Pin Bars - Price Action setups
Pin-bar can be traded as a single figure, and in combination with others. These include Fibonacci levels, important pivot levels (reversals), moving averages, peaks and main swing, fusion (the MA or Fib levels), rollbacks of current movements (not less than 23% Fib). For greatest reliability worth trade PB occurring at the maximum or minimum swing, or repelled from the merger.
Figure 2
PinBar - a very reliable pattern Price Action.
Trading on the pin-bars
For beginners we recommend to put a stop order (or limit) directly under the base of the PB, about 10 points lower. Foot and input orders should be placed in 10 locations from the extrema, as the price may be a bit to go beyond the maximum or minimum.
Figure 3
If current orders we receive profits, trail the stop and partially close the position. After that, the remainder of the position that we moved into the black, you can watch, waiting for further market movement in our direction. Remember that on different timeframes, you will find a lot of pin-bars, so trade only the best setups! If in doubt - miss.
Identification Pin-Bar
Look at Figure 4 and try to find some good PB.
Figure 4
1. Good form bars. Open and Close are almost equal and are located close to the minimum bar below the left eye. Lack of the bar - a small nose.
2. Open and Close are approximately equal and are located close to the high bar, above the previous eye. Nose small outside eye appears insufficient. Ignore.
3. Open and Close are similar, but are too close to the middle of the bar, which is similar to the more neutral bar. Open and Close are located under the previous eye, and the nose is not long enough. Ignore.
4. Open and Close are located nearby, at the same time close to the middle of the bar. In fact, this is an inside bar (or the bar is very similar to it), which has lower than the previous High and Low - above. Therefore, the "puncture" the price is not available.
5. Open and Close - below the left eye, near one of the ends of the bar. The nose is long and stands far beyond the surrounding prices. is a very good pin bar, which is confirmed by the following two bars.
6. This bar has an Open and Close, which are located above the eye near one of the ends of the bar. The nose is not long. Looking at the next bar, you can see that the price has moved over the top of the bar №6 only 5 points, so we would not be able to enter the market.
7. Open and Close not located on the same level, the bar closes at about the middle. Close windchill Low of the previous bar. The nose is long, but because of the position of Low attributed this bar to BOP impossible.
8. Unlike №7, Close this bar is in the range of the previous bar, but in the middle! The nose does not protrude sufficiently beyond the surrounding bars. This bar is better to ignore.
9. Open and Close are located near one of the ends of the bar, overlap the previous one. The nose is nice and long, but does not act beyond price. Bad PinBar.
10. Open and Close near one end of the bar. The nose is not big. Not PB.
11. Hopefully bar. Open and Close near one of the ends of the bar, well located with respect to the left eye. Nose protrudes slightly beyond the price. But the bar is not located on High or Low swing near the confluence.
3. Open and Close are similar, but are too close to the middle of the bar, which is similar to the more neutral bar. Open and Close are located under the previous eye, and the nose is not long enough. Ignore.
4. Open and Close are located nearby, at the same time close to the middle of the bar. In fact, this is an inside bar (or the bar is very similar to it), which has lower than the previous High and Low - above. Therefore, the "puncture" the price is not available.
5. Open and Close - below the left eye, near one of the ends of the bar. The nose is long and stands far beyond the surrounding prices. is a very good pin bar, which is confirmed by the following two bars.
6. This bar has an Open and Close, which are located above the eye near one of the ends of the bar. The nose is not long. Looking at the next bar, you can see that the price has moved over the top of the bar №6 only 5 points, so we would not be able to enter the market.
7. Open and Close not located on the same level, the bar closes at about the middle. Close windchill Low of the previous bar. The nose is long, but because of the position of Low attributed this bar to BOP impossible.
8. Unlike №7, Close this bar is in the range of the previous bar, but in the middle! The nose does not protrude sufficiently beyond the surrounding bars. This bar is better to ignore.
9. Open and Close are located near one of the ends of the bar, overlap the previous one. The nose is nice and long, but does not act beyond price. Bad PinBar.
10. Open and Close near one end of the bar. The nose is not big. Not PB.
11. Hopefully bar. Open and Close near one of the ends of the bar, well located with respect to the left eye. Nose protrudes slightly beyond the price. But the bar is not located on High or Low swing near the confluence.
So what better to trade bar beginner?
Bars with №№1 and 5 look better than others. Long noses and look out beyond the surrounding prices. It is best to include it in the data bars.
Bars with №№1 and 5 look better than others. Long noses and look out beyond the surrounding prices. It is best to include it in the data bars.
Final thoughts
Pin bar - good, often appearing figure Price Action. But it should be enough to trade cautiously. Choose the best patterns in which you believe. Better if it will be in large patterns from H4 and above.
Also remember about simplifying the search of the figure (see. Article "Indicator Price Action").
For Forex trading broker recommended - Alpari. We wish you successful trading!
For Forex trading broker recommended - Alpari. We wish you successful trading!
Comments
Post a Comment