Inside bars & pin bars

Inside bars & pin bars

(Unless you are trading foreign currencies, this post won’t make much sense. You should just skip this and move one…)

In the past few months I’ve been looking at trading foreign currencies. I’ll save some of the details of the mechanics (why, how etc) for another day.

For myself, one of the most successful entry indicators is an Inside Bar + Pin Bar.

I’m using FXDD, which is based on the Meta Trader platform. One of the benefits is that you can create your own indicators.

So, I created an Inside bar & Pin bar. Here’s the steps:

  1. Download the file Inside Bar.txt. You will need to rename it from .txt to .mq4. Save it in experts\indicators folder. If you have installed FXDD in the default location, this will be C:\Program Files\FXDD – MTXtreme 4\experts\indicators
  2. Click on Tools / MetaQuotes Language Editor
  3. On the Navigator window, expand the Indicator folder and double click ‘Inside Bar.mq4’. If you can’t see the Navigator window, from the menu, select View / Navigator
  4. Click Compile. In the results window (down the bottom) you should see 0 errors, 0 warnings. If not, then it is likely something you have changed.
  5. Click Tools / Trading Terminal, to switch back to your chart
  6. Select the chart you want to see the indicator on. Click Insert / Indicators / Custom / Inside Bar
  7. Repeat steps above with PinBar.txt

You can see in the examples above, an inside bar has a tick above the bar and the pin bar is a ^ below.