PROTECTED SOURCE SCRIPT
Add funds simulator
Updated
This script is intended to help understanding better and practice how to exit DCA deals that are in negative.
Multiple factors factors are relevant when trying to exit a bad deal:
This scripts allows you to enter all these parameters visualising them all together in a single chart.
The RSI exit strategy
You can then make use of a simple exit strategy based on RSI.
The strategy will trigger entries where you are planning to add funds.
The chart will show you based on all this information how much funds you would have required to exit in profit and rescue the deal in green.
It will also flag if the exit strategy would have failed by plotting a red label indicating all the times where the TP wouldn't have been reached.
Comments
Adding funds to a red deal and making it worst is one of the worst nightmares of traders using dollar-cost-average strategies.
I hope this script can help you visualise better and practice adding funds in a safe chart before ever jumping into real-money!
If you guys like this script we can add more features in the future, just leave a comment if you have new ideas.
Multiple factors factors are relevant when trying to exit a bad deal:
- How much funds are invested
- What's the current average position price
- How far the price has already dropped from that average
- Is the price bouncing significantly and frequently to the upside providing multiple opportunities to exit or is it still a free-falling knife dumping heavy?
- What are your TP % expectations
This scripts allows you to enter all these parameters visualising them all together in a single chart.
The RSI exit strategy
You can then make use of a simple exit strategy based on RSI.
The strategy will trigger entries where you are planning to add funds.
The chart will show you based on all this information how much funds you would have required to exit in profit and rescue the deal in green.
It will also flag if the exit strategy would have failed by plotting a red label indicating all the times where the TP wouldn't have been reached.
Comments
Adding funds to a red deal and making it worst is one of the worst nightmares of traders using dollar-cost-average strategies.
I hope this script can help you visualise better and practice adding funds in a safe chart before ever jumping into real-money!
If you guys like this script we can add more features in the future, just leave a comment if you have new ideas.
Release Notes
Fix for chart not displaying when timeframe was higher than 15 minutes. 
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thetradingparrot.com
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