PositionScore is only used for "tie-breaking". If you have multiple simultaneous entry signals, but insufficient funds, or are limited in some way as to the number of additional positions that you may take on, the PositionScore will dictate which of the contenders gets traded and which are discarded.
I have seen it suggested that entries are not as significant an influence to net profit as one might think. You might want to analyze how your exits are performing. Tomasz wrote an article for adding a custom metric for average adverse excursion to the backtest report. It might be interesting to modify the example to be for average favorable excursion, and then compare the result to your average trade result. If there is a large difference, then your exits might be keeping you in the trade too long. http://www.amibroker.com/kb/2006/04/04/adding-custom-metric-average-adverse-excursion/ Another avenue to look at would be PositionSize. Some profess that the single largest contributor to profitable trading is money management a.k.a PositionSize. If you are undersizing your positions, you are leaving money on the table. If you are oversizing your positions, its just a matter of time before you bankrupt your account. Mike --- In [email protected], "superboot74" <superboo...@...> wrote: > > Hi all, > > Back testing a trend system and looking to add/vary some factors to improve > my results. > > My current buy criteria are: > 1. Highest High for a year > 2. Volume spike (x3 from the average) > 3. Liquidity > 4. Rate of Change of EMA(Close, 5) is greater than 20% > > I have been through the optimisation process to assist in the best settings, > however now looking to add another condition(s) or filter(s) to help pick the > best of my buy signals. > > Any ideas? I have seen position score being used to order the selected stocks > - is this what I am after? > > Cheers > Super >
