Forex encyclopedia

You surf the net daily and still meet ads saying that you "can invest $100 in the FOREX market, but you can trade tens of thousands". At some point, you are going to enter too. This is the time! You're on the subway and you drink coffee thinking that you can risk $100 and it is not so much. On the way home you start to think, "I will trade with 100 thousand and will make fantastic profits". In your imagination, you already have a beach house and a sports car bought after you use money machine called FOREX.

Parabolic SAR is the technical indicator developed by Welles Wilder for analyzing trend movements. The first time it was announced in a famous book “ New Concepts in Technical Trading Systems” published in 1976. SAR stands for as “stop and reverse”. Parabolic SAR is one of a few indicators that signalize about closing of positions. In many respects Parabolic is similar to a moving average with the only difference that SAR can change position against price. Under ascending tendency, the indicator is drawn under prices (candles, bars), under descending tendency it is put above prices. When price crosses Parabolic line, reversal of the indicator takes place.