Daily EURSGD Chart
Check it out the Euros are having a duel… say what?
Duelling pin bars…
If you check out a few of your EURO pairs this week you will see a pin bar forming one way, and then the very next session another pin bar!
Why Does This happen?
Do you have a brother or sister?
You know when your mum gives you a toy or something you really both want? You both grab it and one of you pulls it one way to try and get it off them, and then the other is pulling it the other way and neither will let go.
Pretty similar to duelling pin bars. The price action order flow is uncertain and that is why they are nearly always small and unconvincing and often in markets where price is ranging or stuck in box type situations.
Price is not yet sure what way it wants to go. The buyers make a play to go one way, then the bears try and go the other.
Duelling Pin Bars Example:
How do You Play Duelling Pins?
As just mentioned above; both of the kids are fighting over the one toy, and unless there is one super strong kid, they normally end up crying with a broken toy (this is why we look for setups that have a super obvious edge in our favour – one super strong kid!)
With one small rejection candle pointing one way – and another in the other direction … AND the market is super confused, we must remember the golden rule of price action trading; The Price Action Story is KING – not the trigger.
We use the trigger to confirm that the story is high probability and it all lines up.
The pin bar will only ever be as good as whatever price action has come before it and because these duelling pins are normally in tight box and ranging confused market type situations it can make them 50/50 toss up / flip of a coin situations.
Daily EURSGD Chart
USDCAD Daily Chart
Price on the USDCAD is stuck in a tight ranging box scenario.
After moving lower to the major daily support where traders were presented with opportunities to hunt long trades it is now rotating higher into the high of the resistance to present traders with potential bearish short opportunities.
Traders can watch this charts price action over the following sessions to watch for A+ trades at this major daily level like we discuss in the Using Daily Levels on Any Time Frame Video to hunt high probability trades on this same daily level on smaller time frames.
Daily USDCAD Chart
Any questions or comments just post below!
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