Saturday, August 22, 2009

Virtual order manager

Time to develop a virtual order manager.  This will potentially be useful now for the FIFO rules in the US, and also will help me to go through the thought processes needed to build one eventually in MQL5.

Although I've seen quite a few VOMs, the reason they have usually been developed is to avoid stop-hunting.  Many have the incredibly risky approach of eliminating broker stops entirely, which means you have no risk control if your internet connection or PC goes down.  Nonetheless, I should do a search for anything out there that might be useful first.

The VOM that I would like to see, or develop, goes like this:
  • Real orders at the broker reflect total position for that pair, but the VOM also maintains a virtual set of orders on the MT4/MT5 platform.  So you could be virtual long EURUSD 0.2 lots and virtual short EURUSD 0.3 lots, and the real position showing in the open orders display would be short 0.1 lots.
  • Virtual stops and virtual takeprofits are maintained as pending virtual orders in the opposite direction.
  • Maintain all the usual virtual Magic numbers and comments etc
  • Option to display virtual open prices, SLs & TPs on the chart
  • Lastly, the most important and the thing missing from most VOMs I've seen: maintain a real broker stoploss.  This will ensure that disaster protection is there, but under normal conditions should never be hit, ie shouldn't get in the way of the virtual stops.
[update 20/11/2009] a new post on Virtual Order Manager development

1 comment:

  1. I suggest that you pick the highest ranking Forex broker: eToro.

    ReplyDelete