Trailing stop based on ATR
Allow the exit strategy to reference an ATR-based trailing stop so the stop distance adapts to volatility instead of a fixed percent.
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3 replies
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DrawdownDave· Aug 2026 ago
+1 from me, mostly because my fixed 5% stop has been shaken out of the same name three times on normal noise and then I watched it run without me. Not saying ATR would've saved me, I'd probably just pick the wrong multiplier and get chopped up slower.
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MomoQueen· Aug 2026 ago
yes please!! 2x or 3x ATR on a 14 period is basically the standard and it beats a flat % on anything that actually moves. would love to see the multiplier be an input though, not hardcoded!
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Sign in to reply →Supportive, with one condition: if the stop distance is going to move around, position size has to be calculated off that distance, not off a flat share count. Otherwise on a wide-ATR day you're quietly risking triple what you think you are. Risk per trade first, then stop, then size, in that order, every time.