Power Course Instruct's Response:
Here is an example on a historical Daily chart of the EURUSD.
In this instance, we would look at the previous day’s candle and add the high plus the low plus the close and then divide that total by three. That will provide us with the Pivot Point for the current day.
The above being said, take a look at the chart below for how they are actually calculated on a Daily chart.
When price action is trading below the Pivot Point, the bias would be bearish. Conversely, when price is above the Pivot Point, the bias would be bullish.
Here is a link to the area on the Daily FX site that provides several different types of Pivot Points along with explanations...
http://www.dailyfx.com/technical_analysis/pivot_points/
