Different Optimaization results with same parameters

[kassaindia]

I ran an optimization with the top 30 results being thrown up to me. I found that in 2 results all parameters were same except for the profit target. In such a case since only the profit target was different the number of trades under each set of parameter must be same. It is not so they are different, could you help as to what could be the reason for this difference in number of trades.

[NinjaTrader_Jason]

Hello Kassaindia,

The same value for 'Profit Factor' does not mean the same amount of trades occurred. The same profit factor can be achieved using less trades but a higher profit per trade.

[kassaindia]

Thnaks but what i mean was the following:

When I ran the optimization one set of of parameters that was thrown up was

Profit target : 1.5%, Stol loss 1.5 %, MA- 20 with the number of trades being 100 and net profit being 1500

The second set that was thrown up was:

Profit target : 1%, Stol loss 1.5 %, MA- 20 with the number of trades being 120 and net profit being 1200

My question is if only the profit target is different how can the number of trades be different because the entry conditions are the same.

Thanks

[NinjaTrader_Jason]

Unfortunately, I am not familiar with custom strategies that can be optimized as per the profit target and stop loss.

I suggest to compare the Trades-tab of both optimizations to analyze the difference.

Could it be 'set 2' contains more trades, since it uses a smaller profit target. The same trade closes in 'set 2' earlier than in 'set 1', since a larger profit target is used. This will take set 1 more time to finish each trade, which explains less trades in total?

[kassaindia]

thanks for the support !

[-Swig-]

Kassaindia,

It's not necessarily the case that the number of trades must be equal because only the profit targets differ.

To expand on what Jason said: if you have a limit on the number of entries per direction (I think by default it is 1), your strategy won't be able to enter any new positions once the limit is reached until you close an existing position. Thus with a larger profit target (i.e. your trades last longer), there's a good chance you'll take fewer entries.


-Swig-