Incorrect usage of ApplyStop, was: triggering stop loss on next candle

[shibhaaggarwal]

Hi I am new to Amibroker & AFL

I am writing a code for generating buy sell & short cover signals.

Stuck on this stop loss.

my stop loss are two either 100 points or super trend whichever is lower(sell SL)/higher (buy SL). as soon as buy short signal are generated, on the next candle sell and cover are generated.

Sell = (Close < SuperTrend) OR ApplyStop(stopTypeLoss,stopModePoint,100,1,False,0,1,-1); 

Cover = (Close > supertrend) OR ApplyStop(stopTypeLoss,stopModePoint,100,1,False,0,1,-1);

PlotShapes(IIf(Sell,shapeCircle,shapeNone),colorRed,0,L,offset=60);
PlotShapes(IIf(Cover,shapeHollowCircle,shapeNone),colorGreen,0,L,offset=-60);

[Tomasz]

Your code is incorrect.

ApplyStop is NOT returning any value. ApplyStop is a switch for the backtester. It has been explained many many times:

Does Applystop send usable sell signal to IBController?

It has been written and told many times that ApplyStop is the switch for the BACKTESTER to appy the stop during backtesting. It is intended to simulate stops that are implemented at the brokerage level. Therefore it does not generate any "signals" to the outside world. Now, in Interactive Brokers, like in ANY other brokerage there are STOP and LIMIT ORDERS that implement stops AUTOMATICALLY at the level of brokerage. So you don't really need to send any signal. They "just work" once appropriate…

So it works INSIDE THE BACKTESTER and causes BACKTESTER to execute stops while BACKTEST is run.

For ApplyStop to generate exit signals you have to RUN BACKTEST.

For more information READ THE MANUAL about ApplyStop, entirely, including the comments:

http://www.amibroker.com/guide/afl/applystop.html