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Pivot Point Bounce

By Adam Milton, About.com

7 of 9

Wait for your Trade to Exit

Pivot Point Bounce Chart

Wait for your Trade to Exit

Wait for the price to trade at your target or at your stop loss, and for either your target or stop loss order to get filled. The pivot point bounce trade can take anywhere from a few minutes to a couple of hours to reach your target or stop loss. Depending upon the market being traded, the target could be adjusted to be the next pivot point, and the stop loss could be adjusted to break even at a suitable time.

The targets that are shown on the chart are at 7212.0 (10 ticks), and 7207.0 (20 ticks), both of which were filled by this trade.

If your target order has been filled, then your trade has been a winning trade. If your stop loss order has been filled, then your trade has been a losing trade.

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