So far I have only played the AI. I don’t feel confident enough to use my Kim Wu in the wild, but I just cannot get her parry to work in the neutral. Any tips? Just avoid using it all together?
I find it works best with wakeup attacks, jump-in attacks, reactable shadow moves, multiple blocked light attacks, and projectiles.
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What Geek said. You can parry attacks too, but it’s a bit riskier.
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It’s tough, I’m still trying to find a good place for it in defense and I keep getting stuffed even if I know the opponent will mash.
I need more work with it.
Try using it in places where you would normally block. 
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Do not avoid using it, but do use it sparingly. It’s a big whiff that can make you eat a combo for missing, but messing with your opponent’s head with a parry is almost just as good.
Working the parry in the neutral, for me, requires a good read. Unless i develop one quickly, i might not use one until late in the match after i figure out what move my opponent likes to use, from what distance they like to throw it out and if i can react or have to predict it. Or in one of the situations like Geek mentioned. I won’t BS you, it’s difficult. The easiest way might be with jump-ins. Block the first attack and go for the parry off the (usually) follow up one.
EDIT - Just remembered, something i like to try seeing is if they mash buttons. You can usually tell if they hit you with a combo and maybe use the same strength throughout. What i’ve done is if i can hit an opponent in the air with jumping heavy kick, they drop immediately. If they quick rise from that, i assume they’re mashing buttons and might get a little more lenient about throwing out a parry.
Aside from that, you’re guessing and hoping luck is on your side.
Here’s a few matchup specific ones as well…
Anyone with a kinda slide move like Orchid, Omen or Shadow Jago that dares to try it full screen/three-quarters screen is a opportunity if you’re fast enough…
Against naturally aggressive characters like a Riptor, TJ Combo or Eyedol, it can be useful sometimes to throw a parry out after blocking something that would usually make it your turn.
Anybody with a floaty jump like Kim-Wu, Thunder and Aganos, if you realize what attack they’re using and adjust your timing, that’s easy money.
Hisako’s three hit move (cannot think of the name…) that can hit mid or low has enough time that after blocking a hit, you can parry the next. So long as they hit a button.
Any of Glacius’ jumping lance attacks can and should be opportunities.
TJ Combo’s Tremor can be parried, but the timing is kinda tricky.
Rash’s tongue can be parried but if he’s more than 2/3 screen away, it’s not worth it. You can hit the parry, get a dragon, but Rash doesn’t get knocked down from it. You’ll be stuck in the animation. I’ve tried cancelling out, but i don’t think you’re even at an advantage.
Good luck!
I guess it’s different with people. I feel confident enough where I use it a good amount to stop players.
I’m curious about something. Here’s a question for you @TheNinjaOstrich, @GalacticGeek about how often do you feel you hit your parries lifetime using Kim-Wu?
During a match? It depends on the opponent. But I’m trying to use them more in neutral, due to her Parry Dragon Cancel buff.
@SneerfulWater57, I’ll do things like this A LOT:
But like I said, it depends on the person.
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Thats why Ostrich is one of the Best!
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I appreciate it! Trying to learn new things every day 
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Ha! That is kind of mean, but wonderful. Point taken.
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