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HOW TO IDENTIFY MAJOR PIVOT POINTS IN FOREX AND CRYPTO SWING TRADING


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Forex or Crypto swing trading is a trading style based on identifying swings in the market. Since these swings can take a while to develop, swing trading is most often done over the course of several days or market cycles. If visualized as surfers, traders who utilize this method are out to catch and ride big, long waves. However, in order to catch those waves, traders first need to identify major pivots in the market.

What is a Pivot Point?
For Crypto or forex traders, it is imperative to know what pivots are and how to spot them. Pivots are the points in the market where price changes direction, from bullish to bearish to bullish, etc. There are important points in price, and there are less important points. Swing traders will not focus on minor pivots, while scalpers will try to take advantage of every minor pivot found.

How to Identify Major Pivot Points for Crypto or Forex Swing Trading
Major pivot points are easier to spot. They tend to form near support and resistance levels, or they themselves create a new important level. These are points where buyers and sellers are very active.
Minor pivots form more regularly and randomly. 

IMG_20231204_223111_489.jpg

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On 04/12/2023 at 22:36, Bash4j said:

Forex or Crypto swing trading is a trading style based on identifying swings in the market. Since these swings can take a while to develop, swing trading is most often done over the course of several days or market cycles. If visualized as surfers, traders who utilize this method are out to catch and ride big, long waves. However, in order to catch those waves, traders first need to identify major pivots in the market.

What is a Pivot Point?
For Crypto or forex traders, it is imperative to know what pivots are and how to spot them. Pivots are the points in the market where price changes direction, from bullish to bearish to bullish, etc. There are important points in price, and there are less important points. Swing traders will not focus on minor pivots, while scalpers will try to take advantage of every minor pivot found.

How to Identify Major Pivot Points for Crypto or Forex Swing Trading
Major pivot points are easier to spot. They tend to form near support and resistance levels, or they themselves create a new important level. These are points where buyers and sellers are very active.
Minor pivots form more regularly and randomly. 

IMG_20231204_223111_489.jpg

Very insightful for a crypto beginner as well as to old ones as a reminder. Swing trading is one of the strategy I do employ while trading on BG & has paid me in cash. It demands thorough research and a host of other things to aid your trades. 

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Thanks for sharing your experience on the Bitget exchange. It will definitely be helpful cos cryptocurrency enthusiasts and investors are always on the lookout for the best crypto exchanges to trade and invest in digital assets. As the market continues to grow and evolve, new exchanges emerge, and existing ones improve their services to cater to the increasing demand. In this rapidly changing landscape, staying updated on the top crypto exchanges' features and users' experiences as you earlier started is crucial for making informed decisions about where to trade and invest.

 

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On 04/12/2023 at 21:36, Bash4j said:

Forex or Crypto swing trading is a trading style based on identifying swings in the market. Since these swings can take a while to develop, swing trading is most often done over the course of several days or market cycles. If visualized as surfers, traders who utilize this method are out to catch and ride big, long waves. However, in order to catch those waves, traders first need to identify major pivots in the market.

What is a Pivot Point?
For Crypto or forex traders, it is imperative to know what pivots are and how to spot them. Pivots are the points in the market where price changes direction, from bullish to bearish to bullish, etc. There are important points in price, and there are less important points. Swing traders will not focus on minor pivots, while scalpers will try to take advantage of every minor pivot found.

How to Identify Major Pivot Points for Crypto or Forex Swing Trading
Major pivot points are easier to spot. They tend to form near support and resistance levels, or they themselves create a new important level. These are points where buyers and sellers are very active.
Minor pivots form more regularly and randomly. 

IMG_20231204_223111_489.jpg

Insightful write up. Personally, I use top down analysis to mark my pivot points and i prefer to call them zones. As seen from my ETH chart below, i have been swinging the bullish ride with my top down analysis. 

ETHUSDT.P 4hr.png

ETHUSDT.P daily.png

ETHUSDT.P WEEKLY.png

ETHUSDT.P monthly.png

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Identifying pivotal moments in Forex and crypto trading demands a blend of technical analysis and market understanding. Utilize indicators like moving averages, RSI, and MACD to spot potential shifts. Pay heed to significant news events impacting currencies or crypto, as they often trigger substantial movements. Additionally, keep an eye on volume surges or sudden price spikes, as they might signal crucial entry or exit points. When swapping crypto, assess market sentiment and liquidity before executing trades. A holistic approach considering both technical and fundamental factors aids in recognizing key development points, essential for informed and strategic trading decisions.

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As a consultant working at Ruskin Felix Consulting, we have developed some insights on the said topic. Major pivot points are key to successful swing trading in forex and cryptocurrency markets. Pivots indicate where market sentiment shifts from bullish to bearish, and vice versa, creating opportunities for traders. Identifying major pivots allows swing traders to enter the market at optimal inflection points and "ride the wave" of larger market movements.
 
There are several reliable techniques for spotting major pivots:
  • Support and Resistance Levels: Pivots often form at established support and resistance levels where buyers and sellers have historically shown interest. Breakouts above resistance or below support usually signal a pivot.
  • Trendline Breaks: Breaks of long-term uptrend or downtrend lines on charts often coincide with major pivots as trends change direction.
  • Candlestick Patterns: Bullish/bearish reversal patterns like hammer candles, engulfing bars etc. that form after tests of support/resistance can foreshadow pivots.
  • Volume Surges: Spikes in trading volume accompanying breakouts or candlestick reversals validate the strength of pivots.
  • Fibonacci Retracement Levels: Pivots regularly occur at the 38.2%, 50% and 61.8% Fibonacci retracement levels of previous movements.
  • Moving Averages: Golden/death cross of 50/200 day moving averages are reliable leading indicators of major pivots.
Swing traders should track these factors on daily, 4hr and hourly charts to spot high-probability pivot zones. Entering positions in the direction of breaks affords opportunities to profit from larger trend reversals. 
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