The trajectories of the monetary marketplace are similar to the polynomial curvatures by the presence of random changes. there is a common belief that it’s possible to decompose monetary data into numerous different cyclical parts. If any financial market has at least one cycle, then there has to be a pivot point in this financial data. In this case, most of those financial markets ought to have multiple pivot points, since they usually include many cyclical components. Recognition of pivot points is very helpful for traders and investors of all levels, although it is rather a difficult task. We present to your attention a useful tool for detecting pivot points, although not “bulletproof”, but quite accurate.

The Turning Point Detector consists of a system for detecting abnormal movements (the main system) and a system for recognizing market ranges (additional). Input parameters of the abnormal motion recognition system:

• TimeFrameCalculation – the timeframe for the calculation of abnormal movements.
• BarsToScan – the number of bars used for the calculation.
• DetectionMethod – the method of operation of the system. There are three methods available.
• AnalyzingPeriod – the period of analysis, the default is 13. In most cases, the indicator works well with the default settings.
• MinDeviationInPips – minimum deviation in pips, the minimum distance at which the movement will be recognized as abnormal. As a rule, the value of one standard deviation of the currency pair is suitable.

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To determine the market ranges, you can use the Market Profile, Bollinger Bands, or a similar tool. Input parameters of the Market Profile system:

• Use Market Profile – enable or disable the use of the system. To disable it, set it to false.
• Session – the session: daily, weekly, or monthly.
• Sessions To Count – the number of sessions used to calculate the Market Profile

The Bollinger bands indicator is included in the standard delivery of the terminal.

To create a market profile using the Market Profile, select the appropriate timeframe:

• Daily Market Profile – daily profile, you can use the timeframe from M5 to H1. M30 is recommended.
• Weekly Market Profile is a weekly profile, the timeframe from M30 to H4. H1 is recommended.
• Monthly Market Profile – monthly profile, timeframe from H1 to D1. Recommended – H4.

Other input parameters:

• UseWhiteChart-set white background or use black by default, true or false.
• UseSoundAlert-sound alert
• UseEmailAlert-email notification

   

The universal Turning Point Detector indicator can be used on any market data. You can use the default minimum deviation in pips. You can also set your own minimum deviation value in points, such as one standard deviation, or use other values. For example, 20 pips (MinDeviationInPips) is good for the major currency pairs on H1. The detected abnormal movement is a sign of a reversal. Nevertheless, it is recommended to use the signals when an arrow appears out of range. You can also use multiple instances of the indicator on the same chart with different timeframe values. For example, you can use a Turning Point Detector with TF H1 and D1 on the same graph. When using multiple timeframes, you need to use the corresponding timeframes in the Market Profile.

It should be understood that the Turning Point Detector indicator is not a “bulletproof” completely fault-tolerant system. When used with suitable additional solution tools, the system can become your favorite pivot point indicator or be used as part of a trading strategy. Before buying, be sure to test it in the strategy tester. The Turning Point Detector indicator can be used separately or you can use it together with any of the following trading systems:

• Harmonic Pattern Plus
• Harmonic Pattern Scenario Planner
• Price Breakout Pattern Scanner
• Pair Trading Station
• Mean Reversion Supply Demand

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