Pin Bar Forex Scalpers Strategy

Pin bars occurring at strong support and resistance levels generally produce reliable reversal trading signals for currency traders. Here's my step by step version of how i use them to trade market reversals. The pin bar forex scalpers strategy can be applied on higher timeframe's as well.

Forex Chart Setup: 
• Preferred currency pairs: All 
• Trading Indicators: Support/Resistance (Indicator inputs: set precision to 1)
• Preferred Sessions: Euro and Us Session
• Timeframe: 5 Min

Pin bars Defined 
The picture below shows a bearish and a bullish pin bar. A bearish pin bar is composed of a long upper wick, small body and small lower wick. Sellers control the market price at the bar's close. In this case, we are looking to sell the currency pair in the vicinity of a significant resistance level with a stop loss set above the high price of the pin bar. 

A bullish pin bar is composed of a long lower wick, small body and small upper wick. Buyers now control the market price at the bar's close. In this case, we are looking to buy the currency pair in the vicinity of a significant support level with a stop loss set below the low price of the pin bar.

Pin bar Forex Scalper Euro/Dollar Example

Forex pin bar strategy explained:

SELL TRADE (see example above)
• Wait for the currency price to trade at or near important resistance levels.
• Open short trade if a bearish pin bar appears on the chart.
• Put a stop loss 1 pip beyond the high of the pin bar.
• Take profit target T1= 25 pips / Take profit target T2= 40 pips.
  TIP: You could close half of your trading position at T1 and keep the remaining half to target T2.

BUY TRADE
• Wait for the currency price to trade at or near important support levels.
• Open long trade if a bullish pin bar appears on the chart.
• Put a stop loss 1 pip beyond the low of the pin bar.
• Take profit target T1= 25 pips / Take profit target T2= 40 pips.
  TIP: You could close half of your trading position at T1 and keep the remaining half to target T2.