How To Trade Parabolic SAR Indicator

[ChartSecret]

The Parabolic SAR is a technical indicator invented by the famous technical analyst, J. Welles Wilder. It was first presented at the popular book, New Concepts in Technical Analysis (1978) and is included in almost all trading platforms. Its main feature is that is takes time into account in calculation – which was a revolutionary concept at that time.

Read more here:
http://forex-indicators.org/2009/10/10/how-to-trade-parabolic-sar-indicator/

 

[Tantalus]

Thanks for the great link. The PSAR is one of those timeless indicators that has been overlooked lately and is due for a resurgence of interest.

Most folks these days seem to view it as a way to filter other signals (which it can do quite effectively) but the original concept was to create primary signals and to be traded in an 'always in the market' stop and reverse fashion.

PSAR, with a little common sense money management can be almost a set it and forget it type of strategy.

 

[anna575]

Hi

Thanks for sharing this useful link. Parabolic SAR Indicator is one of the popular indicator and I am also interested in it. It's a good type of strategy. Well Done....

 

[Ary Barroso]

According to me, only parabolic is not enough here! I get good result by using the parabolic & EMA at a time. I use default sitting of parabolic and 50 parameter of EMA (on H1 time frame).