• Home
  • Forums
  • Trades
  • News
  • Calendar
  • Market
  • Brokers
  • Login
  • Join
  • User/Email: Password:
  • 10:42am
Menu
  • Forums
  • Trades
  • News
  • Calendar
  • Market
  • Brokers
  • Login
  • Join
  • 10:42am
Sister Sites
  • Metals Mine
  • Energy EXCH
  • Crypto Craft

Options

Bookmark Thread

First Page First Unread Last Page Last Post

Printable Version

Similar Threads

Why your broker is your friend and your enemy 4 replies

Tools to determine price range after a breakout? 3 replies

How do you determine when a strategy is valid and profitable? 29 replies

How do you determine High, Low, Close 2 replies

How do you determine 7 replies

  • Trading Discussion
  • /
  • Reply to Thread
  • Subscribe

If you use a breakout model, how do you determine your TP and SL?

  • Post #1
  • Quote
  • First Post: Nov 15, 2009 1:52pm Nov 15, 2009 1:52pm
  •  permanentjaun
  • | Joined Oct 2006 | Status: Member | 655 Posts
I'm using a breakout EA and am interested in trying some new approaches to determining my TP and SL levels. What have been the most successful methods for your breakout method?
  • Post #2
  • Quote
  • Nov 15, 2009 1:58pm Nov 15, 2009 1:58pm
  •  Sauron
  • | Joined Jun 2009 | Status: Reasonable | 339 Posts
A good SL is at the other end of some previous candle.
There's no perfect TP target but it should be big enough for a R:R bigger than 1 and don't forget to take some partial profits.
  • Post #3
  • Quote
  • Nov 15, 2009 2:04pm Nov 15, 2009 2:04pm
  •  permanentjaun
  • | Joined Oct 2006 | Status: Member | 655 Posts
Do you take ATR into consideration? Seems to me that if you use a previous candle for the SL then the TP should be variable as well.
  • Post #4
  • Quote
  • Nov 15, 2009 2:13pm Nov 15, 2009 2:13pm
  •  Sauron
  • | Joined Jun 2009 | Status: Reasonable | 339 Posts
You adjust your TP according to the size of your SL. ATR should also work.
  • Post #5
  • Quote
  • Nov 15, 2009 2:14pm Nov 15, 2009 2:14pm
  •  Craig
  • Joined Feb 2006 | Status: Blah blah blah | 1,410 Posts
I use a measure of the standard deviation of the candle sizes, so as to place the stop far enough away so that only big negative move will take it out. Why have a TP on a momentum play? Breakout systems need to ride their winners to the end.
The breaking of a wave cannot explain the whole sea.
  • Post #6
  • Quote
  • Nov 15, 2009 2:17pm Nov 15, 2009 2:17pm
  •  permanentjaun
  • | Joined Oct 2006 | Status: Member | 655 Posts
How do you determine where the end is then? I like strict MM and that's why I try to use a set TP.
  • Post #7
  • Quote
  • Nov 15, 2009 2:22pm Nov 15, 2009 2:22pm
  •  Craig
  • Joined Feb 2006 | Status: Blah blah blah | 1,410 Posts
Nobody knows where the end is.
The breaking of a wave cannot explain the whole sea.
  • Post #8
  • Quote
  • Nov 15, 2009 2:27pm Nov 15, 2009 2:27pm
  •  permanentjaun
  • | Joined Oct 2006 | Status: Member | 655 Posts
Quoting Craig
Disliked
Nobody knows where the end is.
Ignored
Well yea. I probably should have asked, 'when do you end your runs?' Eventually you take your profit. When do you personally do so?
  • Post #9
  • Quote
  • Nov 15, 2009 2:38pm Nov 15, 2009 2:38pm
  •  Craig
  • Joined Feb 2006 | Status: Blah blah blah | 1,410 Posts
I know some people think this is a dumb idea, but it been proven in my testing to increase my profit anyway...I don't take profit in a strict sense, I scale into breakouts.
I will slide a stop, when the stop gets to break-even, I open a new trade in the same direction with the same S/L, I do this until all trades are closed via S/L. By doing this I am keeping my downside risk constant whilst letting the reward run. Obviously sometimes this will not work, but when you get a decent breakout this method allows you to really ride it into the ground. Momentum strategies use win/loss size to get a positive expectation as usually then have more losing trades than winning trades.
The breaking of a wave cannot explain the whole sea.
  • Post #10
  • Quote
  • Last Post: Nov 16, 2009 3:40am Nov 16, 2009 3:40am
  •  permanentjaun
  • | Joined Oct 2006 | Status: Member | 655 Posts
Anyone had any success using multiples of Fibs as exit points?
  • Trading Discussion
  • /
  • If you use a breakout model, how do you determine your TP and SL?
  • Reply to Thread
0 traders viewing now
Top of Page
  • Facebook
  • Twitter
About FF
  • Mission
  • Products
  • User Guide
  • Media Kit
  • Blog
  • Contact
FF Products
  • Forums
  • Trades
  • Calendar
  • News
  • Market
  • Brokers
  • Trade Explorer
FF Website
  • Homepage
  • Search
  • Members
  • Report a Bug
Follow FF
  • Facebook
  • Twitter

FF Sister Sites:

  • Metals Mine
  • Energy EXCH
  • Crypto Craft

Forex Factory® is a brand of Fair Economy, Inc.

Terms of Service / ©2021