Mungkinkah terdapat trader yang tak kenal Pin Bar. Mungkin mereka kenal dgn nama lain macam pinnochio atau hammer ataupun shooting star ataupin long wick? Price action trader mesti kenal Pin Bar. The pin bar is perhaps the most powerful price action setups yang pernah wujud dalam arena trading. Jika malas belajar price action setups yang lain. Maka belajar kenal dengan Pin Bar sudah mencukupi. So if I could pick only one price action pattern to trade with for the rest of my life, I would probably pick the pin bar. However, despite its simple structure, the pin bar can be very tricky to trade if you don’t know how to distinguish a good pin bar from a bad one. Rujuk article by Nial Fuller.
Key Point From That Article...
I see many traders making the same mistakes over and over with pin bars;
a) They trade every pin they see,
b) They give no consideration to the market context the pin bar formed within,
c) They constantly try trading counter-trend pin bars and many other mistakes.
Five of the biggest mistakes traders make with pin bars…
1. Learn To Trade Pin Bars in Trending Markets
Just take a Pin Bar trade that align with the Direction of Market. So the first thing, is to learn how to trade pin bars in trending markets. Any price action setups is going to have a better chance of working out if its appear in direction of market trend.
We don't have to find a reason why markets is trending, but all we care about is that a market is trending and we only jump aboard if Pin Bar price action setups align with the market direction. So always look for pin bars with the trend first, and those are the pin bar setups that I prefer as option number one.
2. Not learning to trade pin bars on the daily charts first
If you can’t trade pin bars successfully on the daily chart time frames, you won’t be able to trade them successfully on any lower time frame either. The daily chart is simply the best time frame to trade.
Generally speaking, the lower in time frame you go, the lesser chance any given price action signal has of working out. This is due to market noise or random price fluctuations that simply mean nothing, and within this market noise there inevitably arises pin bar setups that may look good to the untrained eye, but in reality they are meaningless.
Thus, a pin bar on the daily chart time frame has a much better chance of being meaningful, simply because it’s on the daily chart where there’s less random market fluctuations. The daily chart shows the most pertinent view of a market, including what has happened in it, what is happening and what might happen next.
3. Not trading pin bars with confluence – market context.
A pin bar is a very powerful price action signal, but only if it occurs at the right place on the chart and at the right time. The best pin bar signals typically occur at a confluent level or area on the chart. Essentially, there are many pin bars that you might spot on any given price chart, but they are not all equal, and it’s the type and amount of confluence that makes one pin bar better (or worse) than another.
A good pin bar signal should “make sense” in the context of the current market conditions that are occurring on the daily chart. That goes for a 1 hour or 4 hour pin bar too; if it doesn’t “make sense” with either the trend, key chart levels or both, on the daily chart time frame, it’s probably not a good pin bar to trade.
4. Putting your stop loss too close to entry
Another big mistake traders making with the pin bar reversal strategy, is putting their stop losses too close to their entry. Good trades often take longer to play out than we expect, and with that comes the fact that markets fluctuate across time, often meaninglessly, and so you don’t want to get stopped out of a good pin bar trade prematurely just because your stop loss was too close.
What you want to do, is find the most logical point on the chart that will invalidate your pin bar trade if price moves beyond it. Often, this point or level is further away than most people want it to be or think it should be. The difficult thing about having wider stop losses, is that if you want to manage risk properly, it means you have to reduce your position size down as your stop loss distance grows. This isn’t something you should view as ‘slowing’ your trading progress or as a ‘hindrance’, because in the long-run it will lead to more gains / profits because you will be trading properly and building proper trading habits..
5. You’re not actually trading a pin bar.
Many times traders think they are trading a pin bar setup and it’s actually not even a pin bar. This is a mistake that people make typically from not being properly trained on how to trade pin bars or exactly what makes a good pin bar, and it’s something that’s easy to fix. Through proper pin bar trading education and training you will quickly learn what a high-quality pin bar setup actually looks like, how to identify them and how to trade them properly.
Visit Nial Fuller. website for more information.
In Summary:
Trade only Grade A++ Pin Bar
1. Pin Bar In Direction of Trend Especially Daily PB.
2. Pin Bar With Confluence.
3. Stop Loss Must at the Right Place.
4. Fulfill the Criteria of Pin Bar
Don't
1. Do not trade every Pin Bar that you see on your chart until you get the big picture of the market including risk:reward. Higher time frames always better.
2. Do not trade Counter-Trend Pin Bar.
Chart will remind you on how to place entry, stop loss and calculate R:R for Pin Bar.
Note: I'm prefer 1B Method. Sell stop or Buy Stop. Calculate Position Size. Set and Forget.
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