Rank: Newbie
Groups: Registered, Registered Users Joined: 10/31/2005(UTC) Posts: 2
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Hi and thanks for taking my question.
I am having an issue where, while using trailing stops as the only stop in the MS 9.0 EOD enhanced system tester, the stop exit price does not match the % stop amount specified.
In other words, lets say I specify a 1% stop with 1 period lookback. On a long position that reaches 100 on day 1, on day 2 at 99, the stop should activate.
What is happenning is the stop is triggering at a point closer to the actual turn point of the equity essentially inflating returns and performance.
Also, I have "close" specified for price transactions in system trading options.
Shouldn't the stop be triggered at my specified % but executed at the close?
All of the other stops are triggered at the specified % but executed at the chosen point in the system trading options except for the trailing stops which seem to transact intraday, which seems odd for an end-of-day program. It should at least be an option to choose intraday or open or close for the trailing stops.
I looked around on the forum for info on this and noticed many using trailing stop plug-ins. Has this been a problem before or is being worked on?
Thanks
Andrew
*PS After going back and looking at 7.2, I see that it was an option for the trailing stop to exit at market or the close/open in that system tester.
It was removed in the stops page in 8.0 and 9.0. This really puts EOD traders at a disadvantage since you'd have to tell a broker or their software
to execute the stop for you to approximate the performance of the tester.
At any rate, my longhand calculations show the trailing stops in the enhanced system tester to be triggering and executing incorrectly by a large margin as stated above.
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