Trailing Take Profit
Last updated
Last updated
Trailing Take Profit (TTP) allows a trader to progressively sell his assets for profits as the price appreciates. Similar to CFDHero's Trailing Stoploss, a user can set the following TTPs:
Fixed TTP
Variable TTP
Fixed TTP allows a trader to exit a fixed percentage of the instrument bought by the bot for every fixed increase in the price level.
For example, if the Buy price is 100 USD and the Quantity of Instrument purchased is 100, the following table will illustrate exactly how much of the purchased instrument will be sold.
Fixed TTP Settings: Sell 1% of asset at every 2% above Buy Price
| Price | Qty of Instrument Sold | Balance |
|---|---|---|
101 | 0 | 100 |
102 | 1 | 99 |
104 | 1 | 98 |
Variable TTP allows a trader to exit a percentage of the holdings whenever a price level is hit. The intervals between the price levels are not the same. It is important for the trader to ensure that the total percentages for all the asset allocations to be equal to 100%.
If the exit percentage is not equal to 100%, the bot will never exit since there are remaining instruments that are not sold.
TTP allows a trader to run a dynamic yo-yo strategy. If a bot has activated TTP and encounters an entry condition again, an extra order (if set by the user) will be executed by the bot.
This interplay of buy-sell-buy-sell allows a user to run a longer strategy profitably, as long as the price appreciates in the long run.
When a new extra order is executed, the average buy price will be refreshed based on previous buy/sell orders.
A deal is considered complete only when the bot has sold all the instruments bought in previous orders.
