What is a Trading System?
What most people think of as a trading system, I would call a trading strategy. This would consist of eight parts:
What most people think of as a trading system, I would call a trading strategy. This would consist of eight parts:
- A market filter
- Set up conditions
- An entry signal
- A worst-case stop loss
- Re-entry when it is appropriate
- Profit-taking exits
- A position sizing algorithm, and
- You need multiple systems for different market conditions.
More detail you will find here- https://www.vantharp.com/trading/wha...rading-system/
MA provides the market's current direction and strength.
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