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Bill,
Thank you for your suggestion. I appreciate your taking the time.
In this case my intent was a profit protecting stop (and not a limit order)
that would come into play under a set of circumstances. When the
circumstances came into play, the calculation turned out to be already above
the market for a short exit. I decided I should interpret that as an
ExitShort at market. I hadn't seen this stop come active before at a time
that it wouldn't represent a valid order in itself. I know I can change my
EL code to test the stop point and if it is already beyond the point where
it would be executed, conditionally generate an ExitShort at market instead
of the ExitShort at Value stop. However, if the market had then gapped
below Value, I should not have exited my trade. So I conclude I should
leave the ExitShort at Value in the code, and just be alert to the fact that
Value may have already been exceeded - and place my actual order based on
overnight market action so I will have a market exit if the market is still
at or above Value prior to the start of regular trading. I should mention
that I trade RTH only, based on EOD data.
Another reason for my original email was that I was surprised that an
ExitShort at Value order would be generated at a time the market exceeded
Value. That is, I didn't think TS should generate an order that is
invalid - i.e., wouldn't be accepted by a broker. However, in the paragraph
above, I manage to convince myself that I'd rather have the order generated
as it was so I could decide myself how to handle it and what actual order I
would place.
Paul
----- Original Message -----
From: "William Brower" <1000mileman@xxxxxxxxxxxxxx>
To: "Paul M. Zislis" <pzislis@xxxxxxxxx>; <omega-list@xxxxxxxxxx>
Sent: Friday, August 25, 2000 2:08 PM
Subject: Re: Invalid Stop Prices Question
> Such an exit is normally executed using a limit order not a stop order.
>
>
> At 09:23 PM 8/24/00 -0400, you wrote:
> >Is there any circumstance in which it is valid to ExitShort at a stop
price
> >that is below today's close (with EOD trading)? What should TS 4 do if a
> >stop
> >price calculates to such a level? What it does do is tell me to place a
buy
> >stop at an
> >invalid stop price (below today's close). Perhaps I should just
interpret
> >the order
> >as buy at the market, since the stop price is already exceeded.
> >
> >Paul Zislis
>
> Bill Brower
> Email: 1000mileman@xxxxxxxxxxxxxx
> Web Site: insideedge.net
>
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