What is Sonic R? How to use Sonic R system most effectively

Sonic R is a famous discovery by traders from Singapore. Learn about Sonic R indicators and how to deal with special EMA indicators here.

Sonic R is a famous discovery by traders from Singapore. This is a famous trader with topics that attract great interest from the community. The following we learn about the Sonic R indicator through the content:  

• What is Sonic R?
• Install Sonic R on Tradingview
• Structure of Sonic R indicator
• 03 applications of Sonic R indicator
• Sonic R system rules
• How to use Sonic R effectively in trading
• 06 note when using Sonic R

What is Sonic R?

Sonic R is a long-used indicator in the world, but in Vietnam it has only been popular for a few years. This EMA set still has the properties of every EMA:

• Trends: Prices are on Sonic R for uptrend, below Sonic R for downtrend.
• Prices that go too far tend to converge with EMA.
• Dynamic resistance support: dumping through EMA has a return to test behavior.

Sonic R is the indicator as a resistance that supports mobile resistance with a combination of EMA road make up. Including EMA 34, 89 and 200. So why are EMA 34 and 89? According to the theory Elliott wave then each big wave will have 34 master waves and 89 calibrated waves. The EMA lines act as support and psychological resistance. The bigger the EMA, the greater the drag.

Install Sonic R on Tradingview 

To install the Sonic R indicator on any platform, the first thing you need to do is create an account, log in and enter the chart! The Binance exchange does not yet support this indicator so it will guide the installation of Sonic R on Tradingview.

As you stated above, you need to know about TradingView Then register the account and go to the chart.

Once in the chart, follow these 3 steps:

• Click the Fx icon in the top bar.
• In the search frame, fill in the word “Sonic“.
• After producing the result, click on the first line “Sonic R“.

So you have the indicator installed Sonic R. When this frame is turned off the indicator will appear below the price.

⇒ One thing we need to note is that the default parameters have been carefully researched and used by the majority of traders. If you want to redeem another parameter, you should take more time to test your strategy before starting to use it for real trading!

Structure of Sonic R indicator

Basically the Sonic R indicator is made up of 4 main lines: 3 EMA 34 lines (Close, High and Low prices) and EMA89.

• EMA strip: includes EMA34 line (Close, High and Low prices) represented by blue strip with a central line and 2 side lines.
• The EMA89 line is represented by the orange line – this is the most important line of this indicator.
• The EMA200 line is represented by the pink line.
• The EMA 610 line is represented by a black line.

These lines are all calculated using the formula:

EMA [current] = (price [current] x K) + (EMA [front bar] x (1 – K))

03 applications of Sonic R indicator

Identify trends

• The arrangement of EMA lines in uptrend.

When the EMA 34 strip (blue) is on EMA 89 (orange) and the two lines are on EMA 200 (pink) along with the price line above the EMA lines showing the uptrend => Priority BUY command.

• The arrangement of EMA lines in the downtrend.

When the EMA 34 strip (green) is below the EMA 89 line (orange) and the two lines are below the EMA 200 line (pink) along with the price line below the EMA lines showing the uptrend => Priority SELL command.

Reverse point

When prices are far from the indicator there will be a tendency to return to converging on EMA. In an uptrend when prices return to EMA lines but there is no sign of ending the uptrend. Usually prices will return to create new peaks higher than the old ones, similar in the downtrend.

Support and dynamic resistance

The EMA lines of the Sonic R indicator are also considered as resistance support mobile because it always follows the price and is often used as important resistance support areas.

Sonic R system rules

The Sonic R system is a method of trading price action between resistance regions and mobile support that is true for every time frame. However usually traders on small time frames like M15. 

Sonic R will use the price action of the wave (Wave) at the support resistance area to find the command entry point, EMA34 strip (dragon) and EMA89 line (trend).

• Wave is the wave price, the L – H – HL wave starts at the bottom of the ema strip then switches to LL for the sale order and passes through HH for the purchase order.
• Support resistance regions in the past were used to select target and stoploss.
• The EMA34 range is used to select command entry points (in cases where the market tends to be strong)
• EMA89 is used to confirm the correct trading direction. However in some cases EMA89 is used to select command entry points more accurately than the EMA34 range.

How to use Sonic R effectively in trading

Reverse trading (Trend trading)

Deal with EMA 34 strip – Use when the market tends to be strong (can be combined with some indicators that identify strong trends that are weak like ADX or BB).

• In an uptrend, prices will be on the EMA strip => Buy when prices return to the EMA range.
• In a downtrend, prices will be below the EMA => Sell range when prices rise to the EMA range.

Deal with EMA89 or EMA200 lines – use when new market trends or margins fluctuate small.

• In an uptrend, prices will be on EMA89/EMA200 => Buy when prices return to EMA89/EMA200.
• In a downtrend, prices will be below the EMA => Sell range when prices rise to EMA89/EMA200.

Use multiple time frames

This is the method Use multiple time frames to trade, identify larger frame trends, and find command entry points in small frames.

For example: You trade on the H4 time frame, then you need to go to frame D to determine the trend. Similarly if trading H1 framework then entering H4 determines the trend.

06 note when using Sonic R

Basically Sonic R is an indicator that combines multiple EMA lines so there will be characteristics similar to EMA. Also you need to note the following 5:

• Sonic R fits the Scalping shot at short time frames like M15, H1.
• You should go to a large time frame like H4, D to identify the main trend then into smaller time frames to find points to the command.
• You should combine some more candles like battery bar, pairs of reversing candles, covering candles, … to find points to the command.
• When prices when crossing ema lines will tend to turn to converge, it is appropriate to enter the command with anise. However, you should be cautious when reversing the main trend to set a combination stoploss.
• The ema lines are considered as important support resistance areas. Therefore, if this line coincides with the previous key level, the more likely the probability of a successful command is.
• As with other averages, the Sonic R indicator is not suitable for use when the market is Sideways.

End

Just now I have introduced you to all the knowledge of the Sonic R Indicator and how to use Sonic R effectively as well as the method of dealing with this indicator.

This learning series is for you who have just started learning about the Sonic R indicator as well as technical analysis that can be easily read and memorized.