Pivot Order Blocks from Confirmed Local Highs and Lows

Summary

This indicator marks a pivot candle as a potential order block after a local high or low has been confirmed. It uses separate left and right lookback lengths for pivot highs and lows. The block’s vertical bounds come from the pivot candle’s open and close, while its horizontal span is controlled by a configurable candle count. Bullish and bearish blocks can also be assigned different colors.

The accompanying strategy logic enters long on a confirmed pivot low and short on a confirmed pivot high. The document suggests treating pivot areas as possible support or resistance where price may reverse, but it provides no reported performance results or validation. Pivot confirmation requires subsequent candles, so signals are delayed by the configured right-side length. The supplied source also comments out the box-drawing calls, meaning the shown code’s strategy entries are active while the described boxes may not be plotted as written.

Key ideas

• A pivot high or low is identified using configurable candles on both sides of the candidate bar.
• The proposed block spans the pivot candle's open and close and extends for a configurable number of bars.
• The strategy enters long on confirmed pivot lows and short on confirmed pivot highs.
• Pivot zones are presented as possible support or resistance areas, not guaranteed reversal levels.
• The displayed source comments out the box creation code and reports no performance evidence.

Tags

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