What is Parabolic SAR Indicator Buy Signal and Sell Signal?

Parabolic SAR Indicator Buy Signal

How Do I Generate Buy Signal Using Parabolic SAR

Steps on how to generate buy signals using Parabolic SAR indicator:

This Parabolic SAR indicator buy signal guide explains how to generate buy signals using the Parabolic SAR indicator as illustrated below:

How to Generate Buy Signals Using Parabolic SAR

Parabolic SAR Indicator Sell Signal

How Do I Generate Sell Signal Using Parabolic SAR

Steps on how to generate sell signals using Parabolic SAR:

This Parabolic SAR indicator sell signal guide explains how to generate sell signals using the Parabolic SAR indicator as shown below:

How to Generate Sell Signals Using Parabolic SAR

This indicator provides excellent exit points.

Exit Trade Signal for Buy trade transactions

Traders should close long positions when price falls below the indicator.

If you are trading long i.e. The price is above the stop & reversal, the SAR will move up each day, regardless of direction that price action is moving. The movement of the indicator depends on the number of pips that the prices move. When the SAR changes the direction then the market trend also changes into downward. This generates the exit signal for long trade transactions.

Exit Trade Signal for Sell trade transactions

Traders should close short positions when the price rises above the indicator.

If you're trading short i.e. The price is below the stop and reversal, the SAR will move down every day, regardless of direction that price action is moving. The movement of the indicator depends on the number of pips that the prices move. When the SAR changes the direction then the market trend also changes into upward. This generates the exit signal for short trades.

Exit Signal for Buy & Sell trades - What is Parabolic SAR Indicator Buy & Sell Signal?