Can I close most recent position that will factor in original balance and (negative equity) from open positions in drawdown?? (Round 3)

[fxbam]

I haven't given up yet. You can tell from the title that this is a challenging task. I need to find a way to to close all trades when TP is hit and end up with a percentage gain.

1. If only 1 trade open and hits TP then it closes in profit and waits for the next entry.
2. If 1st trade doesn't hit TP and triggers 2, 3,4, I will have 5 open positions. This means 4 of them will be in drawdown. If the 5th one hits TP it should close all trades.
3. When closing all trades it should factor in the original balance and the and the negative equity from the option position(s).
4. When this happen my goal is have a percentage gain on the account. So, the lot size with each new position will depend on the original balance, the current drawdown on equity, and the percentage target when the trades close.

There must be a way to do this. Please help solve this puzzle.

[jstap]

@fxbam Why don't you just have all running trades close when equity is reached?

[fxbam]

@jstap the problem is it would be difficult to get a move big enough to cover to cover the equity and still be profitable. This can work some of the times but if the price trends in one direction for a considerable time I will run the risk of severe drawdown.

[jstap]

@fxbam Ok not sure I get your logic if 1 or 100 trades reach 1% it's still a total gain of 1%

[fxbam]

You're right, 1% is still 1%. The issue is how do I achieve that? This is easy to figure out if it's one trade is opened, hits target, then closes. The problem is when the trade doesn't hit TP and stays open. All of a sudden I have another trade open, and another, and another. Each one of them could be in a different location on the chart. So, how does the new trade that opened factor in the (-equity) drawdown and give me that 1% gain if it hits TP and closes all trades?

[ambrogio]

@fxbam I don't think I can help you but, just to understand each other well, I'll take a picture, is that an example of what you want to achieve?

[fxbam]

@ambrogio When you are looking at that image you can see how each sell position is the perfect distance from the last one. Mine won't be like that. You are correct about the equity and starting balance. Let's say the new trade opens up and the current drawdown (Equity $8,000) is $2,000. So, the idea is if the new trade that opened up hits TP it will close all positions and give me 1% more than the original $10,000 balance that I started with. I don't know exactly where the next open position will be, so I'm trying to avoid just putting in any lot size hoping to cover it all. Doing this would likely cause me to add additional risk on my account and will reduce the number of positions I can have in drawdown at the same time. If I can be more accurate with my entries and lot sizes it will allow me to have more positions open and be able to deal with the negative equity longer.

[fxbam]

@ambrogio There must be a way to use these blocks to make this happen. I'm just not sure how to do that. (Equity - Balance and Equity + Balance +1%.) I've been trying to make sense of this. The answer must be in this but I haven't figured it out yet.

[jstap]

Equity => balance adjusted to +1% close, this will take into count all running trades.

[ambrogio]

@fxbam so if there are more than one trade, each new trade has to calculate like i did in the picture? I repeat from the start that I won't be able to help you, probably @jstap and @roar can

[fxbam]

@ambrogio yes that is right.

[fxbam]

@jstap is this what you are saying?

[jstap]

@fxbam No +1%

[roar]

Ok, so the math exam question is this: we have multiple positions with varying sizes, with varying TP levels. Calculate what the total profit is when price moves to point x.

This is an average open price calculation, with the assumption that all trades close at the same point (=some trades dont close before others). To calculate average open price, weight each open price with the trades proportion of total lot size, then sum up the weighted open prices.

When we handle this calculation, its easy to insert the final trade into the equation.

[fxbam]

@roar does this mean there is a way to do this?

[fxbam]

Here is someone last year trying to solve the same thing I'm trying to do. https://fxdreema.com/forum/topic/14914/same-tp-multiple-trades

[ambrogio]

@fxbam i found this https://fxdreema.com/forum/topic/15869/target-fixing

[fxbam]

@ambrogio do you know if they were able to make it work?

[roar]

@fxbam yes, there is way. First step is the average open price calculation. This is how to do that:
https://fxdreema.com/shared/HvAUS7jNd