What is a camarilla pivot point?

The Camarilla pivot point is a math-based leading indicator that provides accurate and automated levels of support and resistance levels. The Camarilla points contain one central pivot point along with 4 levels of support and 4 levels of resistance. This leading technical indicator was developed by Nick Scott, a bond trader, in 1989.

How many support and resistance levels are included in the camarilla pivot?

There are four support and four resistance levels included in the Camarilla pivot, as well as considerably closer levels than other pivot variations – see image below. This proximity makes the Camarilla ideal for short-term traders.

What is the best camarilla pivot trading strategy?

The best Camarilla pivot trading strategy isdependent on the market conditions at a given time. Camarilla Pivot Points can be used on your trading platform charts to help filter potential trading signals as part of an overall trading strategy. The calculations of Camarilla can help traders identify support and resistance levels.

How do camarilla equations work?

Camarilla equations take previous day’s high, low and close as input and generates 8 levels of intraday support and resistance based on pivot points. There are 4 levels above pivot point and 4 levels below pivot points. The most important levels are L3 L4 and H3 H4. H3 and L3 are the levels to go against the trend with stop loss around H4 or L4 .