[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]

Re: [EquisMetaStock Group] Parabolic SAR formula



PureBytes Links

Trading Reference Links




Jay,
 
thnak you for your response but iwas more looking 
for the code to plug in metastock. I have this formula 
FORMULA 
SAR[tomorrow]=SAR[today] + AF * (EP[trade]-SAR[today] 

DEFINITIONS 
SIP=the extreme price point while in the previous 
tradeAF=begins at .02 and is increased (depending on the rules below) by .02 
perday until .20AF is never increased beyond .20EP[trade]=Extreme 
Price Point for the trade made so far
but this formual is uelless unles  i know is how to calculate the 
SAR(today) to be able to tweak things. i can't remember the formula that's why i 
was asking for the code. 
 
Thanks, 
ugur
<BLOCKQUOTE 
>
  ----- Original Message ----- 
  <DIV 
  >From: 
  <A title=JayTownsend@xxxxxxx 
  href="">JayTownsend@xxxxxxx 
  To: <A 
  title=equismetastock@xxxxxxxxxxxxxxx 
  href="">equismetastock@xxxxxxxxxxxxxxx 
  
  Sent: Monday, May 26, 2003 3:46 PM
  Subject: Re: [EquisMetaStock Group] 
  Parabolic SAR formula
  <FONT lang=0 face=Arial size=2 
  FAMILY="SANSSERIF">Hi:Here's a site that has an explanation of the 
  Parabolic SAR which is much the same as the one in Wilder's book.<A 
  href="">http://www.incrediblecharts.com/technical/parabolic_sar_construction.htmTheir 
  explanation is below.I never tried to program it in MetaStock because 
  I've assumed that MetaStock has it correct, and it sure looked that way when I 
  was playing with it.  It is like so many other formulas that are always 
  in the market, it works great in trending markets but you pay a high price in 
  choppy markets.JayThe "formula"<FONT lang=0 
   face=Arial color=#000000 size=6 
  FAMILY="SANSSERIF">
  Parabolic SAR
  <FONT lang=0  face=Arial 
  color=#000000 size=5 
  FAMILY="SANSSERIF">Construction<FONT lang=0 
   face=Arial color=#000000 size=2 
  FAMILY="SANSSERIF">There are a few basic concepts that need to be 
  addressed before we can explain how Parabolic SAR is 
  calculated:Extreme PointThis is the highest price recorded (to date) 
  during a long trade or the lowest price recorded (to date) during a short 
  trade.Significant PointThe SP is the highest price reached in a long 
  trade or the lowest price reached in a short trade. It is equal to the extreme 
  point when a trade is closed.Acceleration FactorThe Acceleration 
  Factor starts at 2% for a new trade and increases by 2% on each day that a new 
  extreme point is reached. The maximum acceleration factor is 20%. No further 
  increases are made after this figure has been reached..SAR 
  CalculationOn day 1 of a new trade (the day that the trade is 
  entered), the Parabolic SAR is taken as the significant point from the 
  previous trade.If the trade is Long the SP will be the extreme Low reached 
  in the previous trade.If the trade is Short then the SP will be the 
  extreme High reached in the previous trade.To calculate Parabolic SAR 
  for the following day: Take the difference between the extreme point and 
  the SAR (on day 1) and multiply by the acceleration factor. If the trade 
  is Long, add the result to the SAR on day 1. If the trade is Short, 
  subtract the result from the SAR on day 1.There is one 
  exception:Parabolic SAR is never moved within the range of the current or 
  previous day (highest High to lowest Low over the 2 days).If this occurs 
  in a long trade, use the lowest Low over the 2 days as SAR for the following 
  day.If short, use the highest High over the 2 days as SAR for the 
  following day.Repeat the Parabolic SAR calculation for each subsequent 
  day, adjusting the Acceleration Factor whenever a new extreme point is 
  recorded.The trade is reversed when price equals the Parabolic SAR for 
  the day.  
  To 
  unsubscribe from this group, send an email 
  to:equismetastock-unsubscribe@xxxxxxxxxxxxxxxYour 
  use of Yahoo! Groups is subject to the <A 
  href="">Yahoo! Terms of Service. 







Yahoo! Groups Sponsor












To unsubscribe from this group, send an email to:
equismetastock-unsubscribe@xxxxxxxxxxxxxxx





Your use of Yahoo! Groups is subject to the Yahoo! Terms of Service.