Trailing Stop Loss Order MetaTrader 4 Indicator

Developed by J. Welles Wilder & is used to set trailing stock price stops. This Trailing Stop Loss Order Indicator was originally developed to analyze trending Trading Markets. It is drawn as a stock chart overlay indicator, that is on the stock price chart itself.

This is a very accurate stock indicator for providing exit points and thus it is used to set trailing stops and is usually referred to as "SAR" (stop-and-reversal) - Trailing Stop Loss Order MetaTrader 4 Technical Indicator.

This Trailing Stop Loss Order MetaTrader 4 Indicator is drawn above or below the stock price - it's plotted as a series of dots. The length of movement of the SAR will be determined by scale of the stock price movement.

In an upwards trend the parabolic SAR will be below the price. As long as the up trend continues then the SAR will continue being below the stock price - Trailing Stop Loss Order Indicator. When price move down and the parabolic SAR goes above stock price then the trend reverses to bearish.

This trailing stop loss technical indicator uses a parabolic calculation to plot the sequence of dots, This means that if the stock price stops moving up with the same acceleration, the parabolic will continue with the same acceleration thus at some point the stock price will hit the indicator if it slows down too much.

Explanation

This Trailing Stop Loss Order MetaTrader 4 Indicator provides excellent exit points. You should close long positions when the stock price falls below the SAR and close short positions when the stock price rises above it.

If you are long, Parabolic SAR - Trailing Stop Loss Order MetaTrader 4 Indicator will move up every day, regardless of the direction the stock price is moving. The amount this stock indicator moves up depends on amount that stock prices move.

The same technical analysis will also apply to a downward trend, parabolic SAR - Trailing Stop Loss Order MetaTrader 4 Indicator will be above the stock price and it should remain above the stock price until the bearish down trend reverses.

The stock chart below shows an example of Parabolic SAR in an up trend market, You can see how it trailed below stock price (Bullish Trading Market) until when it was hit & trend reversed.