384# Parabolic Sar with simple moving average
Parabolic Sar Scalping System
Submit by Nick 01/02/2013
This strategy is a trend-scalping strategy, which means it works
best in a trend. The strategy combines two trend indicators, SMA 50 and Parabolic SAR indicator with default setting (step 0.02).This is an simple Scalping System that works only pending the London Session.
Time Frame
1-minute (M1) time frame
Currency pair: major with low spread
Forex Indicators
1. Parabolic SAR indicator with default setting:
a. Step 0.02
b. Maximum 0.2
-
Simple moving average (SMA), period 50, and apply to close.
-
ATR Ratio
Long Entry
Condition:ATR ratio indicator > 1
The price to go above the SMA 50.
Wait for the Parabolic SAR to move above the market price.
Once the market price goes above the Parabolic SAR, the Parabolic
SAR will appear below the market price. This is the signal to enter for long.
Short Entry
Condition: ATR ratio indicator > 1
The price to go below the SMA 50.
Wait for the Parabolic SAR to move above the market price.
Once the market price goes below the Parabolic SAR, the Parabolic
SAR will appear above the market price. This is the signal to enter for
short.
The stop loss is set at 12-15 pips below the entry price.
The profi t target is 7 pips above or below the entry price.
Parabolic Sar with simple moving average
