Floor Trader Pivot Strategy

Floor traders and other professionals who do the actual buying and selling of futures contracts in the trading pits of the exchanges generally employ very similar systems for valuing the price of these instruments in.
Floor trader pivot strategy. Floor trader pivots assist traders in identifying areas in a chart where price is likely to approach and can be used to set appropriate targets while effectively managing risk. You need to learn how to trade with pivot points the right way. How to trade with pivot points the right way. Trading with pivot points is the ultimate support and resistance strategy.
The pivot is the primary starting point for tools to incorporate into your trading. These are the places where traders expect support and resistance to occur in the market and as such are used as entry and exit points for trades. The market is considered bullish when it s above the central pivot. Pivot points are also know as floor trader pivots or pivots or floor pivots or session pivots.
It will take away the subjectivity involved with manually plotting support and resistance levels. The market is considered bearish when it s below. If you want to take full advantage of the power behind the pivot points. Pivot point data can also extend out to support 1 2 and 3 levels or resistance 1 2 and 3 levels.
I am only focusing on the pivot itself a future article will include the formula s for those levels and use to find range expansion. Floor trader pivots are support resistance levels that floor traders have used in the pits of the exchanges for many years. Depending on the type of pivot formula used you can generally generate and use up to 9 levels.