The AFL code of this strategy is less than 100 lines. If I use fixed point or % values, the strategy will not be able to dynamically adapt to volatility. ATR levels help me to adjust automatically to a stock’s volatility. I am using ATR multiples instead of fixed points or percentage values. But at the same time, the strategy secures some profit by booking at the profit target.Īlso note, that ATR multiples are used for defining profit target as well as trail stop loss. This concept is basically used to capture long trends using trail stop loss. The remain 50% of the position will remain in market using the trail stop loss. If the profit target is achieved, 50% of the position will be exited at profit target. When it takes a long position, it sets up both a trail stop loss and a profit target. It takes a short position when RSI shows downward momentum. This strategy takes Long position when RSI shows upward momentum. It is based on RSI Indicator and also uses position size scalouts. Now have a look at this 100 % discretion-free strategy based on indicators. Algo trading can be applied to many situations, and it saves both time and money. You can also setup system so that you get automatic email alerts while you are in office. Your broker API will execute trades automatically based on the logic. Amibroker will automatically generate signals as per the logic. Once the strategy is setup, you can get back to work or your business. You can make a combination of the best you can do, and the best computer can do.Įven in this simple strategy, you can input parameters only once in the morning. So, you see, algo trading does not has to be rocket science. If there is any trade position at end of day, Amibroker should exit it at 3:15pm.

The target set for this trade is 7945, which is based on resistance level.Īlso, I want any trades to be triggered only after 9:20 when the market stabilizes. Note that initial stop loss is tighter than trail stop loss. If the market moves in my favor, I want Amibroker to put a trail stop loss of 15 points. If the Long position is taken, I want Amibroker to put an initial stop loss of 7910. The 7920 could be expected breakout level above a channel. In this example, I am using 7920 level to trigger Long position. The signals generated as per pre-defined levels will be traded automatically.

You can input the levels for trading at your discretion. This is a Level based trading strategy to trade on support/resistance levels with SL, TSL and target. We will start with a discretionary strategy. Now let us have a look at some different types of strategies which can be automated in Amibroker.

Amibroker leg afl