How to Use the Parabolic SAR Indicator Effectively in Trading

[00:02] explore the world of trading in a practical and simplified way. I'll share powerful explanations and strategies with you. We'll also have a daily trading session where we'll try out different strategies or indicators to help us achieve the best results. Every week, I

[00:15] create explanations and live streams to explain the methods I use in my trading. So, don't forget to subscribe to the channel below to receive these explanations and live streams so you can participate in trading with us. Also, make sure to join

[00:27] our Telegram channel; the link is below the video. You'll find a trading signal there that will help you trade better and better. So, we've introduced ourselves, so let's get started. In this new video from our indicators series,

[00:40] we'll learn about a new indicator: the Parabolic SAR. It's a very well-known indicator, but if you're not familiar with it, I'll simplify it for you today so you can use it daily. After you enter the The platform, leave the link below the video), has a bonus code above it that gives you 50% off your

[00:56] first deposit. You'll also find codes in our private Telegram group that give you 100% off your first deposit, so I recommend joining the group. After logging into the platform, go directly to the indicators. The indicator we need is the

[01:09] Parabolic SAR, as you can see written here in Arabic. It represents stop-loss and stop-loss orders. It's represented by points, as you can see. We'll leave it at the see. We'll leave it at the default settings of 0.02 for acceleration, with a maximum

[01:22] acceleration of 0.2. Let's increase it a bit so it's visible in the market. It represents points that are either above or below the market price. This indicator shows us the market direction. If the points are above the market price, it's a signal to go down; if they're below the market price, it's a signal to move up.

[01:38] As you can see here, the signal indicates an upward trend. Let me illustrate this directly. When the signals or points are below the market price, we have an upward trend. When they are above the market price, we have a downward trend. In other words, when the market price, we have an upward trend. When they are above the market price, we have a downward trend. In other words, when the

[01:53] definitely a downward trend. This is a simple concept that many people understand, but how can we incorporate it into our trading strategies? How can we use it to extract trading signals or trades? Let me share a simple strategy I

[02:07] developed in my live stream last week. For those who aren't watching to the channel to see them. You'll benefit greatly, even if you don't trade with me directly. You can still benefit from the information I provide in the live stream. Let me reduce the size of

[02:21] the points a bit because they've become quite large. We'll reduce them to a single pixel and save it. the strategy is flexible. On a small timeframe, but the trade duration will be the same, which is a one-minute trade, so we set the timeframe to half a minute. Of course, if you want to trade a five-minute trade, you set it to

[02:38] three minutes. If you want to trade a ten-minute trade, you set the timeframe you want to trade a ten-minute trade, you set the timeframe to five minutes, and so on. So always half the duration you'll enter. If it's a minute, we'll enter on a half-minute timeframe. So, as we're seeing,

[02:51] look at points above the market and points below the market. What matters to us in all of this is the trend reversal points. So, what are trend reversal points? If you want to ask me, let me draw them for you directly. Here, we have a point, and another point, and another point, and another point, and

[03:13] points that will change direction. For example, the points were below the market. The first point was above the market, and it changed the direction because we had an upward trend. Then, when we had a point above... The market has become a downward trend, as we can see, and the opposite is

[03:27] true. Here, we had a downward trend; the points were above the market, which is a signal for a downward trend. After they changed, or rather, the point that immediately changed the direction, we saw the market rise. The same thing happened here; we had a slight immediately changed the direction, we saw the market rise. The same thing happened here; we had a slight rise in

[03:42] the market, as we can see. The points were below the market, then the point that came above the market changed the direction and made it fall. And the same thing happened with this point, or with this point as well; we had a decline. The direction changed because the points were above, then they became below, and we had an

[03:57] immediate rise. So, I don't need to explain all the points for you to understand this. Above the market, then it's a downward trend; below the market, then it's an upward trend. When a new point is

[04:09] above, then it becomes below, so we will definitely see an upward trend. After it was below and becomes above, we will definitely see a downward trend. Since the trade duration is one minute, we will definitely need two candles. So let's look here; we have one or two candles for a downward trend. We entered

[04:22] the trade at this point. If it had won with us, we would have needed two candles for the price to rise. two candles for the price to rise. If we entered at this point, if the trade had won with us immediately, then if we entered at these two candles, if it had won with us immediately, then we would have

[04:38] same thing happens here. If we look, it was above the market, meaning it was below the market, then it went above the market, which is a bearish signal. If we entered at this candle, the candle that won with us immediately, when the points were above the market, then they went below the market, which is a

[04:51] bullish signal. If we entered at this candle, and at the candle, if they went with us immediately, meaning out of 1, 2, 3, 4, and if they went with us immediately, meaning out of 1, 2, 3, 4, and 6, out of six points, meaning only one, we could have lost because it was moving sideways. So, this is the strategy in simple terms. Of course, it's not a

[05:05] complete strategy because it depends on only one indicator, but you are a beginner and want to try it on a demo account or something. So, if you want to enter, then this is the strategy. So let's try it, meaning with quick,

[05:18] strong trades. Let's try it ourselves, meaning trades, and see the results we get. We'll take $100, let's take one minute, and try to find the first trade to enter directly, like we're seeing with the currency. We enter directly, a one-minute drop trade. Why did we enter? Because it

[05:30] happened directly here, meaning the points were below the market and then became above the market, which is an indication of what? An indication of a drop. So we entered at a direct reversal point. The market started to drop. We entered a one-minute trade with $100. Let's wait for its end and see its result.

[05:57] loss for us because the market started to rebound, but thank God it was profitable for us. And our entry idea is very simple. For those who did n't follow the beginning of the explanation, of course, the points were below the market, and then they became above the market, as you can see at the reversal point.

[06:13] We entered directly. A downward trade means we needed two candles. We entered at approximately this point. The market definitely went down and then rebounded, but thankfully, we profited from this trade. It was an but thankfully, we profited from this trade. It was an excellent trade; we made $92. Let's try to

[06:27] directly, as we see in this currency pair. We'll enter directly at the point of reversal. Why? Because the points were below the market and then became above the market, which is a signal for a downward move. Like the previous trade, we entered directly with $100. Let's

[06:42] previous trade, we entered directly with $100. Let's look at its end and see the result. It was an

[06:56] see. Let me explain why we entered at this point. The points were below the market and then became above the market. We entered directly, or approximately, at the point of reversal, which was the candle we entered at. It was the same candle, as you can

[07:10] see. So, we needed two candles. To profit, you need to make a trade, and there's a significant drop, as you can see. This trade is profitable for us, as we can see. But these are quick trades. It's better to use 10-minute trades like this and a 5-minute timeframe.

[07:25] let's find a 5-minute timeframe and enter directly into it. This is better. You need two candles on the 5-minute timeframe, so the trading period should be 10 minutes. Enter within that timeframe and you'll get your results. That was today's video. I hope you liked it. We learned about a

[07:40] our strategy list. I hope you benefited. Don't forget to join our private Telegram group if you want to find strong signals there. There are more than 500 people trading with us right now. If you want to join us and start profiting, I advise you to join using the link below

[07:54] the video. I've included a free Telegram link for everyone. Just join using the link. Everything was below the video. Subscribe to the channel. We'll meet again in the next video, God willing. Bye!