Trailing the stop according to when price closes above or below the midline of a donchian channel is real effective and what I use . Since all it shows is the midpoint of the highest high and lowest low of (x) bars if closing price penetrates it then thats proof enough the move is in trouble and time to get out . Its much quicker to respond than an MA and not so jumpy.
The following 4 users say Thank You to Eric j for this post:
I am new to the NT7 platform so my experience was in tradestation and the horrible MT4. My personal preference is to use the Bollinger bands as stops. My making the sdev a double as opposed to an integer you can really fine tune the stop to give breathing room for the trade to run. At the end of a run at exhaustion/consolidation, then the Bol stop tightens up and you do not lose very much of your profits as you would see using a regular trail. As the bar range gets smaller it tightens very fast. I am new at this platform but it appears that in the strategy builder you can use one of the sets to build conditions and actions to close a long and one to close a short. The conditions for the long would be that if trade price crosses below the lower band value then close the long. Then create a set to close your short trades. You could also do this with other indicators such as the ADXVMA and ATR but the Bollinger is probably the most effective and preserves more capital. You make it tighter much faster by decreasing the period of calculation.
Maybe some of the folks here who have used NT longer can clarify that this is correct. I am planning on building this as an indicator but it is still on my to do list. I was looking for it already built but I do not think it is in the public domain in C#. I found it yesterday as part of a package of 7 different stops for $97 on another site.
The following 2 users say Thank You to iluvit for this post: