Topic: Trading Size Ideas
Attached the common Trading Size & Handling of Entry Signals
ًWe have two options '' trading fixed Number of lots '' OR '' % ''
my ideas as follow
1- add 3rd option which is '' Conditional Lot size '' that option will depends on some filters pre determined, these conditions would be :
a. Maximum loss accepted per trade filter , for example if a strategy takes the first 5 trades using 3 % of account && the risk was < maximum loss accepted by trade its ok , then in the 6th trade if we use the 3% size the accepted risk will be > maximum loss accepted by trade so the lot size modified to pass that filter or the trade not taken
b.Market Volatility : if volatility dropped < > certain level so change lot size accordingly '' increase , decrease or no trades taken ''
c.Time horizon filters
2- apply the previous rules to ''handling of additional signals''
3- let the lot size method & value determined Automatically.
Note : while generating strategies sure we miss good strategies that could be appeared in the top list if position size properly controlled