Risk Reward Optimiser [ChartPrime]

2023년 10월 9일

█ CONCEPTS

In modern day strategy optimization there are few options when it comes to optimizing a risk reward ratio. Users frequently need to experiment and go through countless permutations in order to tweak, adjust and find optimal in their data.

Therefore we have created the Risk Reward Optimizer.

The Risk Reward Optimizer is a technical tool designed to provide traders with comprehensive insights into their trading strategies.

It offers a range of features and functionalities aimed at enhancing traders' decision-making process.

With a focus on comprehensive data, it is there to help traders quickly and efficiently locate Risk Reward optimums for inbuilt of custom strategies.

█ Internal and external Signals:
The script can optimize risk to reward ratio for any type of signals
You can utilize the following :
🔸Internal signals ➞ We have included a number of common indicators into the optimizer such as:

▫️ Aroon
▫️ AO (Awesome Oscillator)
▫️ RSI (Relative Strength Index)
▫️ MACD (Moving Average Convergence Divergence)
▫️ SuperTrend
▫️ Stochastic RSI
▫️ Stochastic
▫️ Moving averages

All these indicators have 3 conditions to generate signals :

1. Crossover
2. High Than
3. Less Than

🔸External signal

▫️ by incorporating your own indicators into the analysis. This flexibility enables you to tailor your strategy to your preferences.

◽️How to link your signal with the optimizer:
In order to be able to analysis your signal we need to read it and to do so we would need to PLOT your signal with a defined value

Pine Script®

█ Customizable Risk to Reward Ratios:
This tool allows you to test seven different customizable risk to reward ratios, helping you determine the most suitable risk-reward balance for your trading strategy. This data-driven approach takes the guesswork out of setting stop-loss and take-profit levels.


█ Comprehensive Data Analysis:

The tool provides a table displaying key metrics, including:

• Total trades
  
• Wins
  
• Losses
  
• Profit factor
  
• Win rate
  
• Profit and loss (PNL)
  

This data is essential for refining your trading strategy.

🔸 It includes a tooltip for each risk to reward ratio which gives data for the:

• Most Profitable Trade USD value
  
• Most Profitable Trade % value
  
• Most Profitable Trade Bar Index
  
• Most Profitable Trade Time (When it occurred)
  

Position and size is adjustable



█ Visual insights with histograms:
Visualize your trading performance with histograms displaying each risk to reward ratio trade space, showing total trades, wins, losses, and the ratio of profitable trades.

This visual representation helps you understand the strengths and weaknesses of your strategy.
It offers tooltips for each RR ratio with the average win and loss percentages for further analysis.



█ Dynamic Highlighting:
A drop-down menu allows you to highlight the maximum values of critical metrics such as:

• Profit factor
  
• Win rate
  
• PNL
  

for quick identification of successful setups.


█ Stop Loss Flexibility:

You can adjust stop-loss levels using three different calculation methods:

• ATR
  
• Pivot
  
• VWAP
  

This allows you to align risk-reward ratios with your preferred risk tolerance.

█ Chart Integration:
Visualize your trades directly on your price chart, with each trade displayed in a distinct color for easy tracking.

When your take-profit (TP) level is reached, the tool labels the corresponding risk-reward ratio for that specific TP, simplifying trade management.



█ Detailed Tooltips:
Tooltips provide deeper insights into your trading performance. They include information about the most profitable trade, such as the time it occurred, the bar index, and the percentage gain. Histogram tooltips also offer average win and loss percentages for further analysis.


█ Settings:







█ Code:



In summary, the Risk Reward Optimizer is a data-driven tool that offers traders the ability to optimize their risk-reward ratios, refine their strategies, and gain a deeper understanding of their trading performance. Whether you're a day trader, swing trader, or investor, this tool can help you make informed decisions and improve your trading outcomes.