number of trades different with stop change - NinjaTrader | futures io social day trading
futures io futures trading


number of trades different with stop change
Updated: Views / Replies:602 / 3
Created: by mcteague Attachments:0

Welcome to futures io.

(If you already have an account, login at the top of the page)

futures io is the largest futures trading community on the planet, with over 90,000 members. At futures io, our goal has always been and always will be to create a friendly, positive, forward-thinking community where members can openly share and discuss everything the world of trading has to offer. The community is one of the friendliest you will find on any subject, with members going out of their way to help others. Some of the primary differences between futures io and other trading sites revolve around the standards of our community. Those standards include a code of conduct for our members, as well as extremely high standards that govern which partners we do business with, and which products or services we recommend to our members.

At futures io, our focus is on quality education. No hype, gimmicks, or secret sauce. The truth is: trading is hard. To succeed, you need to surround yourself with the right support system, educational content, and trading mentors Ė all of which you can find on futures io, utilizing our social trading environment.

With futures io, you can find honest trading reviews on brokers, trading rooms, indicator packages, trading strategies, and much more. Our trading review process is highly moderated to ensure that only genuine users are allowed, so you donít need to worry about fake reviews.

We are fundamentally different than most other trading sites:
  • We are here to help. Just let us know what you need.
  • We work extremely hard to keep things positive in our community.
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts.
  • We firmly believe in and encourage sharing. The holy grail is within you, we can help you find it.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

Reply
 
Thread Tools Search this Thread
 

number of trades different with stop change

  #1 (permalink)
Elite Member
New York NY USA
 
Futures Experience: Beginner
Platform: esignal, ninjatrader,
Favorite Futures: Stocks
 
Posts: 110 since Oct 2012
Thanks: 54 given, 29 received

number of trades different with stop change

Why does the stop loss affect the number of trades for a strategy? I do not understand.

I setup the following strategy (Not recommending. This is for demonstration. )

If MACD is over 0 and ADX is over 25: Enter a long position for 1 contract
Stop loss 4 ticks Profit 4 ticks
Ran on 30 minute ES chart for 1 year using the strategy performance/ historical data.

Result 1975 trades lost $22,462 * So do not follow this strategy

But then I modified the strategy by changing the stop loss to 8 Ticks.
That was the only change I made.

Result 1448 Trades lost $17,050

I can understand how this would lose a little less money. But why are there over 500 fewer trades. The stop loss has nothing to do with the entries. And that is the only change I made to the strategy.

Can anyone explain this? Thank you

Reply With Quote
 
  #2 (permalink)
Elite Member
@ Germany
 
Futures Experience: Beginner
Platform: NinjaTrader
Broker/Data: Mirus Futures/Zen-Fire
Favorite Futures: FDAX
 
Posts: 440 since Nov 2011
Thanks: 254 given, 369 received

Thats quite simple, if you have only one position open at once. With an larger stop you are staying longer in trades and therefore you are skipping some potential entries. You have to visualize the trades in the chart and compare the 2 variants.


mcteague View Post
Why does the stop loss affect the number of trades for a strategy? I do not understand.

I setup the following strategy (Not recommending. This is for demonstration. )

If MACD is over 0 and ADX is over 25: Enter a long position for 1 contract
Stop loss 4 ticks Profit 4 ticks
Ran on 30 minute ES chart for 1 year using the strategy performance/ historical data.

Result 1975 trades lost $22,462 * So do not follow this strategy

But then I modified the strategy by changing the stop loss to 8 Ticks.
That was the only change I made.

Result 1448 Trades lost $17,050

I can understand how this would lose a little less money. But why are there over 500 fewer trades. The stop loss has nothing to do with the entries. And that is the only change I made to the strategy.

Can anyone explain this? Thank you


Reply With Quote
The following 2 users say Thank You to Koepisch for this post:
 
  #3 (permalink)
Elite Member
New York NY USA
 
Futures Experience: Beginner
Platform: esignal, ninjatrader,
Favorite Futures: Stocks
 
Posts: 110 since Oct 2012
Thanks: 54 given, 29 received


You get full points for this answer. I just had not thought of that.
Thank you.

It makes me wonder though about what my testing procedure should be.
I try to put what I am doing manually in scripts to test whether it makes sense.
Although I may also run some auto trading strategies eventually. And although I do not always use stops for my exits. I do test them for scripted trading.

I just wonder what the best accepted testing procedure is to see what actually makes money or not.

Anyway thanks for the repy

Reply With Quote
 
  #4 (permalink)
Market Wizard
Cleveland Ohio/United States
 
Futures Experience: Advanced
Platform: Tradestation
Broker/Data: various
Favorite Futures: futures
 
Posts: 2,388 since Jul 2012
Thanks: 1,138 given, 4,387 received
Forum Reputation: Legendary

One way to test the entries is to exit after x number of bars, and eliminate the stop loss. This could show you the effectiveness of the entry, and how it varies with the number of bars after it occurs. But even then, you'll likely have some overlap in signals, leading to "missed" trades.

Reply With Quote

Reply



futures io > > > > number of trades different with stop change

Thread Tools Search this Thread
Search this Thread:

Advanced Search



Upcoming Webinars and Events (4:30PM ET unless noted)

Linda Bradford Raschke: Reading The Tape

Elite only

Adam Grimes: TBA

Elite only

NinjaTrader: TBA

January

Ran Aroussi: TBA

Elite only
     

Similar Threads
Thread Thread Starter Forum Replies Last Post
Stop Limit for Simple weekly option trades RedK Options on Futures 9 September 19th, 2012 09:50 PM
How to change the number of MACD decimals? Orjan EasyLanguage Programming 1 August 29th, 2012 05:38 AM
Is there an indicator that shows price change averaged with volume change intrabar? Itchymoku NinjaTrader 8 July 31st, 2012 08:40 PM
How to change "Stop Loss" and "Take Profit" in "shElderImpulse" Strategy javed759 NinjaTrader 1 November 1st, 2011 11:44 PM
average number of trades per day aquarian1 Psychology and Money Management 13 December 21st, 2010 04:12 PM


All times are GMT -4. The time now is 09:27 AM.

Copyright © 2017 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts
Page generated 2017-12-13 in 0.10 seconds with 19 queries on phoenix via your IP 54.82.56.95