Introduction: Level trading
by PRASHANT SHAH -
Level trading Level trading is to trade the or invest in an instrument when it reaches a particular level. This is type of trading is most commonly followed practice. The level is decided based on the analysis or observation. Analysts decide it based on their observation of demand and supply in the instrument at a ... Read more
Pivot Levels
by PRASHANT SHAH -
Trading based on Pivot levels is one of the popular approaches. Both short-term and intraday traders track Pivot levels to identify support and resistance levels in any instrument. Let’s discuss how these levels are calculated. The pivot calculation method considers the previous day prices to calculate the important price reference levels for trading the next ... Read more
Central Pivot Range (CPR)
by PRASHANT SHAH -
CPR is another popular tool. Three lines are plotted on the chart when we plot CPR. The three lines are: CPR, TC and BC. Let’s understand the calculation. You may recall that I explained the calculation of Pivot levels in an earlier article. CPR stands for Central Pivot Range. It is always a center line ... Read more
Camarilla Levels
by PRASHANT SHAH -
Hope you read the earlier newsletter writeup on the pivot levels. Continuing the discussion, we look at the Camarilla levels which is another widely followed tool. Word ‘Camarilla’ is borrowed from Spanish. It translates to a group of confidential and private advisers of the King or person in authority. The Camarilla equation was first developed ... Read more
D-Pivot
by PRASHANT SHAH -
In earlier posts, I had explained a few Pivot-level tools such as Pivot, CPR and Camarilla levels. We had discussed their calculation and application in the earlier newsletters. There are couple of other interesting tools: Fibonacci and Equidistant. Both are available in Zone & TradePoint. I realised that most of these tools are considering the ... Read more
