Hi guys,
Just a general comment, but I feel people on here are trying to trade every single PB that occurs, rather than strictly applying the techniques shown to us by T_D.
I'm not trying to knock anyone, it's more of a general point.
Are traders here actually drawing the major S/R points on the daily & hourly charts first; and then waiting for the price action to come to them?
Certainly, I'm not trying to be critical; it's just that there's mulitple pin-bar citings being posted here which aren't exactly paved with gold...
As T_D has shown us in his thread, this method can make generous pips/ticks. So it's surprising, the results are such a mixed-bag.
However, I do accept most of us are new to this system - and possibly, some of that subset are new to trading per se; so mistakes come with the territory.
It's so, so difficult to control your emotions when faced with a concept that can genuinely help people achieve financial independence - I think that's why people are possibly failing using the PB approach.
Aplogies for sounding harsh - I just felt it needed to be said....
It's just my $0.02 - what I'm trying to do with this post is kick-start a constructive discussion on the application of T_D's concepts.
Thank you for reading - and I hope we can all make a nice few pound of the strategy.
VS
Hey Guys,
Excellent post from Vince.
I've been keeping an eye on this thread and it does seem like a real mixed bag of results with just as many wins being met by losses from what I've seen.
When I first heard about pin bars over on J16 I thought it was the key to riches. I just scanned charts for pin bars and when I found them I did a quick bit of TA. The problem with doing things this way round is that the pin bar is a DIRECT SIGNAL to enter so once you've seen it you start thinking you should get in the market and if you're not careful you fit the market to the signal.
In the beginning I would see a pin bar and find myself saying: "right I'll draw a fib from the previous swing high...hmm the pin bar comes near to the 38...not bad...fib from next swing high...hmmm nothing there...but this is a bullish pin bar so I must be overlooking something...ahhh now if I fib from a high...well thats not a actual high but actually if I fib from there anyway it hits the 50. Now let's look for support/resistance pivots. Hmm there aren't any key ones...mind you, if you take those previous lows then that does kind of form..."
You get the point.
Overall I just lost money only at a slightly slower rate than previously.
I felt disillusioned. Then I realised that if you do your TA first and wait for the price action to come to you, you get more confidence. The reason you get this is because you have the levels on your chart that you think the market will turn at. Sometimes you have them on there weeks before the market reaches them. When it does and it hits them and it bounces and it forms a pin bar you get CONFIDENCE because the market has CONFIRMED your TA.
When I started doing this, I never looked back. I turned around £200 into around £4,000 in 6 months. That's not an incredible monetary sum but it was good enough to get me hired doing this professionally because it was done over a huge amount of trades not just a few using insane leverage.
It was done taking the best setups and only the best. I wanted to see perfect looking pin bars at pivots WITH fib confluence.
I passed up so many - even ones that were good pins with good supporting factors. I passed them up perhaps because the nose didn't stop AT my pivot but went through it or stalled above it.
When I traded like this my win/loss ratio over hundreds of trades was almost 90%. That is to say, I lost 1 in 10 trades.
Later on, I'll admit I got a bit carried away with the number of wins I was having and the money I was starting to make. I started taking them perhaps if they just had a pivot rather than a pivot and a fib. Basically I started concentrating on the pin bar ITSELF rather than where it occured. And what happened? My win/loss fell to the high 60's. Still good but far off where it could be.
I posted a pin on here myself the other day (GBP/USD) and that actually failed and likely caused the trader that took it to lose money but the point is - I had my levels drawn in, saw the pin and posted it. Unfortunately it was a loser but honestly, if you trade like this, you won't get many losers.
If you do your TA first you will start realising that setups like inside bars work just as well. Pin bars, inside bars and many other setups are just the market tipping its hand that it is about to move but its just the icing. You have to have the cake first.
