Does anyone know if this type of trading can be automated on tradestation platform or other?
If a finacial instament is priced at lets say $85 and I want to be long at $85 and above, but if direction changes to below $85 I want to be short. So for example xyz is $85 and I have no idea which direction xyz is is headed, so I buy 100 shares at $85 with the anticapation of a upward movement, but if xyz is $84.99 I dont want to be long anymore and now want to automatically be short 100 xyz shares. This flip flopping of being long above $85 and short below $85 may happen many times before the price movement finally pulls away from $85, but when the price of xyz is above or below $85 I want to be in the correct position (long or short).
Thanx in advance.
Derek
p.s. - If anyone is interested this above example is one of four steps of a strategy I have thought out and trying to work out all the bugs. It works in theory , it works in back testing and it works in forward testing ( 3 months anyways), but to be realistic I need this part to be automated so I can sleep at night and to make the strategy 100% perfect. I only bring this up because I know many people are searching the internet for the holy grail trading strategy, I know I was, but ultimitly if you learn about all the different types of markets and think for your self a little out side the box but to remember to keep things simple by not over complicating something that is very basic. My strategy uses options, futures, and an ETF and the example above is a protection step of my strategy.
If a finacial instament is priced at lets say $85 and I want to be long at $85 and above, but if direction changes to below $85 I want to be short. So for example xyz is $85 and I have no idea which direction xyz is is headed, so I buy 100 shares at $85 with the anticapation of a upward movement, but if xyz is $84.99 I dont want to be long anymore and now want to automatically be short 100 xyz shares. This flip flopping of being long above $85 and short below $85 may happen many times before the price movement finally pulls away from $85, but when the price of xyz is above or below $85 I want to be in the correct position (long or short).
Thanx in advance.
Derek
p.s. - If anyone is interested this above example is one of four steps of a strategy I have thought out and trying to work out all the bugs. It works in theory , it works in back testing and it works in forward testing ( 3 months anyways), but to be realistic I need this part to be automated so I can sleep at night and to make the strategy 100% perfect. I only bring this up because I know many people are searching the internet for the holy grail trading strategy, I know I was, but ultimitly if you learn about all the different types of markets and think for your self a little out side the box but to remember to keep things simple by not over complicating something that is very basic. My strategy uses options, futures, and an ETF and the example above is a protection step of my strategy.
