Trade Management
Identifying a good entry is only half the battle. Successful trading requires a disciplined approach to managing your position after it's open. The Trade Management module provides a suite of tools designed to help you plan your exits, secure profits, and control risk systematically.
These tools are automatically activated when a Smart Signal (▲, ▼, +▲, or +▼) appears on the chart, providing a clear visual plan for the entire lifecycle of the trade.
1. Exit Signals
What it is: Exit Signals are automated suggestions for when to close a position. They are not based on fixed profit targets but on changing market conditions. The indicator uses momentum to detect when a trend is likely getting exhausted, signaling potential exhaustion.
How to Interpret it:
Orange 'x' above a candle: This is a bullish exit signal. It suggests that the current uptrend is losing momentum and it may be a good time to close a long position.
Orange 'x' below a candle: This is a bearish exit signal. It suggests that the current downtrend is losing steam and it may be a good time to close a short position.
How to Use it:
Primary Exit Strategy: You can use these 'x' marks as your primary signal to exit a trade, regardless of whether your profit targets have been hit.
Scaling Out: The indicator can plot multiple exit signals. You could use the first 'x' to take some profit off the table and trail your stop-loss on the remainder of the position, waiting for a second 'x' to close it entirely.
Settings:
Exits Signals: The master switch to turn this feature on or off.Max Exit Signals: Sets the maximum number of 'x' marks that can appear for a single trade, allowing for multi-stage exit strategies.
2. Take-Profit (TP) and Stop-Loss (SL) Levels
What it is: When a Smart Signal appears, the indicator can automatically project Take-Profit and Stop-Loss levels on your chart. These levels are calculated based on market volatility and user-defined multipliers, creating a dynamic risk-to-reward framework for every trade.
How to Interpret it:
Green/Red Entry Line: Marks the price where the signal occurred.
Green TP Lines: These are your profit targets. You can have up to 5 levels for scaling out of a position.
Red SL Line: This is your suggested stop-loss level, representing your maximum risk on the trade.
Green/Red Zones: The colored zones between the entry, SL, and TP lines provide a clear visual of the potential risk (red zone) and reward (green zone) for the trade.
How to Use it:
Set-and-Forget Strategy: Use these levels to place firm limit orders for your take-profits and stop-loss with your broker.
Partial Profits: If you configure multiple TP levels, you can systematically take profits as each level is reached. For example, close 25% of your position at TP1, 50% at TP2, and let the rest run.
Risk Management: The SL level provides a clear, data-driven point of invalidation for your trade idea. Respecting this level is key to long-term risk management.
Settings:
Take-Profit Levels: Enables or disables the plotting of TP lines and the green reward zone.Stop-Loss Level: Enables or disables the plotting of the SL line and the red risk zone.Take-Profit Target Count: Sets the number of TP lines to display (from 1 to 5).Take-Profit Distance Multiplier: This number multiplies the volatility-based distance to set your TP levels. A higher value will place targets further away, aiming for larger moves. A lower value will set closer, more conservative targets.Stop-Loss Distance Multiplier: This number multiplies the volatility-based distance to set your SL level. A higher value creates a wider stop-loss, giving the trade more room to breathe. A lower value creates a tighter stop-loss for more aggressive risk management.
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