I was merely passing my opinions to new_trader.  I don't plan on using stop
losses, except maybe as a halt trading feature for, as I said before, when
the markets go wacky or the data feeds get messed up.

On Wed, Feb 24, 2010 at 7:05 AM, John-Crichton McCutcheon <
[email protected]> wrote:

>  Shaggs,
> In backtesting that I have done ( and this has been said by others here)
> the observation is that stop losses do not increase long run performance.
> Seems to me the best way to protect against big down days is to have more
> big up days to offset.  Having said that, I added an item in the strategy
> pop-up that lets me go flat at any time and switch the mode to from live
> trading to forward testing.
>
> Some time ago, I coded a trailing stop that I thought would surely
> increase profitability in my strategies.  To my chagrin, wound up adding it
> to my strategy
> scrap heap ( which is substantial) .
>
>
>
>
> ShaggsTheStud wrote:
>
> Personally I think the stop loss should be part of the strategy.   If you
> are looking for an "OMG Get me out because the sky is falling" type of stop
> loss, I think the idea would be to stop all trading on the strategy until
> human intervention.. which would probably be to restart the program.
>
> Maybe we are already on the same page with this...
>
> I have no implementation advice for this.
>
>
> On Mon, Feb 22, 2010 at 1:23 PM, new_trader <[email protected]> wrote:
>
>> when implementing an own stop loss system for minimizing losses or
>> when closing a position via a trailing stop in a strategy to let the
>> profits run there is a little "problem":
>> the "money management" strategy says to close a position for whatever
>> reason and succesfully closes the position. The indicator
>> constellation of the strategy, for example in the sample SecondNature
>> strategy, will reopen a new position immediately, because the
>> indicators still have the constellation to open a position.
>> What would be our recommendation to "tell" the strategy that it should
>> forget the past and start calculating a new interesting position entry
>> from scratch?
>>
>> Thanks in advance for your help!
>>
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