"Pin Bar and Engulf Confirmation Strategy" is the name given to the bullish engulf or bearish engulf candle formation formed after the pin bar. As you know, pin bars give a strong direction signal, but they are not enough on their own. After the pin bar is seen, we need a voluminous confirmation candle in the direction of this pin bar's willing move.
Sometimes the candlestick after the pin bar is not a confirmation candle. On the contrary, there is a candle close in the opposite direction of the direction that this previous pin bar is willing (momentum). If the other candle after this reverse closing, swallows this opposite candle as the body and closes an engulf candle in the direction of the momentum of the pin bar, then the momentum direction of the two previous pin bars will be confirmed.
Here, for the two bars after the pin bar, if there is an engulf candle formation in these last two bars and it is in the direction of the previous pin bar, we call it a pin bar and engulf confirmation candle formation. What happens here is that the confirmation bar in the direction that the pin bar is willing will be delayed by 1 bar, but with the engulf candle formation, this direction will have completed its confirmation.
If the pin bar is willing in the "long" direction, a bullish engulf candle formation is formed on the next two bars. If the pin bar is willing in the "short" direction, a bearish engulf candle formation is formed on the next two bars.
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