All of the Alchemy Trailing Stop Indicators are self-adaptive and are designed to capture the majority of any substantial move in the market, while providing adequate protection in the case of a major trend change.  The Alchemy Trailing Stop Indicators use logical areas in the market to set stops.  The use of logical stops is considered one of the most critical aspects of successful trading.  

Percent Trailing Stop

Many traders set stops by risking a certain predetermined percentage of the entry price. As price continues to make new highs, in the event of a long trade, or new lows in the event of a short trade, the Percent Trailing Stop indicator will recalculate the stop based on that new high or new low made in the market. This indicator can also be used as a multi level percent profit trailing stop and it has the option of either tightening up stops or widening stops as the position profit increases.  This is a very popular stop method used by many stock traders.

Volatility Stop

A Volatility Stop is predicated on the principle that volatility in the market, to some extent, represents noise in the market. The primary idea is to determine the noise in the market and then place the stop level just outside the immediate noise in the market. The Volatility Stop uses a multiple of the volatility of the market expressed as a multiple of the average true range of the market. The Volatility Stop allows the trader to adjust the sensitivity of the market noise filter.  We include 2 separate trailing stop indicators with this trailing stop method, the Alchemy Volatility Stop and the Alchemy Auto Volatility Stop indicator, which automatically changes directions based on the market trend.

Pivot Stop

The Pivot Stop is based on identified support and resistance levels created by actual market action. A long Pivot Stop would be trailed up as new support pivots are created by market action. A short Pivot Stop is trailed down as new resistance pivots are created by the market. Support and resistance levels are used in many ways by successful traders. Using support and resistance levels as stop loss points is a logical use of the support and resistance levels concept.