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ATR stops for FX pairs and Metals

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Threshold

Customer, bbp_participant, community, 723 replies.

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9 years ago #112338

I have a system that runs on EURUSD and XAGUSD but it seems like the ATR stop loss is very tight on XAGUSD.

Does MT4 or the EA make the distinction? Do they properly adjust the ATR for the correct decimals?
Normal forex pair: 1.23456
XAGUSD: 12.345

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Mark Fric

Administrator, sq-ultimate, 2 replies.

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9 years ago #125348

Hello,

 

that’s strange, ATR-based SL shouldn’t be dependent on decimals, it is computed from ATR.

 

But it is possible that true range for XAGUSD is very different from the one on EURUSD.

If silver is trading with much smaller volatility maybe the ATR will be much smaller than EURUSD too.

 

But I could have a look if you’ll send me the system (via private support or email)

Mark
StrategyQuant architect

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Threshold

Customer, bbp_participant, community, 723 replies.

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9 years ago #125366

I think it was my misconception that the stop should be wider, but the market actually was in a low volatility environment.
Its good to know that decimals does not matter for ATR.
Thx Mark. Just wanted to be sure.

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