1 Topic by zenoni (edited by zenoni 2009-10-27 08:22:59)

  • zenoni
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Topic: Multiple positions, how to prevent closing profitable positions ?

FST is a wonderful piece of trading software.

I have a simple question - how can I set the FST to let open old profitable positions? The problem is that if my system is giving multiple buy signals according to the trend (trend following system) the FST closes profitable signals each time a new position is opened.

I like to let all my profitable positions to be open. How can I set it to open a new position each time without closing the previous trade.

I am using different EA for money management. This MM EA is using breakeven and Trailing Stop techniques.

I have tried to modify the Strategy Properties, but I don't know how to do this. I just like to get buy signals and opening orders from FST.

I add new small positions e.g. (0.05 lot) by each buy signal. I try to average up my profits.

  • Popov
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Re: Multiple positions, how to prevent closing profitable positions ?

When new signal occurs in the direction of the current trend FST acts according to the adding logic set in "Strategy Properties". The variants are:

"Nothing" - there is no adding. FST cancels the new entry signal;
"Winner" - FST adds to the current position if it is on profit at the moment.
"Add" - FST adds new lots to the current position.

Because of lack of adding to a position capability of MT4 FST closes the current position and opens new larger one. Like this:

Current position: Long 1.5 lots;
New signal: Buy 0.5 lots;
FST executes:
  1. Close current Long position
  2. Open new Long 2.0 lots.

The drawback of this operation is we lost spread for opening 1.5 lots (the initial position).

The problem will be fixed in new upcoming MT5 since MT5 allows adding to a position.

Popov's Website

  • zenoni
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Re: Multiple positions, how to prevent closing profitable positions ?

Thank you for quick answer. I see now the drawback.

Please could you implement a feature which disables trade management in FST.

By disabling trade management I mean that every time the FSA gets new buy/sell signal then it will open a new independent order that is not related to the previously opened orders. There could be open hundreds of orders at the same time. I mean that there should be an "option" to limit FSA to only buying/selling orders without any closing or trade management ability. In this logic I use different EA or manual intervention for the orders management.

Such a strategy that adding new small orders e.g. averaging up is very profitable. All these orders are independent against each other. They all have their own TP, SL and TS levels. There can be simultaneously open reverse orders - buy and sell at the same time (they are different trades not hedging).

100 - 0.1 buy
105 - 0.1 buy
110 - 0.1 buy
115 - 0.1 buy
120 - 0.1 sell
123 - 0.1 sell

Please could you also implement these useful features to make FST better:

break even trailing stop
EA can set stop loss to break even when price goes to right direction by defined value set in BreakEvenPct or BreakEvenPips EA external parameter on Metatrader.

candle trailing stop
Trails stop loss by the candle low levels. E.g. when price goes to the right direction and new candle begins then stop loss can be modified to previous candle low (or candle before previous low - it is modifiable). This type of trailing stop allows dynamically trail stop loss and adapt to market volatility.
You can choose which candle to use for the candle trailing stop - modify CandleTrailingStop EA external parameter on Metatrader.

4 Reply by Nick (edited by Nick 2009-11-23 22:48:11)

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Re: Multiple positions, how to prevent closing profitable positions ?

Hi Popov,

this is my first post in your forum, so first I want to congratulate you for the wonderful software you guys have produced, for the continuous improvements, and last but not least, your friendly, patient and detailed way you answer questions in this forum. It is really extraordinary.

Now, regarding this issue of close/reopen order, I completely understand your explanation, however, MT5 is VERY long way away from going live, I would guess at least one year from now until it is fully stable and adopted by brokers.

Also, the extra spread cost of this operation makes A LOT of difference to the overall strategy performance, especially in small TFs.

For the above 2 reasons, I would like to modify the behaviour of the EA, in order to just open a second position with the new lots, instead of close/reopen. I will be happy to send you the code if I can get this working, so that you can include it in a future release if you like.

The one thing that I am not clear though, is this: how does FST deal with the more than one orders? My understading is that FST expects one order open at a time, so I guess I would also need to modify some functions that report back to FST to somehow present the total opened orders as 1 to the FST. Also, I would need to modify all the functions that modify/close the existing order, according to the command send by FST, so that these functions will now affect the whole group of open orders.

Is this correct? Is there any other potential problem that prevented you guys from implementing this?

Thanks again!

PS: Another problem I noticed after I wrote this is that sometimes by the moment the first order is closed and we try to open the second, we receive an error "Off quotes" because the price has changed.

Popov wrote:

When new signal occurs in the direction of the current trend FST acts according to the adding logic set in "Strategy Properties". The variants are:

"Nothing" - there is no adding. FST cancels the new entry signal;
"Winner" - FST adds to the current position if it is on profit at the moment.
"Add" - FST adds new lots to the current position.

Because of lack of adding to a position capability of MT4 FST closes the current position and opens new larger one. Like this:

Current position: Long 1.5 lots;
New signal: Buy 0.5 lots;
FST executes:
  1. Close current Long position
  2. Open new Long 2.0 lots.

The drawback of this operation is we lost spread for opening 1.5 lots (the initial position).

The problem will be fixed in new upcoming MT5 since MT5 allows adding to a position.

  • Popov
  • Popov
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Re: Multiple positions, how to prevent closing profitable positions ?

Hello Nick,

I completely agree with you about the devastating result of the current adding method applied on short term strategies with multiple averaging.

You are right FST expects and bases the trading logic on a single position for the current Symbol. In order to workaround this the Expert has to report to FST a virtual, averaged position.

I'll help you with all the information you need for making such a modification. 

Probably the best is to open a separate forum about modifications of the EA. I'll explain there the different functions of EA and what the current problems are.

Popov's Website

6 Reply by Nick (edited by Nick 2009-11-23 23:46:25)

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Re: Multiple positions, how to prevent closing profitable positions ?

Popov wrote:

Hello Nick,

I completely agree with you about the devastating result of the current adding method applied on short term strategies with multiple averaging.

You are right FST expects and bases the trading logic on a single position for the current Symbol. In order to workaround this the Expert has to report to FST a virtual, averaged position.

I'll help you with all the information you need for making such a modification. 

Probably the best is to open a separate forum about modifications of the EA. I'll explain there the different functions of EA and what the current problems are.

Hi Popov,

thanks for the answer.

I made the mod and testing it now (though it's a bit rough for now and needs more error checking). I have also modified the reduce lots function because I think you can do partial close in a position. I will wait until the new forum is open to discuss further.

All the best.

PS: first test seems OK, managed to open an order and add to it, then closed both on close condition. Not sure if FST was aware of the 2nd lot open to display at the status bar as I was not watching it that moment.