Stop loss below the lowest of the last 5 candles

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04/10/2022 at 6:49 PM #191533 quote
Oliviertrader2020
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Average
Hello,

How do you place your stop loss below the lowest of the last 5 candles (at the time of entry)?

I tried with :
```
sl= (close < lowest[5])
```
but this piece of code gives random stops because many times the price closed below the last 5 lows without the trade being closed (as you can see in the screenshot)

And most importantly, I don’t want to have a trailing stop, I want to use a fixed stop loss, which is below the last 5 lows AT THE TIME OF BUY.
How do I code this type of stop ?
Thank you for your help 🙂

lowest.jpg
04/10/2022 at 7:31 PM #191537 quote

nonetheless
Participant

Master

deleted

(sorry, I misread your post, my reply would not have been relevant)

04/10/2022 at 8:14 PM #191541 quote
GraHal
Participant

Master
```
If CondBuy Then
Buy at Market
Sell at Lowest[5]Low Stop
Endif

OR

If CondBuy Then
Buy at Market
If Close crosses under Lowest[5]Low Then
Sell at Market
Endif
Endif
```
Try above
04/11/2022 at 11:35 AM #191561 quote
JS
Participant

Senior
```
If Not LongOnMarket and CondBuy then
Buy 1 contract at Market
SL = Close - Lowest[5](Low)
EndIf

SET STOP LOSS SL
```
Hi OlivierTrader2020,

If you want a fixed StopLoss try this:
04/11/2022 at 11:55 AM #191563 quote

Oliviertrader2020
Participant

Average

Thank you for your answer.
As you can see in the 1st screenshot, it seems that we can’t use the code lines with the final “LOW”.

As you can see in the 2nd screenshot, when we remove the low, it does not close the trade at the last 5 lows at the time of entry.

no-low2.jpg noslfixe.jpg

04/11/2022 at 12:00 PM #191566 quote

GraHal
Participant

Master

Oliviertrader2020 wrote:

we can’t use the code lines with the final “LOW”.

JS got it right below! 🙂

Also … did JS fixed SL work?

04/11/2022 at 12:01 PM #191567 quote

JS
Participant

Senior

The right code is: Lowest[5](Low) and not Lowest[5]Low

The SL above is a fixed SL under your entry price.

04/11/2022 at 12:04 PM #191568 quote

Oliviertrader2020
Participant

Average

Hi JS,

Thank you for your answer.
As you can see in the screenshot, it looks like close the trade at if the close is below the current 5 candlestick low.

However as you can see in the screenshot, it does not close the trade at the level of the last 5 lows at the time of entry (extension of the blue line) :

nofixed.jpg nofixed-1.jpg

04/11/2022 at 12:08 PM #191571 quote

Oliviertrader2020
Participant

Average

Indeed, the brackets allow to use (Low).
However, this does not generate a fixed sl but a tracking sl.
I think we are close to the solution 🙂

GraHal thanked this post

04/11/2022 at 12:15 PM #191574 quote

JS
Participant

Senior

Hoi Olivier,

The idea of a fixed StopLoss is:

For example:

You buy at 100

Your fixed StopLoss is 10

Then only when the Close crosses under 90 (100 – 10) your position will be closed.

What you are showing in your screenshots is a trailing stop and not a fixed StopLoss.

04/11/2022 at 12:29 PM #191575 quote

JS
Participant

Senior

Hi Olivier, Line 1 of the code “If Not LongOnMarket …” prevent the code from recalculation the SL when on market so the StopLoss will be fixed (not changing).

04/11/2022 at 1:50 PM #191580 quote

Oliviertrader2020
Participant

Average

In the different screenshots I have shown you the results of the different codes received which generate trailing stops and not fixed stops. Sorry if it was not clear and you are right to point it out, you should not take into account the bottom of the Donchian Channel of 5 periods over the entire duration of the trade. Its display shows the extension of the level at which it is located when the trade is triggered. You will find in the last screenshot what is expected as a fixed stop with the dotted extension of the blue line. These dotted lines correspond to the low of the last 5 candles at the time the trade is triggered.

04/11/2022 at 1:52 PM #191581 quote

Oliviertrader2020
Participant

Average

Hi JS, Unfortunately, even if you remove “If Not LongOnMarket …”, the code still generates errors. For example in the screenshot below: the 1st trade should close at the same level as the 2nd trade. The 2nd trade should close earlier
nofixed-2.jpg

04/11/2022 at 3:43 PM #191587 quote

JS
Participant

Senior

Hi Olivier, Don’t remove “If Not LongOnMarket…” from the code, otherwise your SL will be recalculated with every new bar… In the bar, where your Buy condition is true, the SL will be calculated according to “Close – Lowest[5](Low)”, then your SL is a fixed number. In the next bar, your buy order is executed on the Open of that bar. Your order price (TradePrice) is the Open of that bar. Your actual SL is now: TradePrice – SL Hope it is clear…(not easy to explain) 😉
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