# right way to warn about a stop out

207

Hi

As far as i understand it, stopout level is a percentage of the minimal margin at which all orders are forcibly closed.

to compute the stop out here is the code:

```  int level=AccountStopoutLevel();

if (AccountStopoutMode()==0)
{
Print("StopOut = ", level, "%");
}
else
{
int d = 100*level/AccountBalance();
Print("StopOut = ", d, "%");
}   ```

Now let's suppose i have a Margin of 10.0 on a \$1000 account (1% of the capital)

the stop out level has to be multiplied by the margin ( AccountMargin()), right?

so if stop out is 60% then the stop out will close all orders if the equity falls under 10.0 * 60% = \$6  ?

is it correct?

and secondly, what is a very bad stop out level? under what amounts falls a good stopout so that it doesn't close orders too often...

thanks a lot

Jeff

15023

• You place the stop where it needs to be - where the reason for the trade is no longer valid. E.g. trading a support bounce the stop goes below the support.
• Account Balance * percent/100 = RISK = OrderLots * (|OrderOpenPrice - OrderStopLoss| * DeltaPerlot + CommissionPerLot) (Note OOP-OSL includes the SPREAD)
• Do NOT use TickValue by itself - DeltaPerlot
• You must normalize lots properly and check against min and max.
• You must also check FreeMargin to avoid stop out