Camarilla Pivots Indicator

Camarilla Pivots Indicator

Find key levels of support and resistance with the Camarilla Pivots indicator for MT4. Camarilla indicator free download.

Camarilla Pivots is an indicator that gives precise and automatic levels of support and resistance.

The indicator has one central pivot point, four levels of support, and four levels of resistance.

In this guide, we are going to find out all the peculiarities and nuances of the Camarilla Pivots indicator for MT4.

What is a Camarilla Pivots indicator?
The Camarilla pivot points draws levels of support and resistance on the chart. They utilize previous day’s high, low, and close, which can also be good support and resistance levels.

The Camarilla Pivots indicator work on the same fundamentals. The indicator mentions the level of support and resistance. It consists of 8 levels of support and resistance: CL1, CL2, CL3, CL4 and CH1, CH2, CH3, CH4.

The indicator is based on the following levels:

H = Previous day’s high
L = Previous day’s low
C = Previous day’s close
The most important levels are CL3, CL4, CH3, and CH4.

CL3 and CH3 are breakout levels. When these levels are breached, it’s time to trade with the trend, while CL4 and CH4 are the levels to go against the trend.

How to use the Camarilla Pivots indicator?

Indicator can be used to identify both trending and sideways markets. The indicator is traded based on the next day’s open price (or session).

Depending on where the price starts, the tool can recommend a trade that could take advantage of a decline to the mean or a breakout to new highs/lows.

If you’re bullish, you will use the indicator to buy at predetermined support levels. And if you are in a bearish trend, you can apply a Camarilla reversal to sell near resistance levels.

Camarilla Pivots trading strategy
During the trend, the CamPivot can be incredibly valuable in identifying crucial entry moments.

You must filter entries in the trend’s direction. Look for buying possibilities at the CL3 with a stop at the CL4 if the market is heading upward. If the market is falling, sell CH3 and place a stop loss at CH4.

Buy setup
Locate the CL3 on the chart
Wait for the price bar to turn bullish
Enter at the CL3
Place a stop-loss at the CL4
Exit at the CH1
Sell setup
Locate the CH3 on the chart
Wait for the price bar to turn bearish
Enter at the CH3
Place a stop-loss at the CH4
Exit at the CL1
Bottom line
The Camarilla Pivot is a useful indicator that can be used to identify significant support and resistance levels, as well as entry and exit positions.

You can also combine the indicator with other momentum-based indicators like the RSI for signal confirmation.