Stop loss at the low of previous candle

[raviucla]

Hi,
Total newbie here. How can I write code that when I go long, I can have the stop loss automatically be placed when the current bar closes below the low of the previous candle. So for example, a long entry is taken at 9:32 a.m. eastern time. If at 9:40 a.m. eastern, we close below the 9:30 a.m.-9:34 a.m. candle, we exit that long entry as a trailing stop loss.

Thanks!

 

[rad14733]

@raviucla The only way to accomplish setting StopLoss at or below the close of the previous candle automatically would be through the use of a Conditional Order, which is an advanced method that requires an understanding of Thinkscript... The code itself is relatively simple (easy for me to say) and is somewhat subjective to how Thinkorswim works...

# For long exit. Reverse the math logic for short exit.
close crosses below low[1]

The code above is the simple answer... But . . . . There is a difference between a confirmed signal and one which may be false... The code above will trigger as soon as your criteria is met which may or may not get you to where you want to be... A confirmed trigger would wait for the current candle to close and only then trigger at the instant the new candle opens... For this reason the following code waits for positive confirmation, even if it triggers a bit later...

# For long exit. Reverse the math logic for short exit.
close[1] crosses below low[2]

All that being said, I would suggest watching YouTube videos for "conditional orders in thinkorswim" to gain a complete understanding of how to code and use Conditional Orders... It is beyond the scope of this topic to give a step by step because a full understanding is required rather than a detailed example... We're trading with real money and the concepts of Conditional Orders does not function properly in either PaperMoney or OnDemand trading...

I hope this helps... As I said, this is an advanced concept so you there is a learning curve... Good luck...!!!

 

[MerryDay]

Hi,
Total newbie here. How can I write code that when I go long, I can have the stop loss automatically be placed when the current bar closes below the low of the previous candle. So for example, a long entry is taken at 9:32 a.m. eastern time. If at 9:40 a.m. eastern, we close below the 9:30 a.m.-9:34 a.m. candle, we exit that long entry as a trailing stop loss.

Thanks!

@rad14733 has provided you the correct syntax.
Here is how to test and write your conditional order:
https://usethinkscript.com/threads/answers-to-commonly-asked-questions.6006/#post-80482