Lets look at the actual example using 3*atr(4), here is the screen of NSE stocks and Bank nifty:
BANKNIFTY Close - 11592.1000 3*Atr(4) - 62.2566
FINANTECH Close - 1007.5500 3*Atr(4) - 8.323
ZEEL Close - 189.4000 3*Atr(4) - 2.0648
Now in "simulator/backtester" if I use "percent", 62.25 will become 62.25% and it will be too much as stop loss!! and if I use as "point" it will be ok. Whereas for ZEEL, 2.0648 % looks OK. I request you to please explain, based on these numbers how actually stop loss is calculated for "percent" and "point" options, available in the simulator.
Here I would like to inform you that strategy with 3*atr(4) as "percent" option is positive and in the "Trades" if I look under "Perf" I see 3.88% as max negative value.
Trading financial instruments, including foreign exchange on margin, carries a high level of risk and is not suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in financial instruments or foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading and seek advice from an independent financial advisor if you have any doubts.
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