Forex Pin Bar Method – Trading Pin Bars From Key Levels

Trading Pin Bar Signals with Support and Resistance Confirmation, is perhaps one of the most effective ways to trade forex, if not thee most effective way to trade. This article will show some examples of trading pin bars from key levels. Follow along closely because this is likely to be one of the most powerful Forex trading strategies you will ever learn.

Pin bars are one of the most valuable tools that price action traders have in their Forex trading arsenal. They often form at major market turning points, correction levels, or within a trend as continuation signals. When combined with a strong support or resistance level, pin bars can be one of the most accurate trading signals available. The best pin bar setups occur near confluent levels of previous price action as the market moves in one direction and then regresses back to re-test a previous support or resistance level. We can see in this daily chart of EUR/USD two successive pin bars testing a previous support and resistance level and then resuming downward movement

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Pin bars occur in all market conditions; up trends, down trends, and range bound. The beauty of price action analysis is that it teaches you how to analyze market movement based on inherently generated data; namely price data. Reversal bars taken at confluent levels can act as a map to long-term profits in the forex market. Trader’s can design a highly profitable trading method entirely around pin bars if they so desire. The more confluence added to a pin bar formation the more accurate it becomes. We can see in this daily chart of GBP/USD below a beautiful pin far formed at a previous support/resistance level with the up trend and also at a Fibonacci 61.8 retrace level. The more confluence you can combine with a pin bar signal the higher its accuracy becomes.

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Pin bars are adaptable to ever-changing forex market conditions and can be very profitable even in ranging markets. They can be very accurate if the formation is clear and obvious and combined with solid support or resistance confirmation. We can see in the daily chart of EUR/JPY below two very well formed counter-trend pin bars that formed off support in a range bound market that netted some serious gains for traders with a keen eye for price action analysis. Pin bars of this clarity and magnitude can be entered after the close on a market order. We suggest specific entry, stop, and target levels for quality pin bar setups in our member’s trading forum.

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Pin bars can be taken at major market turning points counter-trend if they are very well formed. Often times long-term trend changes are set off by large pin bars that can result in some serious gains for traders aware of the potential. The daily USD/JPY chart below demonstrates how a large, well formed pin bar can tip off traders to longer-term changes in trend direction. Often times trend changes will occur rapidly and form what is called a “V” bottom with the bottom bar being a pin bar.

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When pin bars form at the top or bottom of a consolidating market that is taking a breather after a large directional movement they can often signal trend resumption is near. In the daily chart of USD/CAD below we can see multiple pin bars formed at the top of a range bound market that was most recently in a large down trend. The last pin bar on the right side of the chart set off a very powerful move that resulted in a breakout of the range and subsequent downward trend resumption.

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In conclusion, pin bar reversals are a great price action tool that forex traders can use in all market conditions. They are best played at confluent levels with strong support and resistance confirmation. Pin bars taken with the dominant daily trend are generally more accurate than counter trend pins. However, counter trend pins can set off long-term directional bias changes that can mean serious cash for traders with a trained eye. Pin bars work great at the tops and bottoms of range-bound markets and provide very accurate setups in these conditions. For further explanation and on-going market analysis on pin bar setups please check out my forex price action trading course and live member’s forum.

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About Nial Fuller

is a Professional Trader who is widely considered ‘The Authority’ on Price Action Trading.
He has a monthly readership of 250,000+ traders and has taught 15,000+ students since 2008.
If you want to learn more about harnessing the power and simplicity of Nial’s Price Action Trading Strategies checkout his Professional Forex Trading Course.   -   You can Contact Nial here.

Join the Discussion. Click Here to Leave a Comment – 21 Comments.

  1. Jamey

    Very gud article, helpful.

    Reply
  2. Buba

    how can i identified a pin bar.

    Reply
  3. Benjamin

    Hi Nial. I jst read your article nd i have alredy begin 2 have confidence in my self. I wil adopt the price action formular and see what its brings. I realy hope 2 b sucesful so that i would pay for your course fultime. Tanks. Am benny

    Reply
  4. Poda

    HI Nial:
    Very comprehensive… thank you. By the way…my experience in trading is very poor and is very easy to understand. Good on you. Keep the good work.

    Reply
  5. AMIN MALIK

    NAIL!Thank you so much. You are training many of us to join
    Forex Trading Community successfully.Your each lesson is
    INFORMATIVE & HELPFUL.Keep it up,May GOD REWARD YOU.

    REGARDS, AMIN MALIK

    Reply
  6. Tim

    Thanks Nial for keeping us informed

    Reply
  7. yakub qudus

    Nial,you are truely the MAN.

    Reply
  8. Robert

    PinBars + Confluence = Outstanding Trade Signal

    Thanks for this easy formula, Nial!

    Robert

    Reply
  9. wilfried

    Thank you Nial for sharing your knowledge with us!

    Reply
  10. mark

    i want to use this avenue to say thank you to you for the great work your doing on behalf of some many people who cant afford the cost of attending the elite training. i mut say that a few of the thing that i have read from your article has really put me on the right part as regards this business. thanks and remain blessed.

    Reply
  11. moses

    i want to specially thank you for your selfless giving to many that dont know like you do.
    i am implementing what you said about pinbars and their set ups and it is working.
    i am going to save money and pay for the course, thank you nial.
    you are one in a million.

    Reply
  12. moses

    i have read your articles just this 2 days and i already have confidence.

    Reply
  13. ohuizu

    Nial you are simple great

    Reply
  14. joaquin

    the only thing i can say is that you are more than great, and your articles and video as well.
    thanks, thanks a lot

    Reply
  15. xback

    thanks nial…

    Reply
  16. ahmed

    thx boss. you are the greatest among the traders.

    Reply
  17. Chuka

    Nial is simply awesome! Pin Bars are so obvious and effective I wonder how I have missed them all this while…
    Thank you man!

    Reply
  18. galen

    This article scarce me somewhat. Keen eyes and experience in reading charts will come in due time. This material can be over whelming. I understand when you say learn one setup (master it) then move on to another price action setup. It is good to be scared; as a tool for learning.

    Reply
  19. ope

    these are marvelous!!!

    Reply
  20. ali

    Well, i can say that these pin bars are ready to trade any time a trader wants them to trade……

    thanks Nail

    Reply
  21. jean

    The more I read your articles and watch your videos, the more I become confident!

    Your work is GREAT !

    THANK YOU!!!

    Reply

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