pin bar trading

HI Tex

a. PM replied
b. Please find attached a sell for AUD/JPY
c. Do i set a sell at 96.87 ?



Thanks

Hi Pervaz , I'll be back with you soon ..im cooking some soup. Your getting the hang of it for sure on the signal candle .

Hi Pervaz , Its been a busy day today . First of all you have your candle count correct -highest high of the last 5 candles on a sell and the entry candle in the lower 25% which is good to see. I prefer a pullback to close above the lowest low in a sell and highest high in a buy....post 505 i show examples on how i look for pulllbacks . Normally the best liquidity is during the london and US sessions but not allways . With that said i would not trade this signal becase it didnt close above your lowest green candle . I'm using metatrader platform and my daily chart rsi 5 is going up not down on that signal. This entry signal may still work out ..and could be completely
wrong . Once you get your basics down i'll go over wave counts and liquidity blocks or pools the way i see it . Take care

Hi Tex

You sound like a domestic goddess - cooking soup. Im afraid i can burn water !!

Thanks for the feedback

a:". I prefer a pullback to close above the lowest low in a sell and highest high in a buy....post 505" - did you mean a pullback to the pivot (line showing or a pullback to Box A ?
b. Box B in the middle panel shows the daily 5 RSI which is flat for me at below 50
c: Perhaps my broker (Prorealtime) is showing difference in prices - which broker do you use and i can review brokers on that broker so we are looking at the same charts

Thanks

The AUD/JPY would have led to my stop loss to being hit (if i had entered on the opening price of the next candle)



A few learning points for me:

a. Updated the daily RSI to 5 (not sure why i had set it to 2 !)
b. The candles leading to the 4hr RSI entry should be moving higher in the pull-back - with hindsight the 4 candles were almost in a straight line which shows that there wasnt enough of a strong pullback.

c. Other than that i think i followed the rules

Hi Pervaz , I'm under the weather now respitory crap...but getting better i think. My neighbor taught me how to make taco soup Believe me im no expert Allways look at your 4hr majors first ---aud/usd--eur/usd -aud/usd-nzd/usd-gpb/usd -usd/chf.. see if you see some setups in the last 24 hrs or so and if they meet all conditions .You ask me about entry . This is really up to you ..my preferance is 25% limit order or sell and buy stops above or below entry candles and wait for momemtum. You are doing good Pervaz...take your time on learning .Rememeber you will have losers especially during the big swings .

Above chart : 1. crossed the 50sma -20ema good angle not flat--yes . 2. pullback from the highest high -yes. 3.lowest low of the last 5 candles yes .
4.entry candle top 25% candle --yes but would like to see an outside candle. 5. at least a 1 to 1 RR from entry to left side close or high --yes . 6. 4hr rsi
between the 50 and 50 zone --yes . Daily rsi up yes . There you go .Conservative approach .

Hi Tex

Sorry to hear about your respiratory issues (amazed at the taco cure !!)

I think have different brokers and different charts. Below is the screenshot of my screen with Eur/USD, 4 hour and its different bars !


I may download OandA so at least we are looking at the same charts

Pervaz

Good morning Pervaz ,
Thanks im feeling stronger and drinking my fluids . That was a strong momentum candle for sure and larger than the last 2 sessions and im sure
some traded it obviously ...so this would have been aggresive to me but it worked out fantastic. You nailed the trigger candle . A limit of 25% would have got you to the high ,,,,and you could have place your stop behind the 2nd candle past the entry which is a lower pivot . Will see if this eur makes a second wave ...will call this pullback a liquidity block or pool once it closes above the high of this pullback . Your post # 517 eur/gpb is a good example of a liquidy block..2nd wave went back into the first pullback..at least 50 percent give or take . When you get time what does your feed show on the gpb/usd and usd/py ..you'll have to go back a little on the yen. My yen showed an outside candle ...it wasa 00 gmt time . My 8 and 12 gmt are my US and london sessions . Take care

Hi

Good to hear you are well and up and rearing.

My GBP/USD is show below

And the USD/JPY




I do see a nice pull back on the USD/JPY (Arrow shown) but waiting for the RSI(5) to go below 50




Just another IMPORTANT question please Tex.

On your charts you show the numbering under the candle - is your entry on the candle with the arrow at the 25% entry ? I just realised that I missed that part of the strategy ?

Thanks for your help

Pervaz

Hi Pervaz , The pound was a good momentum candle far right and the pullback was good ...like to see it a little smaller and the lowest wick of the pullback and its above your 60 zone from what i can tell. Your daily rsi flat . Looks close to an engulfing on the bodies . Your 4hr usd/jpy is in a range right now plus it never close below the low ...it did make a lower low . I like to see it close below to make a complete wave or cycle .I'll try to post my 2 charts ...my feed is different .

Yes Pervaz that is correct on your question i just noticed sorry about that ...i would prefer the lowest low candle as entry ...but the next one is ok as long as it's not too large like your eur/usd entry on
the far right . Ok i'm going to post my chart feed of the pound and yen next

The yen candle entry was at 00 gmt time...maybe the news sparked the momentum...who knows

Thanks for that - i just realised all my entries were late as i was taking them after the upturn (i.e. candle after arrow!)



Just a DEMO entry to test the strategy and get experience and not a pair i would trade

Your welcome my friend .There is a lot of pairs to look at for sure...i just glanced at some odd pairs . Look at your eur /chf (your spread too) when you get time ...i'm just looking at the best conservative entries by the rules with a good candle entry with good risk. This is a mechanical sytem but it works ok . Pervaz here is what i want you to learn first which is very important before you do anything else ...it took me a little while to get it too 1 . Learn to identify where the pullback starts ..on a buy we look for the highest wick candle and we want the next candle to close below that high candle's low before we start looking for buys then we do our lowest low of the last 5 candles...opposite for sells.Remember the candles do not all have to be consecutive lows or highs. This is will be a good lesson for you on the eur/chf and i hope your feed is similar to mine .

Above chart eur/chf first wave completed broke above the high of pullback candle.