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I am new to Quant Connect need help in understanding trailing stop risk model.
Does , TrailingStopRiskManagementModel work for both long and short orders ?
If a security is shorted will this risk model be triggered to liquidate if stock starts to rise ?
Also in this line https://github.com/QuantConnect/Lean/blob/master/Algorithm.Framework/Risk/TrailingStopRiskManagementModel.py#L42
Does security.Holdings.UnrealizedProfitPercent work for short orders ?
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Varad Kabade
Hi Vikash ranjan,
Yes, the above risk management model will work for long and short positions.If we are short the model will be triggered when prices start rising
Note that it would only be triggered when the Portfolio construction model sends a portfolio target optionally, you can implement the OnSecuritiesChanged event handler inside the framework.
Best,
Varad Kabade
Vikash ranjan
The material on this website is provided for informational purposes only and does not constitute an offer to sell, a solicitation to buy, or a recommendation or endorsement for any security or strategy, nor does it constitute an offer to provide investment advisory services by QuantConnect. In addition, the material offers no opinion with respect to the suitability of any security or specific investment. QuantConnect makes no guarantees as to the accuracy or completeness of the views expressed in the website. The views are subject to change, and may have become unreliable for various reasons, including changes in market conditions or economic circumstances. All investments involve risk, including loss of principal. You should consult with an investment professional before making any investment decisions.
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