Number of messages : 67 Points : 3412 Date of Entry : 2015-05-08 Year : 44
The parabolic S A R auto trader uses two Parabolic Stop and Reverse indicators with different parameters for opening and closing trades. The first PSAR is used for opening positions and a faster PSAR is used for closing positions. This will book the profit quickly before the longer trend reverses. When the price closes above both PSARs, a buy position is opened. And when the price closes below the second PSAR, the position is closed. Opposite conditions are used for opening Sell Position. The PSAR auto trader applies a stop loss based on ATR, and a trailing stoploss.