Courses / Candlestick Patterns Masterclass

The Pin Bar

A pin bar is a candle with a long tail that rejects a level. It is a cornerstone of price action.

A pin bar has a small body at one end and a long tail at least twice the body size, pointing toward the rejected price. A bullish pin bar has a long lower tail, a bearish one has a long upper tail.

Strong pin bars stick out from neighbouring candles, appear at support, resistance or a trend pullback, and close back inside the prior range.

Entry can be on a break of the pin bar high (for longs) with the stop under the tail. Aim for at least 2R.

Key takeaways

• Long tail rejects a price level
• Best at key levels or pullbacks in a trend
• Stop beyond the tail, target at least 2R

Quiz

• A pin bar tail points to: Answer: Where price was rejected. The tail shows the rejection.
• Which pin bar is stronger? Answer: One at a key level in a trend pullback. Context is key.
• Where is the stop for a bullish pin bar? Answer: Below the tail low. If the tail low breaks, the setup failed.

Educational content, not financial advice.