What is Parabolic SAR ?
Parabolic SAR is known as a point when price stops its trend and begins to reverse. This indicator is an indicator that combines time and price to show the sign of increase and decrease of trend in the future. You can see this indicator in the form of pink dots in Olymp Trade screen when you use it.
How to set up Parabolic SAR in Olymp Trade
Firstly, change the bar chart to Japanese candlestick chart.
Secondly, choose Indicator tab and click Parabolic.
Finally, adjust the index of Parabolic indicator. You can change the form of chart and color of Parabolic SAR.
How to use Parabolic SAR in Olymp Trade
– When the pink dots appear above the candles, the next trend will be downward. You can buy an DOWN in long time. Set your forecast time 15 minutes or more.
– On the other hand, when the pink dots appear below the candles, the next trend will be upward. You can buy an UP in long time.
If you trade with 30 minute time frame, you should use 5 minute chart Japanese candlestick and set the value of Parabolic SAR as 0.03.
What you should pay attention when using Parabolic SAR
You can forecast the future trend by observing the pink dots in the chart, knowing where is the top and bottom of the price and decide to buy Fixed Time Trade in time. You should focus on the first pink dots that indicates the reversal of the trend.
If there is a pink dot below a green candle, this is the first sign of reversal of the trend which is from downward to upward. Focus on this dot, if there is a second dot appearing with a green candle, you can buy the UP in Olymp Trade.
On the contrary, if there is a pink dot above a red candle, this is the first sign of reversal of the trend. Focus on this dot, if there is a second dot appearing above the next red candle, you can buy the DOWN in Olymp Trade.
You should try to trade in Demo mode with this method so that you can find your own strategy that give you high probability to win. Take your first try by register Olymp Trade account here.
Join the Olymp Trade Club Signal Group: https://t.me/olymptradeclub19