Pivot

Dictionary Says

Definition of 'Pivot'

A price level established as being significant either because the market fails to penetrate it or because a sudden increase in volume accompanies a move through that price level.
Investopedia Says

Investopedia explains 'Pivot'

As a technical indicator, the pivot price is similar to resistance or support levels. If the price is exceeded, a breakout is expected to occur.

Related Definitions

  • Technical Analysis

    A method of evaluating securities by analyzing statistics generated by market activity, such as past prices and volume. Technical analysts do not attempt to measure a security's ...
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  • Breakout

    A price movement through an identified level of support or resistance, which is usually followed by heavy volume and increased volatility. Traders will buy the underlying asset when the ...
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  • Resistance (Resistance Level)

    The price at which a stock or market can trade, but not exceed, for a certain period of time. Often referred to as "resistance level".
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    • Support (Support Level)

      The price level which, historically, a stock has had difficulty falling below. It is thought of as the level at which a lot of buyers tend to enter the stock. Often referred to as the ...
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    • Pivot Point

      A technical indicator derived by calculating the numerical average of a particular stock's high, low and closing prices.
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