How To Write Your Own Simple Metastock Stop Loss Formula
What’s a trailing cease loss?
A stop-loss order set at a proportion or outlined degree under the market worth – for an extended place and a cease-loss order set at a share or outlined degree above the market value – for a brief place. The trailing cease value is adjusted as the cost fluctuates. The trailing cease order can also be positioned as a trailing cease restrict order, or a trailing cease market order. That is any such useful gizmo, but many fail to make use of it. The usage of a trailing cease means that you can let earnings run whereas slicing losses on the comparable time.
On this article we will be able to attempt to write our personal Metastock cease loss system, an broadly used charting platform. First allow us to take a look on how the indicator could seem like and the way we are able to use it. We all know one image price a thousand phrases, so please appear the beneath picture in moderation to have in mind the utilization of the Easy Path Cease Loss Indicator.
Now run your Metastock. Then Tools –> Indicator Builder (or Ctrl+B). Select New. This will open up the Indicator Editor window in front of you. In the name put Simple Trail Stop Loss and in the formula put the following code:
Stop1:=If( PREV = PREV,
( H – 4.5*ATR(14) ),
( H – 4.5*ATR(14) ));
Stop2:=If( PREV = PREV,
( C – 3.5*ATR(14) ),
( C – 3.5*ATR(14) ));
Stop1:=If( PREV > H,
If(( L + 4*ATR(14) ) H,
If(( C + 3.5*ATR(14) ) <= PREV,
( C + 3.5*ATR(14) ),
( C + 3.5*ATR(14) ));
If( ((Year()<=2012) OR (Year()=2050 AND Month()<=6 AND DayOfMonth()<=31)),
Now click on Apply and Ok and voila you are having this nice Metastock stop loss formula ready in your indicators list. Now load this Metastock stop loss formula indicator from Insert –> Indicators (or Ctrl+I), select the Simple Trail Stop Loss indicator and apply it to Inner Window #1, ie. where your price chart is there.
One important thing to note, what is the use of this line (Year()<=2012) OR (Year()=2050 AND Month()<=6 AND DayOfMonth()<=31). Actually I have tried to limit the usage of this indicator upto 31st December 2050. You can similarly limit usage of any indicator till a specific time limit while sharing with your friends or colleagues.
Suggested reading to learn more on Metastock: MetaStock in a Nutshell. If you happen to just like the publish share it with the arena the usage of the social share icons beneath.
Indrajit is a professional blogger and Trading System developer, Amibroker expert, WordPress expert, SEO expert and Stock market analyst. He is studying the stock market since 1995 and is an active trader since 2000. He started the journey of StockManiacs.net on 2008. He follows Indian and world markets as well as the forex market closely.