breakout strategies – One order cancels the other

Hi,

I’m having a dumb moment, how do I setup SQ3 so that is places stop/limit orders, one above a price, the other below, when one of the orders is triggered and becomes a market order, the other order is deleted?

I’ve not tried generating channel breakout strategies like this before and wondered how I should set it up correctly to have two pending orders there, but have one deleted when the other is activated.

Thanks,

Mike

Only idea is set max trade per day: 1

I think it would only create one pending stop/limit order, it needs to be create two orders?

Yes you are right probably. But why create 2 orders when you use only first one?

I think it can not make only 1 order, the strategy dont know if to put long or short stop order. 

By the way, yesterday i got loss first and profit after on EURUSD during ECB news. So if i had only first trade, i  would finish in loss. I had more trades and finish in profit.

Two orders are required when in a price channel, you identify a price above and below the channel, that represents the possibility of a price breakout.  You need to create two pending orders at that moment, as you don’t know if the market is going to drive the price up or down.  Once one pending order is triggered, the other should be deleted, leaving one open and active order in the market.

Yes, you can try and create strategies using a single market order, but I was looking for guidance on SQ to setup the above type of strategy if possible?

This could be done by setting time range for entry to area where you expect breaout from specific range and using ‘Always True’ rule. It generates strategies that are placing stop orders on both sides with limited life to several bars for example. Prices for stop levels are researched by SQ. But it won’t probably work as ‘OCO’ order (one cancels other). This should be solved with new SQ where you’ll be able to define your strategy manually.

Okay thanks Thomas.  Looking forward to SQ4. 🙂

This could be done by setting time range for entry to area where you expect breaout from specific range and using ‘Always True’ rule. It generates strategies that are placing stop orders on both sides with limited life to several bars for example. Prices for stop levels are researched by SQ. But it won’t probably work as ‘OCO’ order (one cancels other). This should be solved with new SQ where you’ll be able to define your strategy manually.

Hi Thomas,

Do you have a sample str file that illustrates this (even if it isn’t profitable).  I’ve only ever seen one pending order placed, as new pending orders replace previous ones.

Thanks,

Mike

Here’s a process you can go through out of the box that I find myself using more often than random or genetic(And i Iwill be using much more when SQ gets more flexible rules like EA Wizard has):

“Create a strategy”
IF:
High>HIGHEST [fill in a number you think, lets say 100]
THEN:
Reverse/enter @ market
Add stop loss.
Add exit after X (lets say 50) bars

Opposite rules for SHORT.
Optimize it so you get parameters for Highest/lowest, stop loss, and a bars exit. (simple and robust starting system)
Then move it to IMPROVER and add profit trailing, stop trailing, exit rule, and breakeven. Make wide parameters, from 5 to 200 for everything, maybe even higher like 300++ with a step of 5 on the final optimization after you find the best improved version.
Also try for some pairs and timeframes the opposite: If the market breaks out, fade it. These are just examples.

Hope that helps.
 

This could be done by setting time range for entry to area where you expect breaout from specific range and using ‘Always True’ rule. It generates strategies that are placing stop orders on both sides with limited life to several bars for example. Prices for stop levels are researched by SQ. But it won’t probably work as ‘OCO’ order (one cancels other). This should be solved with new SQ where you’ll be able to define your strategy manually.

Thomas,

With SQ3, if “Replace Pending Orders” is unchecked, I assume multiple pending orders (eg buy and sell stop) orders can be created. Does this lead to multiple active orders if more than one gets triggered?  I thought only one active order can exist in SQ strategies at any one time?

If only one active order can exist, does this mean all other pending orders are deleted as soon as one becomes active?

Thanks,

Mike

Try to set up the original EA in MT4, open one chart with LONG ONLY checked, and add another chart with the same EA just with SHORT ONLY checked this time,

might solve your issue.