Partial Close with profit + move SL to BE

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lytnin
  • updated
  • Planned (collecting votes)

Hi all,

One of the risk management techniques is to partially close your open position, to book the profits, then the rest you let it trail to ride big trends. Usually, you would move the SL to break-even for the remaining part of the position and let it trail risk free. It also allows you to have a hybrid of scalping (since the first part would usually close small profits) and trend trading.

So, my idea is to have a partial close setting, that gets triggered based on your TP rather than currency/percent, with an option for the trailing stop to start on the partial hit. And i guess a 3rd option of moving stop loss to break-even once the TP trigger has been hit.

now this is easy to do on non-Martin strategies, but not sure how it would work for grids and martins.

would love to hear your thoughts.

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Andrey Khatimlianskyi
  • Under review

Hey

Thanks for your idea!

I think we should just add one more parameter for BreakEven function — Close %. Thus, EA before moving SL to BE level will close a part of position.

It will be simple to understand and will not interfere with other functions.

What do you think?

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1
lytnin

say for example, u set the TP for 1x volatility, the TP is hit, it should close the partial amount of the position, and for the remaining you move SL to breakeven and have the trail do the work... 
Would the tweak you are suggesting be able to handle such a scenario? if yes, then awesome, would be straight forward.

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1
Andrey Khatimlianskyi
Quote from lytnin

say for example, u set the TP for 1x volatility, the TP is hit, it should close the partial amount of the position, and for the remaining you move SL to breakeven and have the trail do the work... 
Would the tweak you are suggesting be able to handle such a scenario? if yes, then awesome, would be straight forward.

TP closes the whole position )

So, I suggest to look at this from the BE side.

Set BE = 1x volatility and "BE close %" = 50. EA will close the half and move SL to BE when profit reaches 1x volatility.

The rest position will be managed with all other functions like TS or Partial close.

Is it what you want?

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lytnin

Perfect, that's exactly what i meant.

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4
Andrey Khatimlianskyi
  • Planned (collecting votes)
Quote from lytnin

Perfect, that's exactly what i meant.

Ok, let's vote and implement)

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1
Mudassar Rasool

Addition: This is learnt from seasoned traders. Instead of volatility simple pips uses.


When single trade open:

Winning trade reaches 50 pips closes the certain % of lot size say 50% lot size (partially close) and set BE or BE + (e.g. 5 pips). When trade reaches the 100 pips further closes the 50% lot of the remaining lot and so on. For example:
Initial lot size = 1.0

Reaches 50 Pips closes 50% (0.5) lot (TP=1)

Now remaining lot size is 0.5

Reaches 100 pips closes the 50% (of 0.5 = 0.25) lot size (TP=2)

Now remaining lot size is 0.25

Reaches 150 pips closes 50% or close all and so on...(TP=3)

Alternate to this strategy:

Open multiple trades simultaneously (which currently this EA does not allow) and set different TPs for different trades in the same manner as mentioned above. Andrey is it possible to implement both or at least first one.

Thanks