I'm really trying to focus on trading pure price action and candlestick
analysis to advance my trading and one of the setups I really am trying
to expand on is the pin bar setups.
Many of you know what these are... heres an example of a few...
Many of you know what these are... heres an example of a few...
My question is do any of you have set rules on what qualifies a pin bar as an actual pin bar?
I would like to code up a rule set in easylanguage so for backtesting I could at least see at a glance potential entries. Obviously this would just be a rough approximation but it would make things much easier.
But to do that I need to understand what really makes a pinbar and pinbar. They are obviously not the same as a hammer candle so for long setups High <> Close and vise versa...
Is there any kind of "the wick should be greater than 50% of the candle" kind of rules or anything like that?
Any concrete rules that I could code would be appreciated. I'd be happy to supply the completed .eld and .pla when finished.
I would like to code up a rule set in easylanguage so for backtesting I could at least see at a glance potential entries. Obviously this would just be a rough approximation but it would make things much easier.
But to do that I need to understand what really makes a pinbar and pinbar. They are obviously not the same as a hammer candle so for long setups High <> Close and vise versa...
Is there any kind of "the wick should be greater than 50% of the candle" kind of rules or anything like that?
Any concrete rules that I could code would be appreciated. I'd be happy to supply the completed .eld and .pla when finished.
Reply : Well worth a read, recommended. He was partly inspired by James16 over
at FF. Some people have quite strict criteria on the 'eyes' others more
lax. I think Pring coined the phrase.
From Martin Pring on Price Patterns by Martin J. Pring,
“Pinocchio bars are bars in which the bulk of the trading takes place outside the previous and subsequent trading range.”
“The character Pinocchio tells us when he is lying because his nose gets longer. In the case of the Pinocchio bar, it is the trading beyond the resistance or support level in question that indicates that the signal is false.”
From Martin Pring on Price Patterns by Martin J. Pring,
“Pinocchio bars are bars in which the bulk of the trading takes place outside the previous and subsequent trading range.”
“The character Pinocchio tells us when he is lying because his nose gets longer. In the case of the Pinocchio bar, it is the trading beyond the resistance or support level in question that indicates that the signal is false.”
