From the MACDH divergence kit documentation found at: http://www.metastocktool...om/MACDH/MACDHdiverg.htm ---8<-------------------------------------------------------------- Variable position sizing ================ The variable position sizing indicator displays a suggested position size value to normalize trade risk to specified % limit. It takes the risk based on the SmartStop initial stop, and calculates an appropriate trade position size. Variable position sizing involves decreasing trade size on riskier (higher volatility) trades, and increasing it on safer (lower volatility) trades. The result is that trade risk should theoretically (severe price slippage may alter risk) remain the same for all trades. Should variable position sizing theoretically result in a similar total profit when compared to a fixed-position size strategy? After all, what we lose on those big (now smaller) spectacular wins, we can gain from smaller (spectacular) losses and (now bigger) wins on the larger, safer trades. In reality, the final result between these two strategies can be quite different. By normalizing the total risk with risk-based variable position sizing, the result is a *smoother equity curve*. This results in less overall capital risk, and thus increases the trader's confidence and ability to place a larger proportion of his working capital into his trading strategy. And larger trades in turn equates to larger profits for the same (or lower) amount of original risk. Below is an example of how variable position sizing can be applied to non-leveraged trades: StdEq$ (standard trade size): total capital / maximum number of open trades / 2; AvgLoss%: Average Acceptable Loss %; Risk%: (Entry Price - (Volatility based Stoploss + Slippage)) / Entry Price x 100; Variable Position Size: StdEq$ x AvgLoss% / Risk%. Example for a safer (less-volatile) trade: StdEq$ = $100,000 / 10 trades; ($10,000) AvgLoss% = 8; (8%) EntryPrice = $10.00; Stop = $9.50; Expected exit price slippage = $0.05; Risk% = ($10.00 - ($9.50 - $0.05)) / $10.00 x 100; (5.5%) Variable Position Size = $10,000 x 8 / 5.5. ($14,545) Example for a riskier (volatile) trade: StdEq$ = $100,000 / 10 trades; ($10,000) AvgLoss% = 8; (8%) EntryPrice = $2.00; Stop = $1.70; Expected exit price slippage = $0.02; Risk% = ($2.00 - ($1.70 - $0.02)) / $2.00 x 100; (16%) Variable Position Size = $10,000 x 8 / 16. ($5,000) By normalizing maximum trade risk (to 8% in both examples above), a trader can manage overall capital risk in a more predictable manner. ---8<-------------------------------------------------------------- To answer the second question, variable position sizing can be used in Trade Equitity indicators & explorations, such as the ones developed by Roy: http://www.metastocktools.com/#roy http://www.metastocktips.co.nz jose '-) http://www.metastocktools.com

Dieselpr, you could try using the GlobalVar.dll to save and reference indicator output values in your exploration columns, but it would probably be easier (and more reliable) if you got rid of the PREV functions in the original code. jose '-) http://www.metastocktools.com

GlobalVar.dll or GV.dll is an excellent external MetaStock function programmed by Mark Pyle. Basically, it reads/writes variables to RAM (instead of values residing within formulae code), so that they may be called upon and made available to other formulae at any time during a MetaStock session. Available free here: http://www.metastocktools.com/MetaStock/GV.dll See some MS code examples here: http://www.metastocktools.com/#roy jose '-) http://www.metastocktools.com

The RAM-based GV.dll variables still need to written/read from within MS formula code, so the 20 variable limit per indicator still applies. Not to say that you cannot code several GV indicators and keep hundreds of variables stored in volatile RAM. ExtFml( "GV.Clear") - clears all variables stored in RAM. ExtFml( "GV.SetVar", Variable Name, Expression) - writes variables to RAM ExtFml( "GV.GetVar", Variable Name) - reads stored variables in RAM Roy has several applications for this dll - more information on it available at MSTT: http://www.metastocktips.co.nz jose '-) http://www.metastocktools.com

Dieselpr, all variables (set by GV.dll in RAM) are cleared when MetaStock is closed. The GV.Clear function is seldom used, but would be useful if one needs to clear all variables in the current MetaStock session. jose '-)

Yes, from left to right column for each data bar, from bar 1 to last, from 1st security to last one, all in that order. Correct. I'll let you work out the rest now. ;) jose '-)