What is stop trailing?
4 replies
Batch
9 years ago #113477
A good strategy I like has a “stop trailing” (last line pasted here), something I don’t understand, as there is already stop and profit trailing, someone or Mark please elucidate. Its a real good strategy, so its behooving me to further understand it.
(For privacy of strategy the condition states are not pasted here)
Thank you!
Truly,
Jerry
PS: Yes I know 0 * ATR is zero, just needs cleanup.
———-
= Entry orders
====================================================================
— Long entry
if LongEntryCondition is true {
if No position is open then Buy at Ichimoku(3, 17, 58, Tenkan-sen) + (0.21 * BBWidthRatio(55, 7.9)) Stop;
Stop/Limit order expires after 60 bars.
Stop Loss = 40 pips;
// Move SL to BE (on close)
Move Stop Loss to Entry price when in profit at least 33 pips;
// Profit trailing (on close)
Profit Trailing by (3.8 * ATR(33)) pips;
// Stop trailing (on close)
Move Stop to (Close(1) + (0) * ATR(31))) on bar close;
}
Matusiak Adrian
9 years ago #129405
Stop trailing?
I’m, sorry if understand You wrong, but stop trailing is equal to “Trailing Stop” in MetaTrader. First at all, You have to get set SL level (it is MUST HAVE when using Trailing Stop (Stop Trailing)) . Then , according to Your strategy on bar close if conditions are met (your position is at profit side) and “Move Stop to (Close(1) + (0) * ATR(31)))” will be between Open Price and Bar Close, then it set SL to desired level.
Here you got plain trailing stop in MT : https://www.google.pl/url?sa=t&rct=j&q=&esrc=s&source=web&cd=4&cad=rja&uact=8&ved=0CFoQtwIwAw&url=http%3A%2F%2Fwww.youtube.com%2Fwatch%3Fv%3DTsvEt7JRwkA&ei=n6gRVZGrKuSiyAOU04KgDg&usg=AFQjCNHZpRRkPkd6iS89G7S5JyQf7BwSxA
Batch
9 years ago #129407
Thanks Adrian. Like that video. 🙂
Since 0 * ATR = 0 in the formula, my updated sl at bar close is close(1), which is close of 1 bar back? Wondering if that is why things get so tight that I often get closes resulting in 0 pips, but it also has been of great value in that those moves not doing as well are bypassed and I’ve got only 10% dd in 9mo past 1min data whilst more than doubling the acct. So I begin to understand why it is doing so well.
geektrader
9 years ago #129414
Money management is always the main-key for profit. Trades that don´t work out should simply be exited at a small or no loss and trades that do well should be kept on running as long as possible by trailing. That´s exactly the kind of SQ generates most of the time, which is the exact right approach compared to scalping small pips with a huge SL.
Batch
9 years ago #129415
Thumbs up 🙂
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