NQ Key Levels Explained: R1/R2/R3, POC, Pivot, S1/S2/S3

NQ815 · Learn · 8 min read

Key levels are the structural framework of every NQ trading session. They define where the market is likely to pause, reverse, or accelerate. The NQ815 daily pulse provides 8 confluence-based key levels every morning — here's how they're calculated, what each type means, and how to trade them.

The Pivot Point System

Floor trader pivots are calculated from the previous session's high, low, and close:

Pivot (PP) = (H + L + C) / 3

The pivot is the session's directional divider. Price sustained above the pivot signals a bullish session; sustained below signals bearish. It's the single most important reference level.

Resistance levels

R1 = (2 × PP) − L — First resistance. Often the target for long trades entered near the pivot. R1 is hit on approximately 60% of trending sessions.

R2 = PP + (H − L) — Second resistance. A strong trend day target. Reaching R2 typically requires catalyst support (positive news, earnings beats).

R3 = H + 2 × (PP − L) — Third resistance. Extreme extension. Hit only on breakout/trend days (roughly 10–15% of sessions).

Support levels

S1 = (2 × PP) − H — First support. Target for short trades and the first potential bounce zone for pullbacks.

S2 = PP − (H − L) — Second support. Serious downside. Often aligns with institutional buying zones.

S3 = L − 2 × (H − PP) — Third support. Capitulation level. Hit only on extreme sell-off days.

Point of Control (POC)

The POC is the price level with the highest traded volume over a defined period — typically the prior session's volume profile. It represents where the market found fair value.

How to use POC for NQ:

If price opens above the POC and stays above, buyers are in control.
If price opens below and fails to reclaim, sellers dominate.
A "naked POC" from a prior session that hasn't been revisited acts as a magnet — price tends to return to test it.
POC migration (today's developing POC moving higher than yesterday's) confirms a trending day.

Confluence: When levels align

Individual levels have moderate reliability. Confluent levels — where multiple level types cluster within 15–25 NQ points — have significantly higher reaction probability. Examples:

Pivot + POC: Fair value and directional divider at the same price. Extremely strong.
S1 + Overnight Low: First support aligning with the overnight session boundary. High-probability bounce zone.
R2 + Prior Day High: Resistance confluence. Price will fight hard to break through; failure here often triggers a sharp reversal.
S2 + Round Number (e.g. 20000): Technical support plus psychological level. Expect aggressive buying.

See today's confluent levels. The NQ815 pulse identifies 8 key levels with type tags every morning at 08:15 CT.

View Today's Levels →

How to trade key levels

Reversal trades (fade the level)

When price approaches a key level for the first time, look for rejection signals: wicks, delta volume divergence, or a failed breakout. Enter against the direction of approach with a stop 10–20 points beyond the level and target the next level in the opposite direction.

Breakout trades (trade through the level)

When price breaks through a key level with strong volume and closes beyond it, the level flips polarity (resistance becomes support, and vice versa). Enter on the first pullback to the broken level with a stop below/above it and target the next level in the breakout direction.

Plot these levels on a chart. Open NQ on TradingView and draw today's pivot, R1, S1, and POC as horizontal lines.

Open TradingView →