Stop gap = the difference between your Stop price and your entry price.
Does that make sense as a first step Pelt?
Having a brain fart on figuring out margin used based on stop?
- Thread starter Pelt
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Does that make sense as a first step Pelt?
In an attempt to reword the problem I am trying to solve again.
I would like to know, given a specific STOP SIZE(E.g. 20 pips)... How many units do I need to buy to ensure that as long as the stop is not violated, I will never go above x-percent of my used margin.
The two variables I would like to manipulate are primarily STOP SIZE, and MAX MARGIN used as price reaches that STOP SIZE.
I am still working on this, and looking through cesFX's example in an attempt to simplify it to a single formula.
I would like to know, given a specific STOP SIZE(E.g. 20 pips)... How many units do I need to buy to ensure that as long as the stop is not violated, I will never go above x-percent of my used margin.
The two variables I would like to manipulate are primarily STOP SIZE, and MAX MARGIN used as price reaches that STOP SIZE.
I am still working on this, and looking through cesFX's example in an attempt to simplify it to a single formula.
No problemo, here's what you do...
Please provide an example entry price, stop price and stop gap size for starters. You will need all three of these to complete the rest of your dealio.
Next, calculate your stop gap size.
Are you saying that your stop gap = 30 pips?
There we go.
How about if we call that the Stop Spread? Will that work?
What is the dollar value of a pip?