Did anyone take this trade ? I am currently in with a small profit. I did take a retrace entry though.
GBP/USD H1. price has broken and closed through weekly support zone. Looks like plenty of room to fall if it wants to. Looking for a pullback up to this resistance zone or BO to sell with this strong trend. Sometimes price only gives a small pullback opportunity to get in during a strong trend. P.A. will lead the way.
I got in this trade too, but using the daily pin bar as entry.
I only get a RR of about 0.6, which in hindsight, may be a bit low for my risk appetite. Could probably consider opening 2 positions and let the other run with SL at break even.
AUD/USD H1. I hope a few folks caught this reversal signal. With trend rejecting key level. When i saw that PB i jumped in without hesitation. :13:
Welcome Shunfeng.
If you are talking about the 2nd last bar on the chart, it looks a bit small to trade to me. Better if it stands out and away from the surrounding bars. It may well go up, but it is a small signal and also you will be trading into a bit of resistance/traffic. Low probability trade for me.
All the best. G
Thanks for your reply, Gforce1!
Agreed that it is small and the trading zone would be in the traffic.
Safe trading,
Shunfeng
Someone told me I shouldnât go short even if I saw a massive pin-bar like this form on NZDCAD, because itâd be âa counter-trend tradeâ.
Hereâs what happened,
Whatâs the lesson we can learn from this, kids?
Think for yourself!
Someone told me a massive pin-bar on NZDCAD wouldnât be a good setup because itâd be a counter-trend trade.
This is how wrong they were,
While that PB may have been a CT trade, it wouldâve worked out great. And thatâs because the pin-bar was great - commanding and perfect.
Whatâs the lesson we can learn from this, boys and girls?
Think for yourself!
Actually the trend has not fully reversed yet. At this point is just a retracement and and attempt to form a double top, but it will take another day to confirm it. Have a look at the same NZDCAD 3 months ago, in January:
It looked like a good set-up (including and attempted double top and second pin bar) untill ended up being just the opposite.
This pinbar reversal will be confirmed if price closes under 0.94 on a 4hr chart.
Is it always worth the risk to go against the grain on that size spread?
Isnât that 15 months ago?
Youâre right, was 2014. I was looking back trying to find the same set-up type, a pinbar against the trend, completed later with the rest of the trap, i.e. the double top formation.
NZDCHF has a pb on the daily⌠I know itâs countertrend⌠but would it be worth considerating taking this?
Itâs been going up quite steeply and for quite a while.
What are your thoughts? =)
Thanks.
If the price gets under 0.7350 would be the first signal to short (below the pinbar bottom). But a much stronger signal would be if price gets underneath 0.7310 (below the bottom of candle before the pinbar).
A target in this case would be around 0.7250, a second 0.7200.
From my experience is better to wait for the stronger signal.
I donât think anyone said you canât make a countertrend trade, only that it is less likely to work. Trading with the trend tends to have a higher success rate. Whenever I take a CT trade I try to move to Break even sooner than trading with the trend because they seem to turn against you faster.
I see a nice BUEB with the trend right on your chart that would have been a pretty good play.
AUD/USD Daily, PB with the trend.
But of course we have to wait untill it gets under 0.7830 to take the short.
I donât think that qualifies as a pin bar because price doesnât close in the lower third of the candle. It definitely doesnât close overwhelmingly strong and looks more like an indecision bar to me.
I actually took a short trade off the 4 hour chart on AUD/USD. I saw a 2bar reversal(sorry no chart). I do have the same S/R marked as you do here though.
Erm⌠is this a worthy PB to trade? Seems more like an indecision candle to me.