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Trade Assistance EA
Post by admin » Wed Apr 06, 2022 7:22 pm
It will be like the control system of a plane. The pilot only need to use a few buttons/control interface to "tell" what he want the plane to do: turn left or right, speed up or slow down, increase or decrease its altitude.
In fact trading "game" is less complicated than flying a plane. The trader only need to "tell" the trade control system to go up or go down, AND, speed up or slow down (Increase or decrease Margin percentage). The trading control system (TCS) will do some action to meet the trader command:
Up: this means net exposure >0. Net exposure small or large depends on the trader command but must not exceed MaxExposure. Max exposure is based on trading Style/Mode.
with lot size (calculated above),
Either, open buy trade,
Or, close sell trade(s) .
MaxExposure can be calculated from Max 1kPV/Equity (1000xPV/Equity, PV: Point Value). Let call this PV ratio (PVR)
Similarly for Down scenario.
Trading Style:
1/ The trading Style I have been used for rather long (Style1): 1kPV/Equity has to be 50% or less. When it is higher, it become unstable and very risky of blown-up. Remember that this parameter changes when equity changes. This style is very good in range bound market or slightly trending market but will have high DD or even have high risk of blown-up if trade at high PVR. There is no SL, most of the time trade against the trend & using averaging. Always having open trades, this causes high swap cost. This also makes the trader have to watch the screen for too much time.
2/ Since the big disadvantage of the Style1, a new approach is being developed that having the following criteria:
2.1/ Less time consuming.
2.2/ For good sleep, no worrisome--> Stay almost flat when not be able to watch the screen. PVR is about 1-2%. This also reduce swap cost to almost zero.
2.3/ Always have SL. This automatically force the trader to follow the trend.
Post by admin » Wed Apr 06, 2022 7:22 pm
It will be like the control system of a plane. The pilot only need to use a few buttons/control interface to "tell" what he want the plane to do: turn left or right, speed up or slow down, increase or decrease its altitude.
In fact trading "game" is less complicated than flying a plane. The trader only need to "tell" the trade control system to go up or go down, AND, speed up or slow down (Increase or decrease Margin percentage). The trading control system (TCS) will do some action to meet the trader command:
Up: this means net exposure >0. Net exposure small or large depends on the trader command but must not exceed MaxExposure. Max exposure is based on trading Style/Mode.
with lot size (calculated above),
Either, open buy trade,
Or, close sell trade(s) .
MaxExposure can be calculated from Max 1kPV/Equity (1000xPV/Equity, PV: Point Value). Let call this PV ratio (PVR)
Similarly for Down scenario.
Trading Style:
1/ The trading Style I have been used for rather long (Style1): 1kPV/Equity has to be 50% or less. When it is higher, it become unstable and very risky of blown-up. Remember that this parameter changes when equity changes. This style is very good in range bound market or slightly trending market but will have high DD or even have high risk of blown-up if trade at high PVR. There is no SL, most of the time trade against the trend & using averaging. Always having open trades, this causes high swap cost. This also makes the trader have to watch the screen for too much time.
2/ Since the big disadvantage of the Style1, a new approach is being developed that having the following criteria:
2.1/ Less time consuming.
2.2/ For good sleep, no worrisome--> Stay almost flat when not be able to watch the screen. PVR is about 1-2%. This also reduce swap cost to almost zero.
2.3/ Always have SL. This automatically force the trader to follow the trend.
