Technical IndicatorsEducational11 min read

CPR (Central Pivot Range) and Pivot Points: Formula, Narrow vs Wide CPR and How Traders Use Them

Updated · BreakPoint Research Desk

Quick answer

CPR (central pivot range) is a band of three levels calculated from the previous session’s high, low and close: Pivot = (H + L + C) ÷ 3, Bottom Central (BC) = (H + L) ÷ 2, and Top Central (TC) = 2 × Pivot − BC (swap TC and BC if TC comes out lower). Standard pivot supports and resistances such as R1 = 2 × Pivot − L and S1 = 2 × Pivot − H are usually plotted with it.

Traders read the band two ways: its width — a narrow CPR is often associated with trending days and a wide CPR with sideways days — and price’s position relative to it, with opening above the CPR seen as bullish context and below it as bearish. CPR levels are areas to watch, not automatic entries.

Key takeaways

  • All CPR and pivot levels come from yesterday’s high, low and close — they are fixed before the open.
  • Narrow CPR: yesterday’s close sat near the middle of a compressed range; a directional day often follows. Wide CPR: a sideways day is more common.
  • Opening and holding above TC is read as bullish context; below BC as bearish.
  • R1/S1 and R2/S2 are commonly used as targets and reaction zones.
  • Because many traders watch the same levels, reactions happen — but breaks happen too.

CPR and pivot point formulas

Daily CPR uses the previous day’s data. Weekly and monthly CPR use the previous week’s or month’s high, low and close.
LevelFormula
Pivot (P)(High + Low + Close) ÷ 3
Bottom Central (BC)(High + Low) ÷ 2
Top Central (TC)2 × P − BC (if TC < BC, swap them)
R12 × P − Low
S12 × P − High
R2P + (High − Low)
S2P − (High − Low)
R1 25,267TC 25,117Pivot 25,083BC 25,050S1 24,967From yesterday: High 25,200 · Low 24,900 · Close 25,150Pivot = (H+L+C)/3 · BC = (H+L)/2 · TC = 2×Pivot − BC · R1 = 2×Pivot − L · S1 = 2×Pivot − H
Hypothetical Nifty levels from High 25,200, Low 24,900, Close 25,150. The shaded band is the CPR.

Narrow CPR vs wide CPR

Narrow CPRtrend dayWide CPRrange dayShaded band = CPR · a tendency, not a rule · illustrative
Width is a hint about the likely character of the day, not a forecast of direction.
CPR typeWhat it suggestsHow traders adapt
NarrowCompressed prior day; potential for a directional moveLook for breakouts away from the band
WidePrior day with a wide range; balance more likelyExpect rotation; fade extremes or trade less
Ascending (today’s CPR above yesterday’s)Value moving higherBullish context
DescendingValue moving lowerBearish context

A “virgin CPR” is a band price never touched during its session. Some traders watch it as a level for later days.

How to use CPR for intraday trading

  1. Before the open: plot the levels

    Calculate or plot CPR, R1/S1 and R2/S2, and note the CPR width compared with recent days.

  2. At the open: note where price starts

    Opening above TC, inside the band, or below BC sets the initial context.

  3. Watch the first test of the band

    Price holding above TC on a pullback supports longs; price falling back into the band weakens the case.

  4. Use R1/S1 as first targets

    Many traders take partial profit or tighten stops near the next pivot level.

  5. Invalidate clearly

    A close back through the opposite side of the CPR usually means the day’s context has changed.

Worked example: calculating tomorrow’s CPR

Hypothetical Nifty prior day: High 25,200 · Low 24,900 · Close 25,150

Pivot = (25,200 + 24,900 + 25,150) ÷ 3 = 25,083.3. BC = (25,200 + 24,900) ÷ 2 = 25,050. TC = 2 × 25,083.3 − 25,050 = 25,116.7. R1 = 2 × 25,083.3 − 24,900 = 25,266.7. S1 = 2 × 25,083.3 − 25,200 = 24,966.7.

TC25,116.7
Pivot25,083.3
BC25,050
CPR width≈ 67 points
R125,266.7
S124,966.7

How to read it

Nifty opens at 25,095 inside the band, then closes a 15-minute candle above TC with the broader market positive. The context turns bullish, with R1 near 25,267 as the first reaction zone. A close back below BC would have reversed that read.

The takeaway

CPR gives prepared levels and context before the open. The trade still comes from how price behaves at those levels.

Common mistakes traders make

  1. Treating pivot levels as walls

    They are reaction zones. Strong trends cut straight through them.

  2. Ignoring width

    Trading breakouts aggressively on a wide-CPR day often means trading a range day as a trend day.

  3. Mixing daily and weekly levels unknowingly

    Know which timeframe your platform is plotting.

  4. Using CPR alone

    Combine with trend, VWAP and the index; CPR has no volume or momentum information.

  5. Recalculating from wrong data

    Use the official prior-session high, low and close; small differences change the levels.

What to combine CPR with

  • Previous day high and low — often near R1/S1 and just as widely watched.
  • VWAP — confirms intraday control around the band.
  • Opening range — a break away from both the range and CPR is stronger context.
  • Index trend — narrow CPR days still need a market with direction.

How BreakPoint fits a level-based workflow

CPR is a calculation you can plot on any chart. BreakPoint helps with the parts around it — which stocks are interacting with key prior-day levels and whether the market is trending. How its tools select stocks stays private.

Prior-day levels, live

The HLC Scanner tracks stocks breaking their previous day high, low or close — the same inputs CPR is built from.

How to use HLC Analytics →

Trend context for the band

Index Trend shows whether indices are trending across timeframes, which helps decide whether a narrow CPR is likely to produce a move.

How to use Index Trend Dashboard →

Where the action is

Market Mover shows which stocks and industries are moving so you plot CPR only where it matters.

How to use Market Mover →

Good to know

Save CPR and pivot drawings on BreakPoint’s built-in charts and view the same layout in the mobile app.

Who should use this approach?

Intraday traders

CPR gives a prepared framework of levels before the session starts.

Index traders

Widely used on Nifty, so reactions at the levels are common.

Swing traders

Weekly and monthly CPR offer higher-timeframe context.

Beginners

Useful for learning level-based planning; avoid treating levels as guarantees.

Limitations and risks

Read before you trade
  • CPR levels are derived only from prior high, low and close; they do not account for news, volume or momentum.
  • Narrow and wide CPR describe tendencies, not rules.
  • Levels differ slightly between data sources.
  • No level-based method guarantees results.

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Frequently asked questions

CPR, or central pivot range, is a band made of three levels — pivot, top central and bottom central — calculated from the previous session’s high, low and close. Traders use its width and price’s position relative to it as intraday context.

Plot the levels, then watch who respects them

Use the HLC Scanner to see which stocks are breaking prior-day levels and Index Trend to judge whether today should trend.

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Terms used here: Support & Resistance · Breakout · Intraday Trading · VWAP (Volume Weighted Average Price)

This article is for education only. It is not investment advice or a recommendation to buy or sell any security. Trading involves risk of loss; examples are hypothetical and past behaviour of any pattern does not guarantee future results.