Description of StopEscorts
The StopEscorts section contains stop setups. If you left click on one of the items, the parameter box will become active.
Initial StopEscort section:
InitialStopOnly
Allows you to submit an initial stop to the market. Select this if you do not want to use HardTrail StopEscort or SoftTrail StopEscort.
ATR
Calculates the average true range for a stop.
BarByBar
Places a stop behind the lows or highs of the previous x bars.
BollingerBands
Uses the upper or lower line of the Bollinger band as a stop.
EightTrail
Uses the SMA8 line as a stop.
FixTick
Ensures that a fixed number of ticks behind the closing price of the most recently closed candle are attached to the stop. You can see the minimum tick size for each instrument in the Instrument Escort.
Example.
1. Let's assume that the tick size for AUDCAD is 0.00001.
2. here we calculate the pipettes (1 pip = 10 pipettes)
3. BUT the tick size for USDJPY is 0.001
4. We will assume that in the SetupEscort we set the Fix Tick = 5
5. This implies that if the AUDCAD entry price is 0.99000, the stop price will amount to 0.99005
6. If the USDJPY entry price is 120.50, the stop price will amount to 120.505.
GannHighLow:
Places a stop above the highest high or the lowest low of the previous X candlestick.
If the subsequent candlesticks do not create a lower low or a higher high than the previous, the stop will remain on the current position.
Only after a new low or high occurs will the stop be placed behind the highest high or lowest low of the last x candle.
InitialRisk
Places a stop according to the distance between an entry and a stop (initial risk). The stop will be adjusted every time the candle is closed according to the initial risk amount.
OutsideBar
Places a stop behind the outside bars. The stop will only move when the outside bar is crossed by the closing price.
ParabolicSAR
Uses the parabolic SAR as a stop.
PivotFast
Places a stop after small lows or highs based on the 123-counting mechanism. We recommend that you keep the PivotFast parameter inputs small. The picture illustrates that the PivotFast parameter is set to 5:
PivotMedium
Places a stop after medium lows or highs based on the 123-counting mechanism. We recommend that you keep the PivotFast parameter inputs medium. The picture illustrates that the PivotFast parameter is set to 13:
PivotSlow
Places a stop after large lows or highs based on the 123-counting mechanism. We recommend that you keep the PivotFast parameter inputs large. The picture illustrates that the PivotFast parameter is set to 30:
TwentyTrail
Uses the SMA20 line as a stop.
SuperTrend
Uses the super trend indicator as a stop
DonnchianChannel
The upper line is used as stop for short positions and the lower line as stop for long positions.
KeltnerChannel
The upper line is used as stop for short positions and the lower line as stop for long positions.
StopEscorts parameters
- For ATR, FixTick and InitialRisk-Stops the option "CalculateOnPriceChange" is available.
If this option is set to 'True', the Stop is recalculated with each Tick coming in. That means that the stop is following the movement of each tick. When you set this option to 'False', the StopEscort will wait for the candle to close to recalculate itself and there won't be any intra-candle movement of the stop.
- BarByBar includes the following settings:
- BarsBackHardTrail
- BarsBackInitialStop
- BarsBackSoftTrail
This shows how many of the previous bars are used for the stop calculation.
Meaning of numbers:
"1" - stop is placed behind the last closed period;
"2" - stop is placed behind the bar located further than the last two closed candlesticks.
- EightTrail and TwentyTrail
- BarByBarStart setting: if set to "false", then the SMA (simple moving average) trailing stop will not immediately be submitted from the start.
Example.
1. Assume that your stop entry is below (long) or above (short) the SMA trailing stop.
2. The SMA can only be used as a stop when the price has moved above it (in a long position) or below it (in a short position).
3. Using this setting, you can apply a BarByBar stop up to this point (the settings for the standard BarByBar stop will be applied) or a simulated SMA.
The image below demonstrates an example for a long position:
- GannHighLow
- HighLowsBack setting: shows the number of highs or lows back in the history that are taken into account for the stop calculation.
- InitialRisk
- Risk Factor setting: sets a multiplicator for the initial risk
- OutsideBar includes the following settings:
- BarsBackHardTrail
- BarsBackInitialStop
- BarsBackSoftTrail
This shows how many of the previous bars are used for the stop calculation.
Meaning of numbers:
"0" - last closed period;
"1" - stop is placed behind the last closed period;
"2" - stop is placed behind the bar that is located the furthest from the last two closed periods and so on.
- PivotFast
- Default setting: the PivotFast parameter = 5.
- PivotMedium
- Default setting: the PivotMedium parameter = 13.
- PivotSlow
- Default setting: the PivotSlow parameter = 30.