Parabolic SAR BTCUSD Trading Analysis & Parabolic SAR Bitcoin Trade Signals

Developed by J. Welles Wilder.

The Parabolic SAR is used to set trailing bitcoin trading price stops. This btcusd indicator is usually referred to as the 'SAR' (stop-and-reversal) and it is used to follow bitcoin price action closely.

• In an Uptrend, the stop and reversal will trail below the btcusd trading market bitcoin trading price
• In a downward bitcoin trend, the stop and reversal will trail above the btcusd trading market bitcoin trading price

BTCUSD Analysis & Generating Trading Signals

This btcusd technical indicator provides excellent exit points.

Exit BTCUSD Trading Signal for Buy trades

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

If you are trading long i.e. The bitcoin trading price is above the stop and reversal, the SAR will move up every day, regardless of the direction that bitcoin price action is moving. Movement of the indicator depends on the number of pips that bitcoin trading prices move. When the SAR changes the direction then the btcusd trading market bitcoin trend also changes to down. This generates the exit signal for long trades.

Exit Bitcoin Trading Signal for Sell trades

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

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

Exit Signal for Buy and Sell trades