Pivot Length Percentiles

27 de nov. de 2024

### Pivot Length Percentiles — Analyze Pivot Behavior with Precision 🎯

#### Overview
The **Pivot Length Percentiles** indicator is a powerful tool designed to analyze and visualize the distances between pivot highs and lows on your chart. By calculating percentiles, it provides traders with valuable insights into market structure, volatility, and pivot behavior, helping to make informed trading decisions.

#### Key Features
- **Customizable Pivot Lengths:** Adjust the number of bars to the left and right of a pivot to match your trading strategy.
- **Percentile Analysis:** Calculate and display the 50th (low), 85th (mid), and 99th (high) percentiles of the distances between pivots.
- **Real-Time Statistics Table:** View the latest statistics, including:
- Pivot-to-pivot distances
- Current distance from the last pivot
- Last pivot type and price
- **Intuitive Inputs with Tooltips:** Easily configure the indicator with clear descriptions for each input field.

#### How It Works
1. **Pivot Detection:** The script identifies pivot highs and lows based on user-defined parameters (`Left Bars` and `Right Bars`).
2. **Distance Calculations:** The distances between consecutive pivots and the number of bars between them are recorded.
3. **Percentile Computation:** The distances are sorted to calculate specified percentiles (`Low`, `Mid`, `High`), giving a statistical perspective on market movements.
4. **Visualization:** A statistics table at the bottom of the chart displays the calculated values, ensuring quick and easy reference.

#### Use Cases
- **Identify Market Ranges:** Use pivot distances to identify typical price movement ranges in a given market condition.
- **Plan Entries and Exits:** Leverage the percentile calculations to predict potential retracement levels or continuation patterns.
- **Market Structure Analysis:** Study the relationship between pivot distances and market volatility over time.

#### Inputs Explained
- **Left Bars:** Defines how many bars to the left are considered in pivot detection.
- **Right Bars:** Defines how many bars to the right are considered in pivot detection.
- **Low Percentile:** Specifies the lower boundary percentile for pivot distances.
- **Mid Percentile:** Specifies the median percentile for pivot distances.
- **High Percentile:** Specifies the upper boundary percentile for pivot distances.

#### Tips for Use
- Adjust pivot lengths (`Left Bars` and `Right Bars`) to match your desired level of granularity or market timeframe.

#### Final Thoughts
The Pivot Length Percentiles indicator bridges the gap between statistical analysis and trading by providing actionable insights into pivot behavior. Whether you're a scalper, day trader, or swing trader, this tool can help refine your strategy and enhance your market understanding.
28 minutes ago