Quote from fifo:
In my opinion (take it with a grain of salt as I am a noob), without leverage there is no meaningful gain. Every system eventually drys up so once a system is found to be profitable, leverage must be used (wisely of course) to milk it for what its worth. Having said that, obviously increasing leverage consistently eventually finds its way to a drawdown which "feels dark" and makes you cry! but we can reverse this statement by doing this: start with a fixed size, say X. Every trade is traded with the same size until a drawdown occurs. Wait until that drawdown nears your "maximum # of consecutive losses" (can be found thru backtesting), then slowly start increasing your leverage (i.e. 2X) on subsequent trades until your first profitable trade, at which point keep the size once again constant (2X), and repeat. This way your leveraged (2X) size will eventually find its way to profit and stay there long enough to be consistent with backtesting results.
About stops, off the top of my head for now only, it would be a simple idea since you are using the CR indicator, to keep a stop X sigma away from the lower CR, just as a start as this would be in line with your system fundamentals. Also, the sigma can be checked for entries which would tell you easily how "far" price is from the daily CR before pulling the trigger, something you already do but visually. Will implement this too in WL CR.
Getting ahead of myself again...but at least the protective stops should satisfy those seeking stops and leverage can be had, safely and consistently.
MAE and MFE to come...
...we need a MARKET BASED CurviStop