Pivot-Level Rejection Signals with a Volume Spike Filter
Summary
This strategy tracks recent pivot highs and lows as resistance and support. A sell signal occurs after price trades above resistance and then closes back below it; a buy signal mirrors this move below support. Signals also require current volume to exceed a multiple of its 20-bar average, and entries are restricted to weekdays. The author suggests using a 30-minute chart.
The script plots the levels and signals, and marks entries and exits. It also counts repeated buy or sell signals at successively lower support or higher resistance to produce a separate purple marker. The document provides source code and settings, but no performance results or validation. It specifies no stop-loss, profit target, or position-sizing risk control; the strategy uses full equity by default. Pivot levels are confirmed only after the selected lookback bars, which affects when they become available.
Key ideas
- Recent confirmed pivot highs and lows define the active resistance and support levels.
- A rejection back across one of these levels triggers a signal when volume is above its moving average threshold.
- Entries are limited to weekdays, while the code does not define explicit stops or profit targets.
- A counter marks a second signal at progressively lower support or higher resistance with a purple marker.
- The document gives a suggested chart timeframe but no evidence of profitability.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.