Z12 : expected stoploss behaviour with mean reversal trades?

Posted By: helloDeLu

Z12 : expected stoploss behaviour with mean reversal trades? - 12/29/17 17:34

Hello all
I'm running a live instance of Z12 for 4 weeks now on a GlobalPrime account.
I'm really surprised by some trades: this week, Z12 opened several mean reversal trades on USDCAD, all of them being losing trades, none of them being stopped, even when losing several hundreds of pips.

I expected a different behaviour, as mentionned in the manual in Z2 section: "all trades have rather tight stop loss limits".

I don't see any error or relevant message in the logs, so I guess this behaviour is not related to my broker. How should Z12 behave?

Thanks.
Posted By: Hredot

Re: Z12 : expected stoploss behaviour with mean reversal trades? - 12/29/17 18:16

Before live trading the Z strategies it is a good idea to thoroughly read these forums here. Several people were reporting wacky behavior of Z12 in live trading as well as backtest.

My personal observation is that all Z strategies except for Z9 more often than not are exhibiting close to random behavior which hardly can be called a "strategy". (The mods on this forum naturally will assure you of the opposite.)

Ultimately, you will have to form your own opinion, towards which, I see, you have made the first steps by posting your observations above.
Posted By: jcl

Re: Z12 : expected stoploss behaviour with mean reversal trades? - 01/02/18 09:05

The manual info was indeed outdated. The current Z12 has no particularly tight stops. Stops are volatility adapted.
Posted By: helloDeLu

Re: Z12 : expected stoploss behaviour with mean reversal trades? - 01/03/18 19:43

Ok, thank you for your answer.
Does this kind of stop work statistically better for mean reversal trades? It sounds counter intuitive to me.
Posted By: jcl

Re: Z12 : expected stoploss behaviour with mean reversal trades? - 01/04/18 12:13

Yes, it works better for almost all strategies.
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