Calculating Annual Pivot, Support, and Resistance Levels

Summary

This indicator derives yearly pivot levels from the prior year’s high and low, together with price inputs that vary by calculation mode. It offers three stated pivot formulas, using combinations of the yearly range, the prior close, and the current open. From the resulting central pivot, it calculates three resistance levels and three support levels at distances based on the annual high-low range.

The values are refreshed when a new year begins and are then returned as chart series. The source notes that enough historical data is needed for reliable calculation, particularly on intraday charts. It does not explain how to trade reactions at these levels, compare the calculation modes, or provide backtest results. The code therefore documents a technical reference indicator, not evidence that annual pivot levels predict price behavior.

Key ideas

• The indicator calculates annual levels when it detects a new calendar year.
• Three pivot formulas combine yearly extremes with prior closing and opening prices in different ways.
• Support and resistance levels are spaced using the previous year’s high-low range.
• Adequate historical data is required, especially on intraday timeframes.
• The document provides no trading rules or performance validation.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.