Pin Bar Setups
Overview
Pin bars are single-candle reversal patterns with a long tail (shadow) on one side and a small body on the opposite side. The tail shows a sharp rejection of a price level. Pin bars are the most widely used price action signal among naked chart traders and work on all markets and timeframes.
Key Concepts
Long tail representing rejection (>66% of the total range), Small body near the opposite end, Tail should 'stick out' from surrounding price action, Bullish pin bars have long lower tails; bearish have long upper tails
Entry Signals
Pin bar with tail poking through and rejecting a key level, Pin bar at a moving average bounce, Pin bar coinciding with Fibonacci retracement, Pin bar at a round number or weekly high/low
Exit Signals
Enter on break of pin bar's nose (opposite end from the tail), Stop beyond the tail tip (or 50% of the tail for aggressive entry), Target 2× the pin bar's range minimum
Best Timeframes
Effective on all timeframes from 15M to Weekly
Pro Tips
The best pin bars 'stick out' from the surrounding candles — the tail protrudes beyond recent price action, showing a genuine failed test of a level.
More Topics in This Category
Three-Line Strike Patterns
The three-line strike is a four-candle pattern where three consecutive candles move in one direction, followed by a single large candle that engulfs all three. Despite appearing as a reversal, statistical analysis shows the bullish three-line strike actually has a high probability of continuing the prior uptrend, making it a continuation signal. The bearish variant behaves similarly as a continuation of the downtrend.
Inside Bars
An inside bar is a candle completely contained within the range (high to low) of the previous candle. It represents a contraction of volatility and indecision. Inside bars are used as breakout setups — traders wait for price to break above or below the inside bar's range (or the 'mother bar' range) to enter.
Bullish & Bearish Kickers
The kicker pattern is one of the most powerful two-candle reversal signals in candlestick analysis. It forms when the second candle opens at or beyond the open of the prior candle and moves aggressively in the opposite direction, effectively 'kicking' away from the previous sentiment. Kickers often occur after overnight news events or fundamental catalysts that cause an abrupt sentiment shift.
Abandoned Baby Pattern
The abandoned baby is a rare three-candle reversal pattern considered one of the most reliable candlestick signals. It forms when a doji gaps away from the preceding candle and the following candle gaps in the opposite direction, leaving the doji isolated with gaps on both sides. The pattern indicates a dramatic shift in market sentiment where momentum completely reverses between sessions.