Fixed Amount with ATR Risk - Money Management Strategy
The Fixed Amount with ATR Risk strategy allows you to invest using a fixed amount of money per trade. The strategy’s inputs are: Round Contracts, Maximum Contracts, Fixed Amount, ATR Multiplier and ATR Lookback. Parameter Round Contracts allows rounding to the closest down.
Example
If Round Contracts = 10 and the number of contracts to purchase was calculated as 27, then the number of contracts purchased will be 20. To avoid rounding make Round Contracts=1. ATR Lookback is the number of bars used to calculate ATR. The Fixed Amount is divided by ATR calculated over the ATR Lookback *ATR Multiplier and the resulted number rounded down is the final number of shares/contracts for the trade.