Pin Bar System

This is my system that i have been trading for a while now, its very profitable and i want to share it with you :

What you need to do if you want to trade along with me :

1/Pin bars

2/ 30 min charts

3/ Daily Pivot points (which can be found here) http://www.livecharts.co.uk/Members/display_forex_pivots.php

4/ Markets : eur/usd, gbp/usd, eur/gbp, eur/jpy,aud/usd, and usdjpy for currencies and ftse, dax, cac40, s and p, dow, gold and wti oil


Rules for entry:

1/Pin bar must cut the Daily Pivot points this can be the DP, R1, R2,R3, S1,S2,S3

2/ The pin bar can be in the direction of the trend or counter trend

3/Entry is 1 point above or below the pin in direction of the pin

4/ Stop is 1 point below or above the pin

5/ Risk/reward must be at least 1 to 1,

6/ If you take a trade off the Daily Pivot point short then your target is S1 or if you go long then the target would be R1

example trades:






you can use an indicator to plot your pivot points for currencies which i find very accurate but if you want to plot the index, gold and oil you can use the one here on number 6 http://www.trade2win.com/boards/gen...aily-pivot-indicator-mt4-ohlc-adjustable.html

you will have to input all the levels before you trade in the morning from livcharts.co.uk this should take you a few minutes

also just to add, i will trade ftse dax and cac till 430 uk time and all the currencies from 830 to 4pm uk time
i will trade the dow and s and p just after the US open which is normally 230pm here in the uk
and i will trade Gold and OIL from 830am uk time to 430pm
any question please shout

do you wait for the pin bar to close and enter the trade on the open of the next candle or do you try to spot the pin bar forming and get in early?

brewski1984 said:

do you wait for the pin bar to close and enter the trade on the open of the next candle or do you try to spot the pin bar forming and get in early?

Click to expand...

you always have to wait for the pin bar to close, do not try to get in early also its not a valid signal if the pin bar top or bottom has not been broken

you could enter on a retrace of the pin if you have missed the original entry for a better price but you may not get a retrace of the pin

ah cool. is there a specific reason for 30 min timeframe? is it discretionary on taking profits/cutting losses or do you always let it run?

you did say ask questions lol

brewski1984 said:

ah cool. is there a specific reason for 30 min timeframe? is it discretionary on taking profits/cutting losses or do you always let it run?

you did say ask questions lol

Click to expand...

I have backtested it and live tested it on just this time frame (30min) so i can not say weather it works on any other time frame

as for taking profits : you need to take profits at least 1 to 1 risk reward ratio

the perfect trade would be to take profit at the next pivot level which can be much more than a 1 to 1

your stop is just below or above the pin, and you are trying to run the trade to the next Pivot level

IMPORTANT: if your nearest Pivot Level is to close to your entry and it does not give you a 1 to 1 risk/reward then the trade is not valid, move on to a better trade with more room to play with

no worries on the questions brewski, keep them coming

brewski1984 said:

ah cool. is there a specific reason for 30 min timeframe? is it discretionary on taking profits/cutting losses or do you always let it run?

you did say ask questions lol

Click to expand...

You could look at a 5 and 15 minute time frame on a similar method (Tip: make sure you know what defines a Pin Bar )

http://www.forexfactory.com/showthread.php?t=163972

Good luck

neil said:

You could look at a 5 and 15 minute time frame on a similar method (Tip: make sure you know what defines a Pin Bar )

http://www.forexfactory.com/showthread.php?t=163972

Good luck

Click to expand...

PIN Bars may seem simple to explain on paper but i think in the real trading world there is a little bit of discretion with them

i have to say i will be trading bars that are not exactly what you would describe a PIN BAR as but sometimes it just looks right and is in the right area of the chart for me

as we progress this will become clearer

morning, first trade of the system live let hope its a good one

short eurjpy 113.13 stop 113.30

great risk/reward 112.00 is target area

here is the chart

order to go long ftse 5705.4 stop 5677.8

here is the chart

pocrel said:

morning, first trade of the system live let hope its a good one

short eurjpy 113.13 stop 113.30

great risk/reward 112.00 is target area

here is the chart
View attachment 106210

Click to expand...

1/2 off at +20

leaving the other half to run to target or stop me out

Interesting idea, Pocrel, do you not find it easier with candlesticks to identify pinbars?

Hi pocrel,
As you will doubtless be aware, the subject of pin bars has been discussed at length elsewhere, most notably in trader-dante's famous thread: Making Money Trading Some members might be put off reading your journal because they'll assume it's just more of the same.

I have a suggestion for you to consider. Might it be a good idea to outline how your methodology and ideas compare and contrast to those set out by TD and others, so that members will feel that reading your journal will add to their overall understanding of the subject, rather than just repeat stuff they already know? Just a thought.

Whatever you decide - good luck with it anyway!
Tim.

pocrel said:

order to go long ftse 5705.4 stop 5677.8

here is the chart
View attachment 106212

Click to expand...

ok ftse trade just kick in so now long the FTSE

pocrel said:

ok ftse trade just kick in so now long the FTSE

Click to expand...

I'm liking the simplicity of your trading edge...wish you well with it.

G/L

Dubai said:

Interesting idea, Pocrel, do you not find it easier with candlesticks to identify pinbars?

Click to expand...

Hi Dubai, i find bars i trade may not be classic pin bars per say and i find it easier to judge the bar with BAR charts, i am sure i will get comments on the entry bars and some will say thats not a classic pin

but i find both are good and whichever you use should nt make much difference to your decisions

thanks for the comment

timsk said:

Hi pocrel,
As you will doubtless be aware, the subject of pin bars has been discussed at length elsewhere, most notably in trader-dante's famous thread: Making Money Trading Some members might be put off reading your journal because they'll assume it's just more of the same.

I have a suggestion for you to consider. Might it be a good idea to outline how your methodology and ideas compare and contrast to those set out by TD and others, so that members will feel that reading your journal will add to their overall understanding of the subject, rather than just repeat stuff they already know? Just a thought.

Whatever you decide - good luck with it anyway!
Tim.

Click to expand...

Hi Tim,
i have not read all of trade dante stuff so i dont know exactly how its the same and i have not seen anyone use this system on 30min charts or use pin bars off pivot levels together (perhaps i am wrong?)

Differences off my system to other PIN Bar systems

1/ entry off pivots levels
2/ 30 min charts only
3/ pin bars will not be exact pin bars by definition (they can be slight variations which will be evident as we go along)
4/ i wont use Fib levels in the system (which i think alot of dantes stuff uses)
5/ risk reward is set by the pin bar it self
6/ markets are only traded at certain times

this System has a little bit for everyone but the main thing is that the Risk/Reward is great and will teach people discipline by following and simple system and if thats a bad thing or something thats does nt need reminding around here then i will pull it and move on.

pocrel said:

this System has a little bit for everyone but the main thing is that the Risk/Reward is great and will teach people discipline by following and simple system and if thats a bad thing or something thats does nt need reminding around here then i will pull it and move on.

Click to expand...

Hi pocrel,
No, no - of course not! It's a very good thing and we all need reminding of it every day. (Well, I do anyway!)

Your explanation is good and does what I hoped it would, i.e. it sets out early on that your journal will look at an old topic afresh and add to our understanding of the subject - rather than just repeat old stuff! So, please carry on.

Tim.

pocrel said:

ok ftse trade just kick in so now long the FTSE

Click to expand...

stopped out -27 on ftse

eur/jpy still going well so mix start so far

pocrel said:

stopped out -27 on ftse

Click to expand...

you hold them thru data releases?

bbmac said:

you hold them thru data releases?

Click to expand...

well ideally i would not hold it but i was close to been stopped so i just let it ride

if i was in profit i would have closed out or moved my stop to breakeven

i dont trade close to major news and i entered the trade well before the news