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Re: Parabolic Question



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Glen Wallace writes:
> >From "Computer Analysis of the Futures Market,"
> 
> SAR[t] = SAR[t-1] + (AF * (EP[prior] - SAR[t-1]))
> 
> where:
>    SAR[t] = current SAR
>    SAR[t-1] = prior SAR
>    EP = extreme price
>    AF = acceleration factor, which normally starts at 0.02 and steps up in
>    increments of 0.02 to a maximum of 0.20
> 
> and where the first SAR point is the extreme prior of the prior Parabolic
> trade; thus SAR[1] = EP[prior].

To add a little to this; AF (in the classic definition) steps from
0.02 to 0.20 when a new high (long) or low (short) is made.