TM Econometric Trader is extremely simple to use. You only need to concern three trading parameters including:
- Trend Period: Typical Trend period
- Take Profit in pips: Take profit target. Mostly around 30 pips to 80 pips for major currency pairs (Otherwise, start around 1 standard deviation of typical range of the instrument.)
- Stop Loss in pips: Stop loss target. Mostly around 30 pips to 80 pips (Otherwise, start around 1 standard deviation of typical range of the instrument.)
Above three trading parameters can have the direct impacts in your actual trading results and the impact will be shown directly in the built in backtesting panel too for your information. Therefore, you need to maximize your profit and minimize your loss in the backtesting first before you actually use the signal generated from TM Econometric Trader for your live trading. TM Econometric Traders is best usable for H1, H4 and D1 timeframe. You may apply TM Econometric Trader to smaller timeframe like M5 or M15 but use your judgement based on its backtesting results. Although the backtesting results does not concern the trail stop loss, we recommend using trail stop loss when your trades have meet sufficient profit. Do not attempt trail stop when the gain is just 1 or 2 pips, then they will just results in loss from the typical market fluctuations. This is often observed by starters and junior traders. Knowledge of support resistance level might be used to improve your trail stop.