amibroker applystop introduction

ApplyStop Intro 1/2

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When to sell?

1. Sell Signals

• Sell = sellConMKC AND (sellCon1 AND sellCon2 …);

2. Stop Triggers

• ApplyStop( stopTypeLoss, stopModePercent, 15);

3. Better opportunities

• Calculate current positions

• Calculate opportunities, and then compare to current positions

• Force sell signals, and then enter a better opportunity

Note: use CBI to perform 3.74

Facts about Stop Triggers

•Stops can help or hurt your results

•Change of degree in stop could result favorably or unfavorably

•Limitation in AmiBroker

•Backtesting VS Execution

•Keep it manageable and executable; otherwise, don’t use it

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Basic ApplyStop in AmiBroker

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ApplyStop( Type, Mode, Amount);

• stopTypeLoss

• stopTypeProfit

• stopTypeNBar

• stopTypeTrailing

• stopModePoint

• stopModePercent

• stopModeBars

• stopModeRisk

• Number: 15

• Point

• Percent

• Bars

• Array: 3ATR(14)

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40 days

100

100

120

Profit from High = 120 – 100 = 20, then 10% profit = 2

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100

120

High at 120, 10% = 12

High at 110, 10% = 11

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99

-10%

100

90

10%

100

110

ApplyStop(stopTypeLoss,

stopModePercent, 10);

ApplyStop(stopTypeProfit,

stopModePercent, 10);

ApplyStop(stopTypeNBar,

stopModeBars, 40);

ApplyStop(stopTypeTrailing,

stopModePercent, 10);

ApplyStop(stopTypeTrailing,

stopModeRisk, 10);

EASY ?

Not so fast !

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More Details of ApplyStop in AmiBroker

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• Trade Price: SellPrice = Open or Close

• ExitAtStop: 0, 1, or 2

• Volatility: True or False

• ReEntryDelay: especially in Sideways and many false signals

• ValidFrom & ValidTo: especially in stopModeRisk

• ActivateStopsImmediately: On or Off

Note: please study https://www.amibroker.com/guide/afl/applystop.html

ApplyStop(Type, Mode, Amount, ExitAtStop, Volatility, ReEntryDelay, ValidFrom, ValidTo);

WARNING

Can Code, but Not Execute = Useless

Can Execute, but Not Understand = Risky

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ApplyStop Intro 2/2

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Facts about ApplyStop in AmiBroker

•Compatibility between stopType and stopMode matters

• stopTypeNBar not compatible with stopModePercent

•Compatibility between stopMode and stopAmount matters

• stopModePercent not compatible with stopAmount 3ATR()

•Only one stopMode per one stopType is used

1. ApplyStop(stopTypeTrailing, stopModePercent, 15); //over ruled by next line

2. ApplyStop(stopTypeTrailing, stopModeRisk, 15);

•Keep it manageable and executable; otherwise, don’t use it

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stopType… and stopMode… in AmiBroker

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stopType…

stopMode…

Measured FromPoint Percent NBars Risk

Loss Entry price

Profit Entry price

NBar Entry bar

Trailing (1) (1) (2)(1) % from High

(2) % from High - Entry

ApplyStop( Type, Mode, Amount, ExitAtStop, Volatility, ReentryDelay, ValidFrom, ValidTo);

stopMode… and stopAmount given: ATR(14) = 5

•ApplyStop(stopTypeLoss, stopModePoint, 10); //Entry: 125 -> then: 115

•ApplyStop(stopTypeLoss, stopModePercent, 10); //125->112.5

•ApplyStop(stopTypeLoss, stopModePercent, 2*ATR(14)); //Run, but non-sense

•ApplyStop(stopTypeLoss, stopModePoint, 2*ATR(14)); //125->115

•ApplyStop(stopTypeProfit, stopModePoint, 10); //Entry: 125 -> then: 135

•ApplyStop(stopTypeProfit, stopModePercent, 10); //125->137.5

•ApplyStop(stopTypeProfit, stopModePercent, 2*ATR(14));

•ApplyStop(stopTypeProfit, stopModePoint, 2*ATR(14)); //125->13584

stopMode… and stopAmount given: ATR(14) = 5

•ApplyStop( stopTypeNBar, stopModeBars, 40); // Bar 0 until Bar 40

•ApplyStop( stopTypeNBar, stopModePercent, 40); //Run, but non-sense

•ApplyStop( stopTypeNBar, stopModePoint, 40); //Run, but non-sense

•ApplyStop( stopTypeTrailing, stopModePoint, 25); //100->125->100

•ApplyStop( stopTypeTrailing, stopModePoint, 5*ATR(14)); //100->125->100

•ApplyStop( stopTypeTrailing, stopModePercent, 25); //100->125->93.75

•ApplyStop( stopTypeTrailing, stopModeRisk, 25); //100->125->118.75

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stopTypeTrailing with stopModeRisk

•ApplyStop( stopTypeTrailing, stopModeRisk, 25); //100->104->103 ???

•ApplyStop( stopTypeTrailing, stopModeRisk, 25, … , … , …, 20); // ValidFrom

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ApplyStop( Type, Mode, Amount, ExitAtStop, Volatility, ReentryDelay, ValidFrom, ValidTo);

Conclusion for Basic ApplyStop in AmiBroker

•Not executable or not understand it, Don’t use it !

•Keep it simple and straightforward

•Prefer the followings:

• ApplyStop(stopTypeLoss, stopModePercent, 10); // 5 to 15%;

• ApplyStop(stopTypeProfit, stopModePercent, 20); // 15 to 35%;

• ApplyStop(stopTypeTrailing, stopModePercent, 25); // 20 to 30%;

• ApplyStop(stopTypeNBar, stopModeBars, 40); // Depends on strategy

•Keep stop co-ordinate and logical

•Read: https://www.amibroker.com/guide/afl/applystop.html87

WARNING (AGAIN)

Can Code, but Not Execute = Useless

Can Execute, but Not Understand = Risky

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Note: please study https://www.amibroker.com/guide/afl/applystop.html