Showing 21–29 of 29 matching strategies
Evidence: WeakBeginner
Partial Scale-Out
what it buys, and what it costsTake half off at a modest multiple, move the stop to break even, let the rest run. It is probably the most widely used management rule in retail trading and it is worth being precise about what it does.
AnyExit · Position management
Evidence: ModerateBeginner
The Time Stop
if it has not worked yet, it is not going toClose the position after a fixed number of bars, whatever it is doing. No level, no indicator — just the clock.
Any · the bar count is set by the entry's own horizonExit · Time
Evidence: StrongIntermediate
Whether to Use a Stop at All
the one question with a real research answerEvery retail course says always use a stop. The research says something more specific and more useful: whether a stop-loss helps depends on what the price series does.
AnyExit · Risk design
Evidence: ModerateBeginner
Fixed Fractional Risk
the same percentage every timeRisk the same fraction of the account on every trade. The position size is whatever makes that true given the stop distance — so a wide stop means a small position and a tight stop means a large one, automatically.
AnyRisk · Position sizing
Evidence: StrongIntermediate
Volatility-Parity Sizing
equal risk, not equal lotsTwo positions of the same size in gold and in EURGBP are not two equal bets. Gold's daily range can be several times the cross's, so the gold position is doing most of the work and carrying most of the risk while looking identical on the platform.
Any · re-estimate volatility weeklyRisk · Portfolio
Evidence: ModerateProfessional
Fractional Kelly
the optimal size, and why nobody trades itKelly's 1956 result gives the position size that maximises the long-run growth rate of an account, given the odds. It is a real theorem and the answer is exact.
Any, but the estimate needs hundreds of tradesRisk · Optimal sizing
Evidence: StrongIntermediate
Correlation-Adjusted Exposure
five dollar pairs is one tradeAn account holding long EURUSD, long GBPUSD, long AUDUSD, short USDJPY and short USDCHF believes it has five positions at 1% each. It has one position at something close to 5%, and it will discover this on the day the dollar moves.
Any · correlations re-estimated monthlyRisk · Portfolio
Evidence: WeakIntermediate
The Drawdown Governor
trade smaller after losses, on a scheduleA written rule that cuts the risk percentage as the account falls from its high-water mark: down 5%, risk two thirds. Down 10%, risk a third. Down 15%, stop and review.
Any · measured daily from the equity high-water markRisk · Adaptive sizing
Evidence: ModerateBeginner
Daily Loss Limit and Trade Cap
the two numbers that end bad daysTwo limits, both checked automatically: a maximum loss for the day, and a maximum number of trades for the day. Either one is reached and the platform is closed until tomorrow.
Any · a daily limit, reset at your own session boundaryRisk · Behavioural