MP --- now dont put down the pivot points just yet
Yes, lots do use them, don't they? Would you mind telling me what use adding the previous day's high, low and close together and dividing by 3, then doing all those other calculations to get R&S lines is ? It does not make sense, to me.
Far better to learn to draw your own lines, you'll get more confidence from them.
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years ago (perhaps even before you were a cub, split, there were no computers or huge CRT or LCD screens for all the pit traders to look at, and so they required a "simple" method of telling overbought and oversold, that could quickly be referred to.
by using a "daily" pivot point, they uniformly decided that over that point and they were bullish and under that point, they were bearish.
understand that this situation existed for MANY years and became an early "tech" method of figuring where to buy and where to sell --- it was like fibs, in its own way !
Now every charting system has them, and in a number of varieties ---- i have them on my quotetracker charts, but not my MT4 charts because theyre cute on the QT charts but kinda sorta useless on forex !
Maybe the banks and brokers and mm's and spread betters and the parking lot attendent use them, but ive never seen it happen intraday ALTHOUGH THEY DO USE THEM ON THE H1, H4 AND DAILY CHARTS !!!!!
see, long ago i found a support and resistance chart overlay, that leaves simple little dots and a couple lines to look at ---- the danged things are so darn good that i can play the H4 chart overnite (thats 12 midnite EDT to 12 noon EDT for me) and hit the tp point like i was a god or something !
basically, they work when they work, because the mms, brokers, banks, and little sissy boys down the road are watching them and using them, and thats all she wrote !
