The Pivot of a base corresponds to a previous area of resistance. When a stock charges through this area on a chart, it can be a sign that the stock is poised to move higher.
MarketSmith’s Pattern Recognition marks the Pivot for each base with a dashed line. The Pivot varies by base type. In the case of a Cup (or Saucer) with Handle, it corresponds to the peak price of the handle. In the case of a Cup, Flat Base, Consolidation, or IPO Base, the Pivot corresponds to the Left Side High that began the base.