Hi Matthew,
Here’s a suggestion and an add on for the stock systems. Under closed positions next to the P/L there could be a percentage gain or loss on that trade. Position sizes wouldn’t matter and may help the subscriber see very quickly that:
1) There is a stop loss plan in effect.
2) This % is the same regardless of shares traded and is a better measurement of the trade, more so than the dollar amount P/L.
Just a thought,
Ted
Sorry,
But positions sizes and/or leverage ALWAYS matter.
I would rather prefer a small position size without stop than
a big position and/or leverage with a stop loss.
Stops are good only if and when there is no fast market.
What about when there an important news ?
Your computer may eventually come out with the exit price at the stop price but not in real time/real money.
Just imagine your stops being hit during 9/11, the London bombing,
A Google news, or an economic news while trading forex.
At times live trading has nothing to do with computer data trading.
Regards
Charles
Charles,
If I understand you correctly, you are against stop loss rules. But even then it is important to know whether a system uses stop losses or not (because you don’t want such a system). Apart from this, there are many people who want to have a stop loss rule, and I hope that you don’t deny them the right to look for a system that satisfies their wishes.
So I think this suggestion is not so bad. However, I think that more complicated stop loss rules (depending on what was bought) cannot be seen in this way. Furthermore I think that the risk per trade already displays the most relevant information (although not as a percentage).
Jules
