Hi
I'm using MetaStock 10.0. While exploring the Sytem Tester's some of the functionality confused me. Let say, I've open the
query "Equis - Directional Movement" option. It has tab like buy,sell, sell short code..Stop.
In order to use stopp loss in the test system. In System Editor's STOP tab selected this option
Maximum Loss -->Positionis Selected ( Long & Short) --> Method (Percent 2 %)
Please see attached screen shot for same.
So as per the help strategey should be generate buy & signal but when it has more then 2% loss. It should revert the signal
and marginalized the loss to only 2%.
Hence , loss should not be more then 2 %
for particular trade. However, I've run multiple strategey ( MACD - Expert System ,
RSI 70/30 w/Optimization, others too) . In those strategey many stocks have losses more then 2 %.
Can anyone explain , why it can happen ? |