Exit Signal
The condition that closes a position — where the profit distribution of a system is actually decided.
What it means
Exits convert open risk into realized results. The classic trio: a stop (cut what goes wrong), a target (bank what goes right), and a time exit (refuse to marry a position that does neither). Most robust intraday systems carry all three.
Exit design is where curve-fitting hides most easily — "smart" exits that dodge every historical loss usually just memorized the history. Simple exits that admit some losses tend to survive contact with live data better.
Why traders care
- The same entries with different exits can be a winning or losing system.
- Time exits cap the tail risk that stop-losses miss (halts, gaps through stops).
In a TraderWe strategy
if ProfitPct <= -2 or ProfitPct >= 4 or HoldTime >= 1800:
Sell()Stop at −2%, target at +4%, and out after 30 minutes regardless.
Related terms
Educational content, not investment advice. Engine details describe how TraderWe computes this value; other platforms may define it differently.