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THE CANDLESTICK TRADING BIBLE
The 4-hour chart above illustrates how the 21-moving average could
help us find key points in the market.
When prices
approach the moving average, the buying pressure takes
place
in the market, and the price goes up.
The pin bar signal is clear on the chart, because the trend is bullish, the
price action setup has a bullish anatomy as well, and the rejection from
the 21-moving average is a confirmation signal to buy the market.
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THE CANDLESTICK TRADING BIBLE
Trading tactics
When
we identify the trend, (uptrend or downtrend) and the level
(support or resistance).
And we find a pin bar near these levels in line with the direction of the
trend. The second step is to know how to enter the market based on
this candlestick pattern.
According to my experience, there are different entry options when it
comes to trading pin bars; it all depends on the candle anatomy, the
market
conditions, and your money management strategy.
1-The aggressive entry option:
this method consists of entering the
market immediately after the pin bar closes
without waiting for a
confirmation.
This strategy will help you catch the move from the beginning, because
sometimes the price goes higher after the close of the pin bar, and if
you are not in the market, the trade will leave without you.
See the example below:
