that pivot points are not guaranteed to work every time, but they can be a useful tool in a trader's arsenal.
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• Dec 18, 2021 · 3 years ago
  Pivot points in cryptocurrency trading are like the secret sauce that adds flavor to your trades. They are calculated using a specific formula that takes into account the previous day's price action. These levels act as potential areas of support or resistance, where the price is likely to reverse or consolidate. Traders use pivot points to identify key levels to enter or exit trades, set stop-loss orders, and take profit targets. It's important to note that pivot points are just one tool in a trader's toolbox and should be used in conjunction with other indicators and analysis.
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• Dec 18, 2021 · 3 years ago
  Daily pivot points are widely used in cryptocurrency trading to help traders identify potential areas of support and resistance. They are calculated using the previous day's high, low, and close prices, and can be used to determine entry and exit points for trades. Traders often look for price action around these levels, such as breakouts or bounces, to confirm their trading decisions. Some popular platforms, like BYDFi, provide pivot point indicators that automatically calculate and plot these levels on the charts, making it easier for traders to incorporate them into their analysis and decision-making process.
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