Isolated Pivot
Volume Price Analysis glossary · Support, Resistance & Breakout Mechanics
Definition
A three-candle pattern that marks a local high (pivot high) or local low (pivot low).
Isolated Pivot in plain English
On a price chart, a stock's path is a jagged line of little peaks and valleys. An Isolated Pivot is a simple rule for spotting one true peak or valley using just three price bars (candles) in a row: for a pivot HIGH, the middle bar's top is taller than the bar on each side; for a pivot LOW, the middle bar's bottom dips below both neighbors. Think of walking a hilly trail — the exact spot where you stop climbing and start descending is a pivot high. Traders mark these because they often become the levels price later respects, bounces off of, or breaks through.
Learn these first
Related Volume Price Analysis terms
Volume Price Analysis practice questions · Volume Price Analysis flashcards · Volume Price Analysis study guide