RE: Stop Loss Positioning Guide
(2016-06-19, 11:15 AM)kero Wrote: Ok. I understand the concept and how it's useful. I was, myself, trying to figure how to deal with volatility since long time. Clearly, it needs to be integrated in the way we deal with the stoploss.
The only thing I don't really get is when you write "3x the ATR (200) i.e. 3% ATR". Ok: the stop is at 3 times the ATR. That's clear. But I don't see in what sense you say that this corresponds to 3% ATR. 3% of what ?
Not so important anyway.
It was simply a way to shorten it for myself so I didn't have to write 3x ATR(200) everytime or 300% ATR(200), so I simply shortened it to 3% ATR as it was only for my personal reference, so didn't really matter. So as long as you understand that it means 3 times the 200 day ATR, it can written anyway that you wish, if it's something that you are going to use.
isatrader
Fate does not always let you fix the tuition fee. She delivers the educational wallop and presents her own bill - Reminiscences of a Stock Operator.
Fate does not always let you fix the tuition fee. She delivers the educational wallop and presents her own bill - Reminiscences of a Stock Operator.