Hello,

I have been writing a strategy to back-test today and am getting a little stuck around the money management side with the incorrect number of shares opening for example using a 10,000 balance, 2% risk and an ATR of .912 I am expecting (RISK/ATR STOP LOSS)    100/1.824 = 548 shares. When backtesting though the position size taken is much larger.

Money Management

From a money management view I am trying to size positions based on a percentage of my account:

Example Code:

//Parameters

RISK = 2
EQUITY = CAPITAL + STRATEGYPROFIT
RISKCALC = (EQUITY/100)*RISK
ATR = AverageTrueRange[14](close)
ATRSL = (ATR*2)

// Oreder Management - Shares to Purchase
//POSITIONSIZE= RISKCALC/ATRSL

// Open Long Position

IF NOT LongOnMarket AND c1 THEN
BUY POSITIONSIZE SHARES AT MARKET
ENDIF

Position Accumulation 

I am looking to add to a position where a condition has been met, marking a Flag to signify if the original position has already been added to. It currently does not look to add to an existing position.

// Parameters

FLAG1 = 0

IF LONGONMARKET AND c1 AND OMFLAG1 <> 1 THEN
BUY POSITIONSIZE SHARES AT MARKET
OMFLAG1 = 1
ENDIF

Any help would be greatly appreciated.

Thank you