How I draw RMV Pivots (Buy Points)
RMV pivots are the primary entry tactic I use for trading tight areas/Breakouts/VCPs
Here's an example of them mapped out on $UTHR
RMV pivots are the primary entry tactic I use for trading tight areas/Breakouts/VCPs
Here's an example of them mapped out on $UTHR
RMV pivots are a horizontal line that marks the top/line of resistance of a short range.
As with all entry tactics it is never considered in isolation. I use it in strong stocks in strong groups within an overall constructive pattern.
Market > Group > Stock > Entry Tactic
As with all entry tactics it is never considered in isolation. I use it in strong stocks in strong groups within an overall constructive pattern.
Market > Group > Stock > Entry Tactic
To draw an RMV Pattern here are the steps.
RMV (Relative Measured Volatility) should signal a tight range
Look for a recent defining high (even better if there are multiple daily highs around the same value). Ignore large fades.
Draw a line at those highs.
RMV (Relative Measured Volatility) should signal a tight range
Look for a recent defining high (even better if there are multiple daily highs around the same value). Ignore large fades.
Draw a line at those highs.
What is RMV?
RMV is an objective measure of price "tightness" and is a @Deepvue Indicator
Closer to 0 = Price Tightening
Closer to 100 = Price Expansion
Ranges form when RMV dips way down below 10.
RMV Tight signals occur when RMV gets below ~5
Learn more: deepvue.com
RMV is an objective measure of price "tightness" and is a @Deepvue Indicator
Closer to 0 = Price Tightening
Closer to 100 = Price Expansion
Ranges form when RMV dips way down below 10.
RMV Tight signals occur when RMV gets below ~5
Learn more: deepvue.com
I also did a webinar on RMV which I recommend watching
youtu.be
youtu.be
Once drawn, the RMV pivot is a potential buy point on a strong breakout.
Before a breakout, it acts as resistance.
Sometimes, multiple RMV pivots can be drawn around the same level, these lead to stronger trends when they breakout
Before a breakout, it acts as resistance.
Sometimes, multiple RMV pivots can be drawn around the same level, these lead to stronger trends when they breakout
RMV Pivots work great up the right hand sides of bases, where they point out early entries before the breakout.
Here is an example with $NVDA
Here is an example with $NVDA
A recent example with $ARM
Here you can see an RMV pivot being defined for a short sale (You use lows instead of highs)
Also later you can see how RMV pivots can transition to support, and how multiple ones can stack up for a stronger trend
Here you can see an RMV pivot being defined for a short sale (You use lows instead of highs)
Also later you can see how RMV pivots can transition to support, and how multiple ones can stack up for a stronger trend
RMV Pivots also work on weekly and higher timeframes.
Here's is $NVDA's previous base and breakout from an RMV Pivot
Here's is $NVDA's previous base and breakout from an RMV Pivot
If you want to learn more this article is a good resource.
As with any setup you need a plan to manage risk. The benefit of RMV pivots is that you are trading from a tight area. You can keep stops tight and you know quickly if it works
Let me know if you have any questions!
As with any setup you need a plan to manage risk. The benefit of RMV pivots is that you are trading from a tight area. You can keep stops tight and you know quickly if it works
Let me know if you have any questions!
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