# ZigZag ## Description ZigZag is a trend following indicator which allows to determing trend swings. A combination of ZigZag highs and lows can be used as a support or resistance level. Also it helps to identify significant changes in price and filter out short-term fluctuations. ![](https://4186075531-files.gitbook.io/~/files/v0/b/gitbook-legacy-files/o/assets%2F-LD6FsRvQ3jgwJIg6O7r%2F-LEs3fQFk5ZPPjV0oURa%2F-LEs9LYouHNHFhKk9kap%2Fimage.png?alt=media\&token=a7f1f078-9fbe-4301-a20c-07b2719f0a5e) ## Formula ZigZag finds extremums in price movement. These extremums reflect the diviations of price that are more than setted value. By default value for a ZigZag is 5%, it will ensure that only price fluctuations of 5% or more will be shown in the chart. ## Most useful cases * **Determing swings** - the most common case of ZigZag usage is an eliminating a small price fluctuations and paying attention on huge price swings. * **Support/Resistant levels** - ZigZag also is very helpfull in finding levels of support and resistance, to do it traders generally analyse a price of ZigZag swing and combine closest swings together in one price level ![](https://4186075531-files.gitbook.io/~/files/v0/b/gitbook-legacy-files/o/assets%2F-LD6FsRvQ3jgwJIg6O7r%2F-LEs3fQFk5ZPPjV0oURa%2F-LEsLe8WUiRkQxNaMwoJ%2Fimage.png?alt=media\&token=86c0dcc2-ba18-4749-93bc-893794888ecc)