The PSAR rapid foreign exchange scalper system utilizes the PSAR indicator for short-term trend movement and the sidus v.2 trend indicator for exchange confirmation.
1. Parabolic SAR (step: o.02, Maximum: 0.2) and the sidus v.2 are the only two indicators utilized in this trading strategy.
2. The recommended time frame is five minutes and above for this trading technique.
3. Applicable on Euro and US trading sessions.
4. Works perfect on currency pairs that include EUR/USD, GBP/USD, USD/JPY, NZD/USD, AUD/USD, USD/CAD, USD/CHF, GBP/JPY and EUR/JPY.
The GBP/USD Five Minute Instance Chart
As displayed in the chart below, the sidus v.2 trend indicator delivered three signals (2 auctions, 1 purchase). PSAR filtered out the first auction signal (PSAR dots beneath the 1st auction signal). The two other confirmed exchanging signals could be ended for a fast ten to fifteen pips gain.
1. PSAR dots beneath the price (short-term uptrend).
2. Sidus v.2 delivered purchase signal (up arrow).
This is your purchase entry.
For the stop-loss, position a low risk stop beneath the most current support or just beneath the PSAR dots.
Purchase exit strategy 1: End the exchange for ten to fifteen pips.
Purchase exit strategy 2: End the exchange at risk to reward ratio of one is equivalent to one. Or better (preferably at 1:1.5).
Purchase exit strategy 3: Track your stop up one pip beneath the increasing PSAR dots.
1. PSAR dots higher up the price (short-term down trend).
2. Sidus v.2 delivered auction signal (down arrow).
This is your auction entry.
For stop-loss, position a low risk stop higher up the most current resistance or just higher up the PSAR dots.
Auction exit strategy 1: End the exchange for ten to fifteen pips.
Auction exit strategy 2: End the exchange at risk to reward ratio of one is equivalent to one or better (preferably at 1:1.5).
Auction exit strategy 3: track your stop down one pip higher up the decreasing PSAR dots.
Utilize this strategy at your own risk. WindsorForex.com cannot be responsible for any losses associated with utilizing any strategy presented on the site. It’s not recommended to utilize this strategy on the real account without testing it on demo first.