it’s Andrew’s Pitchfork—only better
I was recently introduced to a fantastic drawing tool called Andrews’ Pitchfork. It turns out that this seemingly simple tool is one of the better predictors of future trend and accurately forecasts areas of potential support or resistance.
Futures Mag succinctly describes it as follows:
At its most basic, Andrews’ pitchfork is a relatively well-known trading tool that includes three parallel lines that can be used to produce a simple strategy. The lines are based on recent trends and form prongs and a handle. They combine support/resistance, trend-following and regression-based techniques into one simple method.
After using the drawing tool for a short time, I knew that it could be improved by automating it. The Perfect Pitch indicator will identify where the Andrew’s pitchfork should be placed. Then, it will automatically choose which of the three pitchfork variations best fits the current price movement. This auto-selection of the best pitchfork to use is exclusive to the Perfect Pitch indicator.
Another enhancement that the Perfect Pitch adds is the addition of sliding support or resistance lines. These lines are drawn parallel to Andrew’s pitchfork and are spaced equidistantly at one-half the overall height of the pitchfork.
The Perfect Pitch indicator also works with the mobile version of Thinkorswim. In fact, this is the only way to get Andrew’s Pitchfork on the mobile platform since drawing tools are not included.
Add the Perfect Pitch to your charts and more readily identify future areas of potential support or resistance.