Strategies7 min read
Price Action Reversal Strategy: Pin Bars and Engulfing
A pure price action strategy using pin bars and engulfing candles at key levels. No indicators needed. Engulfing bars, pin bars and location — the reversal.
Pin Bar at Key Level
Identify key support on daily. Wait for hammer to form. Enter long next candle. Stop below pin bar wick.
Engulfing at Key Level
Price at resistance. Bearish engulfing forms. Enter short next candle. Stop above engulfing candle high.
Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70-80% of retail investor accounts lose money when trading CFDs. Backtesting does not guarantee future results. Always consider whether you can afford the potential loss of your capital.