GlossaryMetric
Pivot Points: What They Are and How They Are Calculated
A pivot point is a reference level equal to the average of the prior period's high, low and close. Resistance levels R1-R3 are calculated above it and support levels S1-S3 below it.
Last updated Sources
What are pivot points?
Pivot points turn yesterday's price range into a map of possible reaction zones for today. The calculation is mechanical: there is nothing to draw, no swing to pick and no judgement involved. Anyone using the same high, low and close gets the same levels, which is why pivots work as shared reference points that many market participants watch at the same time.
A pivot is a formula-based version of support and resistance. Price trading above the pivot is read as consistent with a positive short-term bias; price below it is consistent with a weaker one. For where pivots sit in the wider toolkit, the crypto technical analysis guide gives the framework.
Classic formula: P, R1-R3, S1-S3
The classic (standard) method uses three prices from the prior period: H (high), L (low) and C (close).
| Level | Formula | Meaning |
|---|---|---|
| P (pivot) | (H + L + C) / 3 | The period's "typical price", the central level |
| R1 | 2 × P − L | First resistance |
| S1 | 2 × P − H | First support |
| R2 | P + (H − L) | Second resistance: the full range added to the pivot |
| S2 | P − (H − L) | Second support |
| R3 | H + 2 × (P − L) | Third resistance, an extreme level |
| S3 | L − 2 × (H − P) | Third support, an extreme level |
R1 and S1 mirror the pivot against the prior low and high. R2 and S2 add or subtract the whole prior range (H − L). R3 and S3 are outer levels that usually matter only on days when volatility expands sharply.
Worked example (H=110, L=90, C=100)
Take a prior day with a high of 110, a low of 90 and a close of 100 (illustrative numbers):
- P = (110 + 90 + 100) / 3 = 100
- R1 = 2 × 100 − 90 = 110, S1 = 2 × 100 − 110 = 90
- R2 = 100 + (110 − 90) = 120, S2 = 100 − 20 = 80
- R3 = 110 + 2 × (100 − 90) = 130, S3 = 90 − 2 × (110 − 100) = 70
Because the close sits exactly mid-range, the levels come out symmetrical. Had the close been 106, the pivot would move to (110 + 90 + 106) / 3 = 102, with R1 at 114, S1 at 94, R2 at 122, S2 at 82, R3 at 134 and S3 at 74. A strong close lifts every level for the next session.
Variants: Fibonacci, Woodie, Camarilla
Three common variants sit next to the classic method:
- Fibonacci pivots: the pivot is unchanged, but the levels use Fibonacci ratios of the range: R1 = P + 0.382 × (H − L), R2 = P + 0.618 × (H − L), R3 = P + 1 × (H − L), with S levels mirrored below. With the example data that gives R1 107.64, R2 112.36, R3 120 and S1 92.36, S2 87.64, S3 80. Where the ratios come from is covered under Fibonacci retracement levels.
- Woodie pivots: give the close extra weight: P = (H + L + 2 × C) / 4. With a close of 106 the pivot is 103.
- Camarilla: stack levels around the close using small fractions of the range (C ± (H − L) × 1.1/12, 1.1/6, 1.1/4, 1.1/2). With the example data R1 is 101.83, R2 103.67, R3 105.5 and R4 111. Because the levels are tight, they are mostly watched for short intraday moves.
Always state which variant a table uses: different methods give different numbers for the same day.
Which period? Daily, weekly, monthly
The input is the period one step above the chart being watched:
- intraday charts (15 minutes, 1 hour, 4 hours) usually use the prior day;
- the daily chart uses the prior week;
- the weekly chart uses the prior month.
In session-based markets such as stocks and commodities, a "day" ends with the session close, and Monday's levels come from Friday's session because nothing trades at the weekend. Crypto trades around the clock with no official close, so the time at which the daily candle closes is a convention; 00:00 UTC is the common one. Two charts that use different day boundaries can show different pivots.
The pivot table on our technical analysis pages uses the prior day's candle on intraday timeframes and the prior closed bar on daily and higher timeframes.
How to read them: reaction levels, not forecasts
Pivot levels do not say where price will go; they mark where price may react. A few principles help:
- Position: above P, the short-term picture is consistent with the positive side; below P, with the weaker side.
- Reaction versus break: if price slows as it approaches R1, the level is acting as a reaction zone. A close beyond the level on rising trading volume is consistent with the next level (R2) coming into play.
- Confirmation: pivots are not used alone. They carry more weight when a moving average, RSI, MACD or a candlestick pattern points to the same zone.
Markets spend much of their time range-bound, and in those phases price can cross the pivot again and again. No level is a certain turning point.
Pivots vs support/resistance vs Fibonacci
| Pivot points | Classic support/resistance | Fibonacci retracement | |
|---|---|---|---|
| Input | Prior period's H, L, C | Past highs and lows | Low and high of a chosen swing |
| Objectivity | Pure formula | Open to interpretation | Swing choice is subjective |
| Updates | Recalculated every new period | As price makes new highs/lows | When a new swing is chosen |
| Typical use | Intraday and short term | Every horizon | Pullbacks within a trend |
The three methods complement rather than replace one another. When a pivot level, an old resistance and a Fibonacci ratio meet in the same area, that area tends to be watched by more participants.
Live examples: pivot tables
To see pivots on live data, the Bitcoin technical analysis and support and resistance levels page lists PP, R1-R3 and S1-S3 by timeframe. The same table appears on the Ethereum technical analysis page.
For session-based markets, NVIDIA technical analysis and Gold (XAU) technical analysis apply the same calculation to a stock and a commodity. To compare many assets on one screen, use the crypto technical summary table and the stocks and commodities technical summary.
Frequently Asked Questions
What is a pivot point?
It is the central level found by averaging the prior period's high, low and close. Resistance levels R1-R3 are calculated above it and support levels S1-S3 below it.
How are pivot points calculated?
P = (H + L + C) / 3. Then R1 = 2P − L, S1 = 2P − H, R2 = P + (H − L), S2 = P − (H − L), R3 = H + 2(P − L) and S3 = L − 2(H − P).
Which timeframe should pivots use?
The period one step above the chart: the prior day for intraday charts, the prior week for the daily chart and the prior month for the weekly chart.
Are pivot points the same as support and resistance?
They are a form of support and resistance, but they come from a formula rather than from past highs and lows, so everyone using the same data gets the same levels.
Do pivot points work for crypto?
The calculation is identical. The difference is that crypto trades continuously, so the daily close time is a convention and a different day boundary gives different levels.
How does a Fibonacci pivot differ from a classic pivot?
Both share the same central pivot. The classic method derives levels from the high and low; the Fibonacci version adds and subtracts 0.382, 0.618 and 1 times the range.