Trade Management Dashboard

output_dcfFgP

Objective is to determine the most cost effective strategy to exit a trade.

Strat_1 : IF price hit 38,2% THEN Stop Loss @ Break Even AND Take Profit @ 61,8%

Strat_2 : IF price hit 38,2% THEN Take (1/2) Profit @ 38,2% AND Stop Loss @ Break Even AND Take (1/2) Profit @ 61,8%

Strat_3 : IF price hit 38,2% THEN Take Profit @ 38,2% 

Strat_4 : IF price hit 38,2% THEN Take (1/2) Profit @ 38,2% AND Stop Loss @ Break Even AND Take (1/4) Profit @ 61,8% THEN IF price hit 61,8% THEN Stop Loss @ 38,2% AND Take Profit @ >>

Let us note :

P1, the percentage of completion of  38,2% target

P2, the percentage of completion of  61,8% target

Px, the percentage reaching the initial stop loss

Q, the risk:reward ratio of the trade, based on the achievement of 38,2% fibo level

R, the risk value relative to the trade

0 < P2 < P1 < 1

Q>0 et R>0

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When Strat_1 and Strat_2 show the same performance, then :

R.((P2.Q.61,8/38,2)-Px) = R/2.((P1.Q)+(P2.Q.61,8/38,2)-2.Px)

=>  P2 = P1 * 38,2/61,8

Conclusion :  IF P2 > P1*0,618 THEN Strat_1 ELSE Strat_2 END_IF

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Building a decision-making tool thus requires collecting information allowing the calculation of P1 and P2.

Database of Price Action (PA) based on Entry Price (EP)

  1. PA1 : EP –> SL  => Stop Loss
  2. PA2 : EP –> TP382 –> BE => Break Even
  3. PA3 : EP –> TP382 –> TP618 => Target 618
  4. PA4 : EP –> TP382 –> TP618 –> TP>> => Target >>

(Stop Loss -> Px, Break Even -> P0, Target 382 -> P1, Target 618 -> P2, other targets P3, P4, …)

(Px + P1 = 1; P1 >= P0; P1 >= P2; P0 + P2 = P1)


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