Take profits in three steps, not all at once

Most strategies put their effort into entries. The Triple Profit Exit Management Strategy handles the other half of the trade. Add it to any TradeStation chart next to your entry strategy, and it manages the position from there: it scales out of winners in three steps and keeps your risk controlled with volatility-based stops.

How the three profit exits work

• Three profit levels per trade, set from the symbol's own average bar range. A volatile market gets wider targets and a quiet market tighter ones, without changing the settings.
• Exits when momentum turns. Once the trade is well in profit and the smoothed price turns against it, the strategy takes profit on every level price has reached and leaves the rest of the position working toward the higher targets.
• You choose the split. The default is about one third of the position at each level. Set your own percentages for the first two exits; the third exits whatever is left.
• Follows scale-ins. If you add to the position, the levels move with your average entry price and the exit sizes are recalculated.

Risk management included

• Range Trailing Exit: a trailing stop that tightens as the trade gains. By default it waits until the first two profit exits have filled, then trails the final piece closely to lock in more of a big move. It only ever moves in your favor.
• Range-Based Stop Loss: a stop a set number of average ranges from entry, with an optional per-bar tightening.
• Range-Based Break-Even: moves the stop to your average entry price after a set gain.
• Per-Lot Stop Loss: a dollar stop per contract, per 100 shares or per standard forex lot, so one setting works at any position size.
• TradeStation built-in exits: fixed stop loss, break-even, profit target and a five-step percent trailing stop.

Each exit has its own on/off switch and separate long and short settings.

See it on the chart

Turn on the chart display to see the three profit levels (cyan) and the active stops (magenta) drawn bar by bar while you set it up and backtest.

Built for testing and optimization

• One setting (Adjust) moves all three profit levels together, so optimization is fast and doesn't overfit as easily.
• Works on futures, stocks and forex, on intraday or daily charts.
• Runs at bar close with standard next-bar orders, so backtest results reflect how it trades live.

What you get

• The CT_Exits_Triple_Pct_v3 strategy (TradeStation ELD file)
• A customer guide (PDF) covering every input, with setup steps and optimization tips
• A video walkthrough

Requirements

• TradeStation desktop platform
• An entry strategy on the same chart. This product manages exits only and does not open trades. It manages positions opened by a strategy on that chart, not orders placed by hand.
• At least 200 bars of chart history

Trading involves substantial risk of loss. Past performance, including backtest results, does not guarantee future results.