The Pocket Pivot is calculated using the following formula. Each of the following conditions must be true in order for a pocket pivot to exist on the current bar of a bar chart.

• Current bar must close higher than previous bar (C0 > C1)
• For the previous 10 bars (day -1 through day -10) the close should be lower than the close on the previous day. For example C1 < C2, C2 < C3, ... C10 < C11.
• The volume on each of the previous 10 bars should be lower than the volume on the current bar. For example, V0 > V1, V0 > V2, ... V0 > V10.

If all of those conditions are met then a pocket pivot is signaled on the current bar.

Nomenclature:
V0 is volume on current bar.
V1 is volume on previous bar etc.
C0 is closing price on current (most recent) bar.
C1 is closing price on previous bar etc.