DislikedIf you want a smaller stop, you can use TMA. Is there a reason for not doing so?
I will when I am feeling strong. This kind of thing induces a logic fuzz that makes my head reel. Leave it with me.
Second, the way Bob has made his system, price will always swing down to meet the 5x5. Sometimes that swing (and 1/2 that swing) will be less than the distance to the TMA. Sometimes it will be greater than the distance to the TMA.
Third, and most important, there are many trades where price has gone so far outside the TMA that the swing back to the 5 actually occurs also outside the TMA. Any stop based on the TMA in this situation is bound to fail. So I don't want to use it.
On the other point, I will write up a basic algorithm for setting that sort of lot size later today, and you can look at it at your convenience.