NO. My target is NOT 2 pips. Yes, SL is max 7 pips. I was ill the other day ( still got the flu ) and I was just grabbing 2 pips because I could. But what I do is what jjrvat teaches. Don't let my tools fool you. I am doing EXACLTY what jjrvat spells out in pages 1 - 3. I scalp off the 1 min and/or the 5 min.
I am quite familiar with KISS -- being a software engineer, it is one of my primary tenants. However, I have found this particular rule to not so much be a corollary, or sub-rule, but rather equivalent to any other exit strategy and was simply wondering if TRO had any experience with it.
I always tell traders to KEEP IT SIMPLE. Come to think of it, I tell my bandmates the same thing...LOL! But I am really not sure what you are asking me.
When I think of traders not applying the KISS paradigm, I think of them beginning with a simple trading algorithm that develops complexity due to their acknowledgment of less probable patterns -- adding layers of sub-rules to identify lower probability trades. Ignoring KISS is adding neural networks to a simple moving average system to identify a rare chart pattern. You would, most likely, be better off splitting these into two separate systems. I find myself, however, looking at this specific rule as a more common rule: reversion to the mean. I find myself tossing the idea back and forth between splitting this into another system all its own, or using it as an equivalent rule within my primary system. So my question was, did you find that this rule provided equivalently important signals to your overall design, or was it simply identifying low probability events that hindered the overall system performance? All the best, Corey