π Subsequent Commerce Distance Administration Based mostly on ATR β Check_NextTrade_ATR
This technique optimizes scaling-in entries throughout shedding trades β‘οΈ.
πΉ It adjusts the gap between consecutive positions dynamically based mostly on market volatility (ATR) and the variety of consecutive shedding trades to scale back clustering threat.
π 1οΈβ£ Performance Overview
When open positions transfer into loss β, the system calculates the following entry distance as ATR Γ NextTrade_ATR_Multiply
If consecutive losses β₯ MinTradeNumber, distance between new entries is elevated π
Aim: Cut back threat and forestall tightly clustered trades
βοΈ 2οΈβ£ Key Parameters
Check_NextTrade_ATR β : Allow/disable ATR-based dynamic distance administration
NextTrade_ATR_Multiply π§: Multiplier utilized to ATR to calculate distance
MinTradeNumber π’: Minimal consecutive shedding trades earlier than distance is elevated
π 3οΈβ£ Operational Logic
1οΈβ£ Calculate ATR (e.g., 14 intervals)
2οΈβ£ Base distance = ATR Γ NextTrade_ATR_Multiply
3οΈβ£ Rely consecutive shedding trades
4οΈβ£ If losses β₯ MinTradeNumber β improve distance dynamically
5οΈβ£ Apply up to date distance for subsequent place entry π’
π§ͺ 4οΈβ£ Instance Use Case
Check_NextTrade_ATR: True β
NextTrade_ATR_Multiply: 1.5 βοΈ ATR
MinTradeNumber: 3οΈβ£
π Outcome:
After 3 consecutive shedding trades, the spacing for the 4th and subsequent entries will increase mechanically to scale back clustering threat
π 5οΈβ£ Advantages
π Adaptive distance administration based mostly on real-time volatility
π Reduces threat by stopping carefully packed entries
πΉ Enhances capital administration in scaling-in methods
βοΈ Extremely configurable with adjustable multipliers and loss thresholds
π 6οΈβ£ Technical Notes
ATR interval ought to be optimized in keeping with timeframe and instrument β±οΈ
Distance multiplier improve could be linear or exponential
Finest used with different threat administration instruments like place sizing
π‘ 7οΈβ£ Skilled Advice
For unstable trending markets: use larger multipliers and bigger MinTradeNumber
For low volatility or ranging markets: decrease values for well timed and correctly spaced entries