Engulfing & Pin Bar Detector

Overview
The "Engulfing & Pin Bar Detector" script identifies two important candlestick patterns: Engulfing Candles and Pin Bars. These patterns are widely used in technical analysis to signal potential reversals or continuations in the market. The script provides visual signals directly on the chart to help traders make informed decisions.


Features Bullish Engulfing:

The second candle completely engulfs the body and shadows (high and low) of the previous bearish candle.
Signals a potential reversal to the upside.
Marked with a green background and a label below the candle.

Bearish Engulfing:

The second candle completely engulfs the body and shadows (high and low) of the previous bullish candle.
Signals a potential reversal to the downside.
Marked with a red background and a label above the candle.

Bullish Pin Bar:

A candle with a long lower shadow and a small body near the top of the range.
Indicates potential upward price action.
Marked with a blue background and an upward triangle below the candle.

Bearish Pin Bar:

A candle with a long upper shadow and a small body near the bottom of the range.
Indicates potential downward price action.
Marked with an orange background and a downward triangle above the candle.
Customizable Visual Alerts:

Background highlights and shape markers for quick and easy identification of patterns.

How to Use
Add the script to your TradingView chart.

Look for:
Green background: Bullish Engulfing.
Red background: Bearish Engulfing.
Blue background: Bullish Pin Bar.
Orange background: Bearish Pin Bar.
Combine with other indicators or price action techniques for confirmation.
Adjust your entry and exit strategies based on the patterns:
For Bullish Engulfing or Bullish Pin Bar, consider entering long positions or exiting shorts.
For Bearish Engulfing or Bearish Pin Bar, consider entering short positions or exiting longs.

Example Use Cases
Identify potential reversal zones.
Use as confirmation in trend-following or counter-trend strategies.
Enhance your analysis with clear visual signals.