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Money Management

Money Management

Use variable lot size

The Use variable lot size has 2 options. They include the following;

Variable LotSize

The Variable LotSize /LOT_IN_PERCENT_OF_BAL calcalutes the lot size per trade in N percent of your current balance. The default value is 1 and is set using the the Risk per Trade parameter.

Example: When N is set to 1, it means for every trade the bot will perform, it will calculate 1 percent of your current account balance in its equivalent lot size

Fixed LotSize

The Fixed LotSize uses the value (lots) provided. The value is set using the Fixed LotSize parameter.

TP/SL Type

The TP/SL Type or the Take Profit/Stop Loss Type is used to set a prefered mode of setting Take Profit and Stop Loss targets.

The TP/SL Type has 3 options, they include the following;

  • ICHIMOKU_TPSL
  • OPTIMIZED_TPSL
  • CUSTOM

ICHIMOKU TPSL

The ICHIMOKU TPSL calculates the Take Profit and Stop Loss target using the price observation theory developed by Hosoda.

OPTIMIZED TPSL

The OPTIMIZED TPSL uses a predefined Take Profit and Stop Loss targets. The targets are the optimal targets that was developed during the testing phase of the bot.

Not all markets/instruments have an optimized targets

CUSTOM

The CUSTOM option allows the user to set his own Take Profit and Stop Loss targets for a given market/instrument. The targets are set using the Take Profit and Stop Loss (TP/SL) parameters. The TP/SL targets must always be provided in pips.

It is advisable to have TP/SL set at all time for a given market/instrument as the ICHIMOKU TPSL defaults to them when it runs out options

Slippage

Slippage is the tolerable deviation in pips between the time the bot made the execution and the time the trade took place on ctrader's platform.

Margin Threshold

Effective Trading Margin is the sum of all the margins of opened trades divided by your account balance. The total amount of exposure (open trades) divided by your account balance.

Margin Threshold is the cap on Effective Trading margin expressed in terms of percentage.

The margin threshold helps in monitoring the overall health of the account.