#Pocketpivot and it's characteristics:-
pocket pivot,” or “buying in the pocket,” is an early base
breakout indicator, which is designed to find buyable pivot points within a stock’s base shortly before the stock actually breaks out of its chart base-
Detailed Thread🧵 1/11
or consolidation and emerges into new high price ground.
Institutional investors do not like to buy breakouts to new highs. In fact, they generally prefer to buy stocks off of their lows, and sometimes the lower the better. 2/11
Of course, if we think about this for just one second we realize that it is the institutions that create the bottoms of chart bases, including the volume/accumulation clues along the lows of a constructive base formation. If investors had bought the breakout to new highs, 3/11
the sharp pullback below the 10-day moving average might have caused them to be shaken out of their position.However, buying on the pocket pivot buy
point before the stock rose would have given investors buying the stock at good point. 4/11
A pocket pivot points generally occurs within the stocks chart base, before the standard new-high breakout buy point appears. Pocket pivots can also appear as continuation buy point as stock move higher after launching out of a chart base or consolidation. 5/11
