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Parabolic Zig Zag

Parabolic Zig Zag is a VTL Client Side Indicator. It is another Zig Zag indicator using Parabolic Stop and Reverse Indicator for identification of swing highs and swing lows. The indicator plots the zig zag line and Fibonacci retracement levels for the last two swing points. This is useful in identifying targets and entry levels on retracement trades. The last four swing levels are also marked in the chart. Zig Zag indicator is used in identification of chart patterns and trades based on Fibonacci levels. In the image attached a Double Top pattern is easily identified with the Parabolic Zig Zag. The Fibonacci levels for the last swing can be used as target levels for this trade.
The Zig Zag is useful in identifying complex chart patterns like Harmonic patterns, Wolfe waves etc. The indicator can be customized through the parameters. To change parameter values, open the script in VTL editor. Parameters are located at the top of the script file and well documented. Available options are SAR indicator step value, maximum value and number of bars the indicator must be applied.