Risk Management Mode of Chart Trading

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The Risk Management mode is enabled with pressing RadioBtn Mode RiskM.png on the Chart Trading Panel.

The Risk Management panel includes the interface showing Ask and Bid prices.
Panel Toggle BuySell Entry.png
Buy or Sell buttons work as a toggle switch. Click Buy/Sell to determine which operation you are going to do.

Entry Price Control.png — The entry price control shows and allows you to select the price of the order that will be sent.
Entry Offset AskBid Control.png — Use this control to set the offset from ask/bid.
The offset is calculated taking the current ask/bid into account (depending on the trade direction – buy or sell). If one sets the offset, the order price will be recalculated accordingly.

Entry Order Type.png
Market, Limit and Stop are the toggle switches too. They determine the type of the order that is going to be sent.

Cancel All Button.png Cancel All button cancels all pending orders.
Close Button.png After pressing the Close button, MultiCharts sends an order to close the position and the command to cancel all pending orders.
Reverse Button.png Reverse closes the current position with market order, cancels all pending orders and sends market order to open the position in opposite direction for the same number of contracts.

There are two buttons corresponding to the exit strategy – Profit Target and Stop Loss. These buttons work as a toggle switch.
Press ProfitTarget Toggle.png to protect the position with the Profit Target.
Press StopLoss Toggle.png to protect the position with the Stop Loss.

The exit strategies mode is determined by the Manual Trading Options in Preferences.

The Risk Management Mode features a table of values describing the order offset relative to the entry price in several measurement units under each exit strategy.
Volume and Exit strategy controls.png
These units are:

  • Ticks
  • Price
  • Prospective Profit and Loss expressed as a currency
  • Prospective Profit and Loss expressed as a percentage of Equity


Contracts Button.pngContracts Button
$Risk to %Risk Switch.png$Risk to %Risk Switch
Contracts, $Risk and %Risk fields serve to enter the trade size. They are connected to each other and to the Stop Loss and Profit Target offset. Once the value in one of the fields is changed, the others are recalculated correspondingly.

Send order button.png — This button sends an order in accordance with the settings. The button contains the order direction (Buy/Sell), number of contracts, Limit/Stop price, order type (Market, Limit or Stop).

Stop Loss contracts and currency calculation

Stop Loss currency and percent values are constant and can be entered in $Risk and %Risk fields manually only.
Changing the money and percent values does not change the tick value and order price. But the number of contracts one needs to buy to risk the specified amount of money at the specified stop price will be recalculated.
If one changes the stop price or tick offset, the number of contracts for the entry will be recalculated so that the specified risk value does not change significantly. Small fluctuations of the risk value are possible, but the value cannot become bigger than the one that was set manually.
StopLoss contracts and currency calculation.png

The highlighted $Risk and %Risk values are identical to the values in the table for the Stop Loss.
If the Stop Loss is disabled, $Risk and %Risk fields are not displayed.

Profit Target contracts and currency calculation

Values entered in the fields under the Profit Target button influence each other and do not affect the contracts number and risks.
Tick, Price, Prospective Profit and Loss expressed as a currency and Prospective Profit and Loss expressed as a percentage of Equity values are recalculated if any of them is changed manually.
If the number of contracts changes (manually or because of risk changes), the fixed PnL expressed as a currency does not change. The order offset will be recalculated so that the specified sum could be earned.
All unfixed values under the Profit Target and Stop Loss are calculated taking into account the current price on the chart (last price) and account equity.
ProfitTarget contracts and currency calculation.png

Note: Click on the desired field and enter the value manually to make it fixed. Fixed values are marked with bold text.