PivotIQ

PivotIQ - Intelligent Support & Resistance Detection

This indicator identifies dynamic support and resistance levels using a proprietary multi-layered detection system that combines swing point analysis with intelligent level validation.

HOW IT WORKS:

Detection Method:
- Uses configurable swing detection to identify potential pivot points at local highs and lows
- Implements a dual-tolerance system: broader tolerance for initial level identification, and much tighter tolerance for level reinforcement
- Tracks temporal spacing between swing occurrences to distinguish between genuine re-tests and noise

Level Validation:
- Employs a strength-scoring system that increases when price returns to test a level under strict criteria
- Requires minimum time/bar distance between touches to prevent false positives from consecutive candles
- Automatically clusters nearby swing points to prevent redundant levels while maintaining precision

Auto-Invalidation:
- Monitors price wicks for penetration through levels
- Removes invalidated levels after a configurable grace period (default 2 bars)
- Keeps only the most relevant levels based on proximity to current price

Visual Intelligence:
- Color codes resistance (above price) and support (below price)
- Optionally highlights high-confidence levels (multiple successful tests) with custom colors and thicker lines
- Displays exact price values via labels with adjustable positioning

CONFIGURATION OPTIONS:

Detection Parameters:
- Swing Detection Length (1-10): Controls sensitivity to price swings
- Price Clustering Tolerance %: Prevents duplicate nearby levels
- Multi-Touch Tolerance %: Stricter threshold for reinforcing existing levels
- Minimum Bars Between Touches: Time-based filter to prevent false multi-touch signals
- Max Pivots Per Side (2-8): Limits display to N most relevant levels above/below price

Visual Customization:
- Separate colors for resistance, support, and high-confidence levels
- Adjustable line width, transparency, and label sizes
- Custom invalidated level styling

WHAT MAKES IT UNIQUE:

Unlike standard pivot indicators that use fixed formulas (floor pivots, Fibonacci, Camarilla), PivotIQ dynamically adapts to actual price action through:
1. Time-weighted level validation (not just price proximity)
2. Dual-tolerance clustering system (loose for grouping, tight for reinforcement)
3. Automatic level lifecycle management (creation, validation, invalidation)
4. Intelligence-based level prioritization (keeps strongest, closest levels)

IDEAL FOR:
- All markets (stocks, futures, forex, crypto)
- All timeframes (1-minute to daily)
- Day trading, swing trading, and scalping
- Traders seeking clean, adaptive support/resistance without manual drawing

The indicator maintains a clean chart by intelligently managing which levels are displayed, automatically removing broken levels, and prioritizing the most actionable zones based on current price position and historical validation.