# Trade Management ## Overview The **Trade Management** settings allow you to customize how trades are managed after they are opened. These controls are crucial for managing risk, securing profits, and improving trade outcomes across different market conditions. This feature includes standard exit methods like **Take Profit**, **Stop Loss**, and **Trailing Stops**, as well as advanced options like **Signal-Based Exits**, and **Martingale** position sizing strategy.
## Settings You can configure the following settings to control how your strategy exits trades. ### **Take Profit Settings** Take Profit (TP) defines the level at which a position is automatically closed to secure profits. You can set multiple TP levels to exit a trade in parts. | Setting | Description | Options / Recommended | | --------------------------- | ------------------------------------------------------------------------------ | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | | **Take Profit Method** | Determines how the take profit level is calculated. | | | **Take Profit Value** | The size or multiplier used for the take profit calculation. | | | **# of Take Profit Levels** | Specifies how many take profit targets to set for closing a position in parts. | | ### **Stop Loss Settings** Stop Loss (SL) protects your capital by closing a trade when the price moves against you and reaches a specified loss threshold. | Setting | Description | Options / Recommended | | -------------------- | -------------------------------------------------------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | | **Stop Loss Method** | Determines how the stop loss level is calculated. | | | **Stop Loss Value** | The distance or multiplier used for the stop loss calculation. | | ### **Trailing Stop Settings** A Trailing Stop is a dynamic stop loss that moves in the direction of a profitable trade, helping to lock in gains while giving the position room to grow. | Setting | Description | Options / Recommended | | ------------------------ | -------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | | **Trailing Stop Method** | Determines how the trailing stop distance is calculated. | | | **Trailing Stop Value** | The distance or multiplier used for the trailing stop. | | ### **Signal-Based Exits** These settings allow you to use opposing strategy signals as a reason to exit a trade. | Setting | Description | | ------------------ | ------------------------------------------------------------------------------------------------------------------------ | | Signal Take Profit | When enabled, an opposing strategy signal will trigger a take profit exit, but only if the trade is currently in profit. | | Signal Stop Loss | When enabled, an opposing strategy signal will trigger a stop loss exit, but only if the trade is currently at a loss. | ### **Martingale Settings** The Martingale strategy is a high-risk approach that increases position size after a losing trade to recover losses more quickly on a subsequent winning trade. | Setting | Description | Range / Recommended | | ------------------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------- | | **Martingale** | Enables or disables the Martingale position sizing strategy. | | | **Max Martingale Steps** | The maximum number of consecutive losses after which the position size will stop increasing. The size will be capped at the last step's multiplied value. | | | **Martingale Multiplier** | The factor by which the position size is multiplied after each losing trade. A value of 2.0 will double the size. | | ### **Display Settings** | Setting | Description | | ------------------------ | ------------------------------------------------------------------------------------- | | **Show Previous Trades** | Toggles the display of historical trades and their exit points directly on the chart. | ## Best Practices & Usage * **Adapt to Market Volatility:** For markets with high volatility, using the ATR method for your Stop Loss and Take Profit can be more effective, as it automatically adjusts to changing market conditions. * **Secure Profits Gradually:** Use multiple Take Profit Levels (e.g., 2 or 3) to lock in partial profits as the trade moves in your favor. This can help reduce risk and secure gains on longer trends. * **Start Simple:** Begin by using the standard Take Profit and Stop Loss settings to establish a performance baseline. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.lunefi.com/automated-tradingview-trading-strategies/lune-automated-strategies/lune-vertex/trade-management.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.