Line Break and Stops

[jrtrader]

I'm planning to run a strategy on 5min 3 line break data with 1% stops from entry. What exactly happens if your position gets stopped out with no subsequent bar drawn? After another bar is drawn will the strategy still show an open position even though there was a stop out with no bar drawn? Does my question make sense?

[NinjaTrader_Bertrand]

Hi jrtrader, thanks for the post - I guess I'm not completely following, if you're stopped out of the position then you would be flat generally, it would not matter how the underlyling bar was built, the stop order is a realtime order filled from the Level1 data of your connection.

[jrtrader]

Thanks. I guess I need to run the strategy in real time and see how everything plays out.

[NinjaTrader_Bertrand]

Yes, or use our Market Replay for best accuracy testing those more advanced types.

http://www.ninjatrader.com/support/helpGuides/nt7/market_replay.htm?zoom_highlightsub=Market%2BReplay

[jrtrader]

Another question. Will the strategy calculate at the end of 5 minutes or will it calculate at the end of an actual closed bar. Since on a 3 line break chart a bar may not be closed at the end of 5 minutes.

[NinjaTrader_PatrickH]

Hello jrtrader,

Thank you for your response.

Technically the LineBreak will calculate on the close of the 5 minute bar but the strategy will calculate on the close of the LineBreak bar.