Using MA to trigger a trailing stop

• 11/10/2020 at 3:51 PM #150043
  nonetheless

  Is there any reason the following shouldn’t work with a moving average value (or any other defined indicator) as the trigger for a trailing stop?

  Seems to work as expected in initial tests (where HULLa is defined further up the page)

  once trailingstop = 1 if trailingstop then trailingpercentlong = tsl // % trailingpercentshort = tss // % stepPercentlong = stl stepPercentshort = sts if onmarket then trailingstartlong = tradeprice(1)*(trailingpercentlong/100) //trailing will start @trailingstart points profit trailingstartshort = tradeprice(1)*(trailingpercentshort/100) //trailing will start @trailingstart points profit trailingsteplong = tradeprice(1)*(stepPercentlong/100) //% step to move the stoploss trailingstepshort = tradeprice(1)*(stepPercentshort/100) //% step to move the stoploss endif //reset the stoploss value IF NOT ONMARKET THEN newSL=0 ENDIF //manage long positions IF LONGONMARKET THEN //first move (breakeven) IF newSL=0 AND HULLa-tradeprice(1)>=trailingstartlong THEN newSL = tradeprice(1)+trailingsteplong ENDIF //next moves IF newSL>0 AND HULLa-newSL>trailingsteplong THEN newSL = newSL+trailingsteplong ENDIF ENDIF //manage short positions IF SHORTONMARKET THEN //first move (breakeven) IF newSL=0 AND tradeprice(1)-HULLa>=trailingstartshort THEN newSL = tradeprice(1)-trailingstepshort ENDIF //next moves IF newSL>0 AND newSL-HULLa>trailingstepshort THEN newSL = newSL-trailingstepshort ENDIF ENDIF //stop order to exit the positions IF newSL>0 THEN SELL AT newSL STOP EXITSHORT AT newSL STOP ENDIF endif

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  once trailingstop = 1 if trailingstop then   trailingpercentlong  = tsl // % trailingpercentshort = tss // % stepPercentlong = stl stepPercentshort = sts if onmarket then trailingstartlong = tradeprice(1)*(trailingpercentlong/100) //trailing will start @trailingstart points profit trailingstartshort = tradeprice(1)*(trailingpercentshort/100) //trailing will start @trailingstart points profit trailingsteplong = tradeprice(1)*(stepPercentlong/100) //% step to move the stoploss trailingstepshort = tradeprice(1)*(stepPercentshort/100) //% step to move the stoploss endif   //reset the stoploss value IF NOT ONMARKET THEN newSL=0 ENDIF //manage long positions IF LONGONMARKET THEN //first move (breakeven) IF newSL=0 AND HULLa-tradeprice(1)>=trailingstartlong THEN newSL = tradeprice(1)+trailingsteplong ENDIF //next moves IF newSL>0 AND HULLa-newSL>trailingsteplong THEN newSL = newSL+trailingsteplong ENDIF ENDIF //manage short positions IF SHORTONMARKET THEN //first move (breakeven) IF newSL=0 AND tradeprice(1)-HULLa>=trailingstartshort THEN newSL = tradeprice(1)-trailingstepshort ENDIF //next moves IF newSL>0 AND newSL-HULLa>trailingstepshort THEN newSL = newSL-trailingstepshort ENDIF ENDIF //stop order to exit the positions IF newSL>0 THEN SELL AT newSL STOP EXITSHORT AT newSL STOP ENDIF endif

   

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  11/10/2020 at 5:05 PM #150045
  robertogozzi

  tradeprice(1)-HULLa

  1	tradeprice(1)-HULLa

  Because at line 23 and the others you make a difference with inverted operators, write it as above.

   

  

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  11/10/2020 at 5:20 PM #150046
  nonetheless

  Do you mean that line 23 should be

  IF newSL=0 AND tradeprice(1)-HULLa>=trailingstartlong THEN

  1	IF newSL=0 AND tradeprice(1)-HULLa>=trailingstartlong THEN

  isn’t that effectively the same as line 35 for short positions?

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  11/10/2020 at 6:23 PM #150050
  robertogozzi

  Yes, in line 23 and the other ones those two operators need to be swapped.

  

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  11/10/2020 at 6:30 PM #150051
  nonetheless

  Like so?

  //manage long positions IF LONGONMARKET THEN //first move (breakeven) IF newSL=0 AND tradeprice(1)-HULLa>=trailingstartlong THEN newSL = tradeprice(1)+trailingsteplong ENDIF //next moves IF newSL>0 AND newSL-HULLa>trailingsteplong THEN newSL = newSL+trailingsteplong ENDIF ENDIF //manage short positions IF SHORTONMARKET THEN //first move (breakeven) IF newSL=0 AND HULLa-tradeprice(1)>=trailingstartshort THEN newSL = tradeprice(1)-trailingstepshort ENDIF //next moves IF newSL>0 AND HULLa-newSL>trailingstepshort THEN newSL = newSL-trailingstepshort ENDIF ENDIF

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  //manage long positions IF LONGONMARKET THEN //first move (breakeven) IF newSL=0 AND tradeprice(1)-HULLa>=trailingstartlong THEN newSL = tradeprice(1)+trailingsteplong ENDIF //next moves IF newSL>0 AND newSL-HULLa>trailingsteplong THEN newSL = newSL+trailingsteplong ENDIF ENDIF //manage short positions IF SHORTONMARKET THEN //first move (breakeven) IF newSL=0 AND HULLa-tradeprice(1)>=trailingstartshort THEN newSL = tradeprice(1)-trailingstepshort ENDIF //next moves IF newSL>0 AND HULLa-newSL>trailingstepshort THEN newSL = newSL-trailingstepshort ENDIF ENDIF

  or

  //manage long positions IF LONGONMARKET THEN //first move (breakeven) IF newSL=0 AND tradeprice(1)-HULLa>=trailingstartlong THEN newSL = tradeprice(1)+trailingsteplong ENDIF //next moves IF newSL>0 AND HULLa-newSL>trailingsteplong THEN newSL = newSL+trailingsteplong ENDIF ENDIF //manage short positions IF SHORTONMARKET THEN //first move (breakeven) IF newSL=0 AND HULLa-tradeprice(1)>=trailingstartshort THEN newSL = tradeprice(1)-trailingstepshort ENDIF //next moves IF newSL>0 AND newSL-HULLa>trailingstepshort THEN newSL = newSL-trailingstepshort ENDIF ENDIF

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  //manage long positions IF LONGONMARKET THEN //first move (breakeven) IF newSL=0 AND tradeprice(1)-HULLa>=trailingstartlong THEN newSL = tradeprice(1)+trailingsteplong ENDIF //next moves IF newSL>0 AND HULLa-newSL>trailingsteplong THEN newSL = newSL+trailingsteplong ENDIF ENDIF //manage short positions IF SHORTONMARKET THEN //first move (breakeven) IF newSL=0 AND HULLa-tradeprice(1)>=trailingstartshort THEN newSL = tradeprice(1)-trailingstepshort ENDIF //next moves IF newSL>0 AND newSL-HULLa>trailingstepshort THEN newSL = newSL-trailingstepshort ENDIF ENDIF

   

   

   

  

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  11/10/2020 at 6:54 PM #150055
  robertogozzi

  Yes, but I did not spot it before, you have to also replace TRADEPRICE(1)  with CLOSE.

   

  

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  11/10/2020 at 7:06 PM #150056
  robertogozzi

  This is the original Nicolas’code and the modified version for you:

  Close-tradeprice(1) //original Close-Hulla //modified for Hull

  1 2	Close-tradeprice(1)   //original Close-Hulla           //modified for Hull

  the opposite for Short trades.

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  11/10/2020 at 7:14 PM #150057
  nonetheless

  Roberto, the original TS that I had been using was like this:

  //manage long positions IF LONGONMARKET THEN //first move (breakeven) IF newSL=0 AND close-tradeprice(1)>=trailingstartlong THEN newSL = tradeprice(1)+trailingsteplong ENDIF //next moves IF newSL>0 AND close-newSL>trailingsteplong THEN newSL = newSL+trailingsteplong ENDIF ENDIF //manage short positions IF SHORTONMARKET THEN //first move (breakeven) IF newSL=0 AND tradeprice(1)-close>=trailingstartshort THEN newSL = tradeprice(1)-trailingstepshort ENDIF //next moves IF newSL>0 AND newSL-close>trailingstepshort THEN newSL = newSL-trailingstepshort ENDIF ENDIF //stop order to exit the positions IF newSL>0 THEN SELL AT newSL STOP EXITSHORT AT newSL STOP ENDIF endif

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  //manage long positions IF LONGONMARKET THEN //first move (breakeven) IF newSL=0 AND close-tradeprice(1)>=trailingstartlong THEN newSL = tradeprice(1)+trailingsteplong ENDIF //next moves IF newSL>0 AND close-newSL>trailingsteplong THEN newSL = newSL+trailingsteplong ENDIF ENDIF //manage short positions IF SHORTONMARKET THEN //first move (breakeven) IF newSL=0 AND tradeprice(1)-close>=trailingstartshort THEN newSL = tradeprice(1)-trailingstepshort ENDIF //next moves IF newSL>0 AND newSL-close>trailingstepshort THEN newSL = newSL-trailingstepshort ENDIF ENDIF //stop order to exit the positions IF newSL>0 THEN SELL AT newSL STOP EXITSHORT AT newSL STOP ENDIF endif

  Then without changing anything else, I exchanged ‘close’ for ‘typicalprice’. This also works fine, but then I thought, why have the TS triggered by the performance of just one candle? why not use an MA value?

  It is precisely the use of ‘close’ that I am trying to get away from.

  I don’t understand why ‘close’ shouldn’t simply be replaced by ‘HULLa’ as in my first post.

  

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  11/10/2020 at 11:13 PM #150078
  robertogozzi

  Tradeprice(1) needs to be replaced by HULLa.

  If profitable CLOSE needs to be above the MA for Long trades and below for Short trades.

   

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  11/10/2020 at 11:19 PM #150079
  nonetheless

  Ok, I’ll try that, thanks!

  

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