Automated Circuit Breakers

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Steve
Last seen: 3 years 10 months ago
Joined: 05/11/2018 - 05:51
Automated Circuit Breakers

Why can't discretionary traders meet halfway with automated traders? For the most part I would not be able to trust the computer at executing and making trades on its own, and at the same time I would have no idea what I am doing setting every parameter on my own.

These are the same reasons why auto traders don't want to trade themselves. They don't trust themselves and believe humans are slower.

How can we incorporate some effective automatization in discretionary trading? Sometimes the human eye can't see if all the parameters line up to take a trade and sometime's they miss a few things. The biggest concern is not missing a trade that should have been taken, but taking a trade that does not line up with what you think. To minimize risk it would be useful to have a system blockage where trades would not be allowed under certain circumstances.

Some example would be:
IF price is under vwap, no long.
IF price is 10 points away from R2, no short. Where if price would be 9 or 8 or 3 points away, system allows for trade.
IF price is 2 STD from value area, no trade

It's great being able to setup a trading strategy with targets and set stops, but more can be done. Maybe this is already possible with RTL coding and I'm not aware of it. What does everyone else think about that?

0
cpayne
Last seen: 1 year 7 months ago
Joined: 03/30/2009 - 00:00
Trading System Parameters

Sure.  RTL (and thus Trading Systems) allow you to access VWAP, R2, Value Area, etc.  So you can certainly include those conditions easy enough in your entry rules.

as a simple example with the VWAP, just add..

... AND CL > VWAPI

to your entry rule/signal.

Steve
Last seen: 3 years 10 months ago
Joined: 05/11/2018 - 05:51
Trading rule

If I wanted a trading rule to suspend orders when price is above or below VAL and VAH would that be possible?

I've tried "Last >= VAD AND <= VAU"

Eddy_F
Last seen: 2 months 1 week ago
Joined: 07/30/2014 - 16:18
Hi Steve,

Hi Steve,
Syntax to be added should be
... AND LAST >= VAD AND LAST <=VAU
Eddy