code for limiting the number of cumulative orders

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10/12/2020 at 5:08 PM #147183 quote
nonetheless
Participant

Master
I’m using the following code to limit cumulative orders to a max of 8:
```
Once MaxPositionsAllowed = 8
// Conditions to enter long positions
IF Ctime and c1 and c1a AND C3 and c3a AND C5 and c5a and abs(CountOfPosition) < MaxPositionsAllowed THEN
BUY positionsize CONTRACT AT MARKET
SET STOP %LOSS 1.3
SET TARGET %PROFIT 2.2
ENDIF
```
but in practice (demo) the strategy is taking more than 8, see attached pic. Is there anything wrong with the above code?

cum-order.jpg
10/12/2020 at 5:26 PM #147185 quote

JC_Bywan
Moderator

Master

I don’t know how your positionsize is calculated and how your countofposition usually evolves, but let’s say as an example you have abs(countposition)=7 ( is lower than 8) and positionsize is 3, the “if” statement will conclude that 7 being lower than 8 (and your other conditions being respected), it’s ok to add 3 to this, and 7+3=10…

In other words, from quick read without the rest of the code, this piece of code is not preventing you from going above 8 at all, because you made your check before adding to the position, so I’d try with : abs(countofposition)<maxpositionallowed-positionsize to see there’s enough room left below the max before increasing the position

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10/12/2020 at 5:35 PM #147188 quote
robertogozzi
Moderator

Master
I think line 3 could be written as:
```
IF Ctime and c1 and c1a AND C3 and c3a AND C5 and c5a and (abs(CountOfPosition)  + PositionSize) <= MaxPositionsAllowed THEN
```
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10/12/2020 at 5:38 PM #147189 quote

nonetheless
Participant

Master

Thanks for that, but perhaps I am missing something. Surely countofposition and positionsize are 2 different things, no?

In this case, positionsize is .4 on the DJ and I want to have a max of 8 different entries of .4 each. Would the MaxPositionsAllowed then need to be 3.2 ?

10/12/2020 at 5:40 PM #147190 quote

swedshare
Participant

Senior

Yes, 3.2. I also had to think twice on DJI.

10/12/2020 at 5:50 PM #147193 quote
nonetheless
Participant

Master
But how will that work with MM then? when the positionsize increases? Maybe
```
MaxPositionsAllowed = (positionsize x 8)
```
???
10/12/2020 at 5:52 PM #147194 quote

robertogozzi
Moderator

Master

COUNTOFPOSITION is the number (negative for Short positions) of total positions accumulated so far, while PositionSize is the number of positions you want to trade at that very moment. After opening additional PositionSize contracts/shares, COUNTOFPOSITION will be increased by PositionSize units.

10/12/2020 at 6:43 PM #147206 quote

nonetheless
Participant

Master

Sorry Roberto, if my positionsize = .4 and the strategy has cumulated 7 orders then the countofposition is 7 or 2.8 ?

10/12/2020 at 7:01 PM #147208 quote

robertogozzi
Moderator

Master

2.8

10/12/2020 at 7:09 PM #147209 quote

nonetheless
Participant

Master

Ok, so countofposition is actually the total number of contracts. In this case I would want that to max at 3.2 and if positionsize didn’t change then there’s no problem. But what happens when the MM changes the positionsize? Is there no way of specifying the number of instances, rather than the number of contracts?

10/12/2020 at 7:50 PM #147211 quote
fifi743
Participant

Master
hi nonetheless

Try this
```
round(COUNTOFPOSITION /positionsize)
```
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10/12/2020 at 8:24 PM #147212 quote

nonetheless
Participant

Master

Hi Fifi, comment ca va?

Do you mean

10/12/2020 at 8:37 PM #147217 quote
nonetheless
Participant

Master
that is supposed to say
```
Once MaxPositionsAllowed = 8

// Conditions to enter long positions
IF Ctime and myconditions and round(CountOfPosition/positionsize) <= MaxPositionsAllowed THEN
```
10/12/2020 at 8:53 PM #147220 quote

robertogozzi
Moderator

Master

Why using ROUND()?

MaxPositionsAllowed is a limit. If your current COUNTOFPOSITION is 7.4 and you wanna add 0.8 the code won’t allow that.

Rounding that number will count it as 7, so you’ll be allow to add 0.8 PositionSize contracts, but doing this actually will raise COUNTOFPOSITION to 8.2, which is not what you asked with MaxPositionsAllowed.

10/12/2020 at 8:57 PM #147221 quote

robertogozzi
Moderator

Master

Sorry, I just realized I misunderstood.

You want MaxPositionsAllowed to set the number of times you open positions, no matter how large they are.

In that case your code is correct.

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