Forex "Pin" Bars

[Ljr]

I wouldn't short Gold. I doubt whether a 1hr pin bar can stem the sharp move up.

Gold has broken out of the recent consolidation phase and is at new all time highs.

Better to wait for a possible retest of the breakout.

I went short on Gold moments before I read your post. In hindsight I don't think I should have entered this trade, however my main reasons were that the price had gone up quite steeply, hit new highs and then a Pin bar formed so I anticipated a small pull back which has indeed happened.
I am playing a very tight stop loss and now am at break even.

In addition to your reasons above I did not wait for proper confirmation of the Pin bar so I think I have just been lucky with this one. Over all I was impatient which is something I need to work on.

Anyhow I am now in this trade so will just exercise good money management, although its bed time so will just have to set my SL and hope for the best.

TD what do you do when you leave a trade overnight. Do you set a limit to take profits and then check it first thing in the morning?

Leon

 

[trader_dante]

TD what do you do when you leave a trade overnight. Do you set a limit to take profits and then check it first thing in the morning?

Hi Leon,

No, I never set a limit.

I set a stop and then go to bed.

If the trade is significant size I usually take a laptop to bed and check it throughout the night.

 

[Ljr]

Hi Leon,

No, I never set a limit.

I set a stop and then go to bed.

If the trade is significant size I usually take a laptop to bed and check it throughout the night.

Thanks. Got stopped out of Gold for a very small profit. Has hit a new high so you were correct.

mmm I had thought of the laptop idea but may not be too popular... if you know what I mean.

 

[Ljr]

08h00 Pin Bar on FTSE 100

 

[Ljr]

12h00 pin bar on EURCHF

 

[trader_dante]

13.00 pin bar forming on Cable. This is a good one folks but there is still 19 minutes until bar close.

 

[TheTick]

If the trade is significant size I usually take a laptop to bed and check it throughout the night.

Hi Trader_Dante,

I have been backtesting your method on various markets (Bund, Dax, FTSE, EuroStoxx) on daily and 1hr TF from the start of the year with decent results (though not as succesful on FTSE for some reason). I chose these to start with as they have a defined start and finish time and only one session.

My next step is to look at some other markets (eg, gold, corn, soybeans, mini-dow) all of which have more than one session. Do you look at the all-sessions data for levels and trades and just accept that if they trigger when you are asleep you will miss them? Or do you just look at the data for the time of day you are able to trade? For the ag products, the pit session is only open for 4 hours but this is when the majority of the volume occurs and the charts can look very different accordingly if you include the other data.

As Ljr says - taking the laptop to bed at night might not prove very popular!

 

[trader_dante]

Hi Trader_Dante,

I have been backtesting your method on various markets (Bund, Dax, FTSE, EuroStoxx) on daily and 1hr TF from the start of the year with decent results (though not as succesful on FTSE for some reason). I chose these to start with as they have a defined start and finish time and only one session.

My next step is to look at some other markets (eg, gold, corn, soybeans, mini-dow) all of which have more than one session. Do you look at the all-sessions data for levels and trades and just accept that if they trigger when you are asleep you will miss them? Or do you just look at the data for the time of day you are able to trade? For the ag products, the pit session is only open for 4 hours but this is when the majority of the volume occurs and the charts can look very different accordingly if you include the other data.

As Ljr says - taking the laptop to bed at night might not prove very popular!

Hello, I use all the session data available and just accept that if I am asleep I may miss a setup. Sometimes I put orders in for the overnight sessions with related stops.

 

[TheTick]

Hello, I use all the session data available and just accept that if I am asleep I may miss a setup. Sometimes I put orders in for the overnight sessions with related stops.

Great - thanks very much. I thought that was probably the case, but wanted to check.

The backtesting has generated some encouraging results so far, but the FTSE results are not very good at all (although some of the signals were weak). Is this a market you have looked at? If so, have you found more encouraging results? I know a strategy will always have losing streaks, but likewise some strategies will suit certain types of markets more than others and wondered if this might be the case here. Have you found any markets that don't particularly suit this method?

Thanks for your help.

 

[trader_dante]

Great - thanks very much. I thought that was probably the case, but wanted to check.

The backtesting has generated some encouraging results so far, but the FTSE results are not very good at all (although some of the signals were weak). Is this a market you have looked at? If so, have you found more encouraging results? I know a strategy will always have losing streaks, but likewise some strategies will suit certain types of markets more than others and wondered if this might be the case here. Have you found any markets that don't particularly suit this method?

Thanks for your help.

H I've made quite a few profitable trades in the FTSE using this method. Infact, using Etrade to test, I didn't find ONE pin bar on daily TF in several years that has actually failed. Even the weak ones.

Tom

 

[Ljr]

13.00 pin bar forming on Cable. This is a good one folks but there is still 19 minutes until bar close.

TD assuming you are now in this one where do you have your stop. I have placed mine at 19601.

 

[TheTick]

H I've made quite a few profitable trades in the FTSE using this method. Infact, using Etrade to test, I didn't find ONE pin bar on daily TF in several years that has actually failed. Even the weak ones.

Tom

OK, thanks. I am looking at the FTSE Future and on 7th Jan I have a pin bar which triggered the next morning, closed offside and then gapped the following morning to take out the stop. I am using a different charting package, so maybe yours doesn't show a pin bar? But of the 13 hourly trades, I generated 3 winners, 4 scratches and 6 losses (one particularly large one going short on 24th Jan at 12pm). Do you see the same?

(Apologies - I am new to this so haven't worked out how to attach charts yet)

 

[kevsta]

check out the 15.00 pin bar
CHFJPY

 

[Ljr]

TD assuming you are now in this one where do you have your stop. I have placed mine at 19601.

Got stopped out!

Another Pin forming at 16h00 though. Do you think this one will stick.

 

[Ljr]

Got stopped out!

Another Pin forming at 16h00 though. Do you think this one will stick.

This one is no good anymore

 

[panache]

Errr..

TD assuming you are now in this one where do you have your stop. I have placed mine at 19601.

Pls excuse my naivety but what market is the cable?!

 

[Ljr]

Pls excuse my naivety but what market is the cable?!

A quote I found somewhere:

"GBP/USD is sometimes referred to as
"cable". This is because in the 1800s,
the pound/dollar exchange rate was
transmitted via transatlantic
cable."

 

[panache]

A quote I found somewhere:

"GBP/USD is sometimes referred to as
"cable". This is because in the 1800s,
the pound/dollar exchange rate was
transmitted via transatlantic
cable."

Oh yeah, rings a bell now. Thx.

 

[eltrot1979]

DAX H1 pin bar

Any good?

 

[VinceStanzione]

Any good?

Visually the bar looks like it's a pin (I haven't checked it using the pinbar spreadsheet); however, I don't believe that the bottom of the nose occurs at a significant S/R pivot point.

Obviously, we can't see any fibs on this chart; the pinbar does look close to the previous major swing low, so confluence with the 23% level fib may be possibl.e

I'd need to see the other TF's to see if there's a potential entry there;

However, based on the chart you posted - it's a no for me.

Did you play it in the end??