Quick Facts

• Market trend can be determined by the Persons Pivot indicator.
• The Persons Pivot indicator helps traders identify potential support and resistance levels.
• It is based on a mathematical formula developed by trader John Person.
• The indicator plots pivot points, support levels, and resistance levels on a price chart.
• The Persons Pivot indicator can be used in various financial markets, including stocks, forex, and cryptocurrencies.
• It is primarily used by short-term traders looking to capitalize on intraday price movements.
• The indicator can help traders set profit targets and stop-loss levels for their trades.
• John Person is a well-known trading educator and author of several trading books.
• Persons Pivot indicator calculations are based on the previous day’s high, low, and close prices.
• The indicator is a popular tool among technical analysts for determining potential reversal points in the market.

Understanding Person’s Pivots on TradingView

If you are an active trader or investor, you are likely always on the lookout for tools and indicators that can help you make more informed decisions when it comes to managing your portfolio. One popular tool that many traders use is Person’s Pivots on TradingView. In this article, we will explore what Person’s Pivots are, how they are calculated, and how you can use them to enhance your trading strategy.

What are Person’s Pivots?

Person’s Pivots are a type of technical analysis tool that is used to identify potential support and resistance levels in the market. These levels are based on the previous day’s high, low, and close prices, and they can help traders predict where the price of an asset may go next. Person’s Pivots are widely used by both day traders and swing traders to determine entry and exit points for their trades.

How are Person’s Pivots Calculated?

Person’s Pivots are calculated using a simple formula that takes into account the high, low, and close prices from the previous trading day. The formula for calculating Person’s Pivots is as follows:

• Pivot Point (PP) = (High + Low + Close) / 3
• Support 1 (S1) = (2 * PP) – High
• Support 2 (S2) = PP – (High – Low)
• Support 3 (S3) = Low – 2(High – PP)
• Resistance 1 (R1) = (2 * PP) – Low
• Resistance 2 (R2) = PP + (High – Low)
• Resistance 3 (R3) = High + 2(PP – Low)

These calculated levels act as potential support and resistance areas that traders can use to make trading decisions. The Pivot Point is considered the central pivot level, with Support 1, Support 2, Support 3, Resistance 1, Resistance 2, and Resistance 3 providing additional levels of potential support and resistance around the Pivot Point.

How to Use Person’s Pivots in Your Trading Strategy

Now that you understand what Person’s Pivots are and how they are calculated, let’s explore how you can incorporate them into your trading strategy:

1. Identify Key Levels

Person’s Pivots can help you identify key support and resistance levels in the market. By paying attention to these levels, you can have a better understanding of where the price of an asset may find support or encounter resistance.

2. Use Them to Set Stop Loss and Take Profit Levels

Person’s Pivots can also be used to set stop loss and take profit levels for your trades. For example, you may decide to set your stop loss just below a key support level identified by Person’s Pivots, or set your take profit at a resistance level.

3. Confirm with Other Indicators

While Person’s Pivots can be a valuable tool on their own, they are most effective when used in conjunction with other technical indicators. Consider combining Person’s Pivots with moving averages, trendlines, or volume indicators to confirm potential trade signals.

4. Adjust Your Strategy Based on Market Conditions

Market conditions can change rapidly, so it’s important to adapt your trading strategy accordingly. If the price of an asset breaks through a key support or resistance level identified by Person’s Pivots, you may need to reassess your position and adjust your strategy accordingly.

Benefits of Using Person’s Pivots

There are several benefits to using Person’s Pivots as part of your trading strategy:

1. Easy to Calculate

Person’s Pivots are easy to calculate using the formula provided earlier in this article. This makes them a convenient tool for traders who want to quickly identify potential support and resistance levels in the market.

2. Clear Levels of Support and Resistance

Person’s Pivots provide clear levels of support and resistance that traders can use to make trading decisions. These levels can help you determine entry and exit points for your trades, as well as set stop loss and take profit levels.

3. Widely Used by Traders

Person’s Pivots are a popular technical analysis tool that is widely used by traders of all experience levels. This means that you can find plenty of resources and information on how to effectively use Person’s Pivots in your trading strategy.

Person’s Pivots are a valuable technical analysis tool that can help traders identify potential support and resistance levels in the market. By incorporating Person’s Pivots into your trading strategy, you can make more informed decisions when it comes to managing your portfolio. Remember to always consider market conditions and use Person’s Pivots in conjunction with other technical indicators for a more comprehensive trading approach.