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TRO RISK / REWARD

Posted: Wed Apr 01, 2009 12:22 am
by TheRumpledOne
TRO RISK / REWARD

Image

Do you know how many times I hear "What's the stop loss?"

Let me make something PERFECTLY CLEAR:

STOP LOSS IS NOT A FUNCTION OF YOUR ENTRY METHOD.

STOP LOSS IS A FUNCTION OF YOUR MONEY MANAGEMENT AND RISK MANAGEMENT.

The market doesn't care why you entered a trade or why you exited.

Your stop loss needs to be calculated so that after 10, 100 or 1,000 trades, you expect to come out even or ahead of the game. It is that simple.

TRO_RiskReward will calculate and display what your winning percentage need to be to break even using your SL and TP including spread. ( Commissions not coded so leave input Use.Commissions = false )

Ideally, % Wins Needed should be less than 50 but it doesn't have to be.

FREE MT4 version of TRO_RiskReward, INCLUDING SOURCE CODE, attached.

Posted: Thu Apr 02, 2009 12:37 am
by MightyOne
Thanks TRO :)

Posted: Fri Apr 10, 2009 3:23 am
by happyhappyRN
Thanks for another great tool TRO!

I do have a question. Where in the code do I change it so it works with 5 digit quotes?

Posted: Fri Apr 10, 2009 5:03 am
by TheRumpledOne
Fix attached.

Posted: Fri Apr 10, 2009 5:51 am
by happyhappyRN
That's service! Thanks :smt023

Posted: Fri Apr 10, 2009 7:05 am
by bredin
instead of this
point = Point ;
if(digits == 5 || digits == 3) { digits = digits - 1 ; point = point * 10 ; }

try this
point = 1/MathPow(10,Digits);

Cheers
G (who is too lazy to code two lines)

[edited to fix bad math]

Posted: Fri Apr 10, 2009 9:41 pm
by TheRumpledOne
But what about digits??

Posted: Fri Apr 10, 2009 10:56 pm
by bredin
to my mind its only relevant if you want to reformat the 3 or 5 digit numbers back to 2 or 4, or for setting hard stop/tp in an EA

Cheers
G