Trading System: improve it with 3 Exit

NexusFi · 2020-02-26T03:00:50-05:00

Something like this? {after Buy}: Exit with a profit after 30 bars, if the closing is less than the exponential moving average of 5 days. What do you do your trade is profitable after 30 bars, but closing > mov avg 5 days? {after Sellshort}: Exit with a profit after 30 bars, if the closing is higher than the exponential moving average of 5 days. {after Buy}: Exit with a limit order if the open profit exceeds 20%. You can use setprofittarget, but what is the 20%? 20% of what? {after Sellshort}: …

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Updated February 26, 2020

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Trading System: improve it with 3 Exit

February 26th, 2020, 03:00 AM

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Shaban

Turin + Italy

Posts: 194 since Feb 2020

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Tom1978

Hi Shaban,

Did the 3 additional exits work the way you want them to?

Tom

Hi, Tom,

unfortunately the 3 Exits, allow the T.S. an over-optimization, because the T.S. always chooses the best solution.
An example: by inserting the Exit with a profit if the trade lasts more than 50 bar:

If marketposition=1 and close>entryprice and barssinceentry=50 then Sell("LX 50") this bar at close;
If marketposition=-1 and close<entryprice and barssinceentry=50 then Buytocover("SX 50") this bar at close;

the T.S. already before 50 bars will signal the Exit in profit, while subsequently, if the trend will continue beyond 50 bars, the T.S. will choose this last Exit, no longer signaling the previous Exit.

There is an interesting message for you.