Parabolic SAR - that's all!

[terrya64]

Originally Posted by dpdawson

When were these trades?

I don't see any moves on the Mar. 17, 1 min, GBP/USD chart that went for 120 or 250 pips, I don't see a 222 pip move on the Mar. 18, 1 min, EUR/USD chart, and I don't see any 120 pip moves on the Mar. 18, 1 min, NZD/USD chart.

Thanks for catching my screw up. I have been posting $ profit/loss instead of pips.

I will post pips in the future. Still new to all this.Sorry

actual pips gained since Mar 17th across all trades 1049.

Got my first 2 losses on the 20th.
eur/chf for (165).
gbp/usd for (155) for $320.00 . These losses were not due to the PSAR, I ignored what it was telling me and tried anyway. I did find promissing indicators on the usd/jpy and eur/gbp a little while later and did end up with a $5674.42, 370pips gain for for the day. Lesson learned.

Started this demo account on March 14th with $50,000 and have brought it up to $84,185 so far. Will spend this weekend continuing to study the babypip lessons. Up to 5th grade so far.

[dpaterso]

Hey folks,

Nice to see some new people here. Welcome.

Sorry: I neglect this thread from time to time (because of the other one).

I'm particularly glad to see that people are using Parabolic SAR successfully and if it 'suits' your 'trading personality' then you cant' go wrong with it over time.

Be warned that it will KILL you in a ranging market though. Just be aware of that. I'm 'sorta hoping' that my 'fractal idea' will alleviate some of the 'pain' though i.e. only get you into a trade once support or resistance has been broken.

So far it's the best I have come up with (for Parabolic SAR anyway).

Using Bill Williams' AO and AC is also a good way to 'confirm' trades I reckon. I suppose you COULD add them AND fractals BUT just don't complicate things too much for yourself because if you start missing what COULD have been some very good trades because ALL THREE of the indicators did not 'concur' then you're going to get impatient and start 'second guessing' and 'jumping in' and that will wipe you out a LOT faster than the odd loss due to a bad trade based on Parabolic SAR!!!

[leonharvard]

Dale, the Fractals thing looks like a great combination for PSAR. However, I need a more comprehensive guide on implementing it.

I've been reading it many times for a few days now, and I'm still confuse. I'm just afraid I'm applying it the wrong way. Care to write?

Thanks Dale

Leon

[dpaterso]

Hey Leon,

Again: sorry I've taken so long to respond i.e. I don't check this thread much anymore.

Anyway: I've attached a chart and detailed on the chart what I'm getting at. I hope it makes sense.

Basically what APPEARS to happen (I do NOT trade this i.e. again just an idea for someone to work on) is that waiting for a close above or below the previous Fractal and only THEN placing an order to go long or short it keeps you out of those 'bad' Parabolic SAR trades and ESPECIALLY when the instrument is stuck in a range which is where Parabolic SAR 'falls down'. Yes you DO miss some profit sometimes and yes you WILL miss some good trades BUT this SHOULD negate your losses as well so everything should be equal at the end of the day.

Hope the chart helps.

Feel free to ask if it does not.

[rtame]

Originally Posted by dpaterso

Hey Leon,

Again: sorry I've taken so long to respond i.e. I don't check this thread much anymore.

Anyway: I've attached a chart and detailed on the chart what I'm getting at. I hope it makes sense.

Basically what APPEARS to happen (I do NOT trade this i.e. again just an idea for someone to work on) is that waiting for a close above or below the previous Fractal and only THEN placing an order to go long or short it keeps you out of those 'bad' Parabolic SAR trades and ESPECIALLY when the instrument is stuck in a range which is where Parabolic SAR 'falls down'. Yes you DO miss some profit sometimes and yes you WILL miss some good trades BUT this SHOULD negate your losses as well so everything should be equal at the end of the day.

Hope the chart helps.

Feel free to ask if it does not.

Hi Dale
Could you please tell me which other forums can I find you
Thanks
Ricardo

[dpaterso]

Hello Ricardo,

It is HERE:

Trading Systems in 'New Concepts In Technical Trading Systems' by J. Welles Wilder

where I can mostly be 'found'!!!

Or you can 'YM' me (Yahoo Messenger i.e. my new 'toy')!!!

[Anton]

A couple of newbie questions...
The trade is entered when the first SAR dot appears on the daily. At about what time does this occur? Also, does the first dot appear simultaneously with the new candle?
Thanks for the feedback.
Anton

[forex_maniac]

Originally Posted by Anton

A couple of newbie questions...
The trade is entered when the first SAR dot appears on the daily. At about what time does this occur? Also, does the first dot appear simultaneously with the new candle?
Thanks for the feedback.
Anton

I would say 12am GMT.

[dpaterso]

Already answered this question because it was asked in several other threads AND I'm only answering it here AGAIN because the above answer is INCORRECT and any new trader following this thread will be ill informed.

A new Parabolic SAR 'dot' is displayed at the open of a new candlestick or bar and if you're trading on the daily charts this new candlestick or bar will appear at 00h00 MIDNIGHT AT YOUR BROKER'S TIME!!!

(This is another GOOD reason everyone to NOT double post just because you don't get an answer to your questios IMMEDIATELY)!!!

[cfabian]

Originally Posted by mule

Well, all I can say is that so far I've been blown away by this system. I'm in the 4th week of testing now. As I stated before, I started off with only $1200 in my account, and am now at $6921. Of course it's early days yet, but I'm quietly optimistic. I'm posting the results on my website on as regular a basis as I can manage.

Dale, very interesting post about adding the Fractal indicator. As soon as I get some time I'll start testing that as well. I'll post the results of both systems on my blog.

Hello mule,
I wonder if you have updated results on this PSAR system? Or what are your insights at this point after 2 months of initial testing?

To Dale and all,
This thread really has very valuable info (thanks for all your time and devotion Dale). After spending several days reading it to catch up, I was wondering what would be the result of using PSAR as an entry point on certain timeframe (say H4), and to avoid late exits, go to timeframe -1 (this case H1) and exit when the PSAR changes direction? I know it will imply to make shorter trades, but probably will add profit probability.

I was also wondering about the results of using this same methodology, but instead of using PSAR, use the Heiken Ashi indicator (go long when initial blue indicator, stop or stop and reverse when turns red)?

Thanks again to all

Best regards,