CHECKPOINTSFOREX MONEY MANAGEMENT TOOL

in-depth view for forex tool #3
You are currently viewing the in-depth page for "Checkpoints" forex money management tool

This is the main money management tool in the kit, once a new forex trading cycle is activated and money management rules are recieved, it will be responsible for all money management activities and calculations throughout the whole trading cycle.

The tool keeps track of the active checkpoint standing, and provides 4 different perspectives for the active trading cycle, helping users evaluate their current situation with ease and reliability at all times.

Trading consistency should be the main goal of any trader, and this tool is the main key for consistency. It spares the user all the complex calculations while providing data and visual representation for the current standing.

This page will cover everything regarding this tool in details, covering the data flow from/to the tool, the 4 perspectives, and the tool's contents and structure. All screenshots used will show just the part of the tool being explained, a native screenshot for the tool as a whole can be viewed/saved using the link above.

TOOL's DATA FLOW

The below illustration details the type of data flow between this tool and all the other tools that are affected by its calculations, to see the bigger picture for the whole toolkit's data flow please check this illustration.

Detailed data flow from/to "Checkpoints" forex money management tool

detailed data flow from/to "Checkpoints" forex money management tool

The is is the main tool for money management, it is responsible for proactive money management throughout the life span of a forex trading cycle. It recieves the trading rules only once at the beginning of a trading cycle from either "Step-by-Step" or "Custom Plan" tools when a new trading cycle is activated. It will do the main calculations at the beginning of each new checkpoint, sending the outputs to the trading tools in the kit through "Active Trades" tool.

Both this tool and "Active Trades" tool will keep communicating back and forth at each new checkpoint till the trading cycle is finished either normally at the last planned checkpoint or by being closed or discarded earlier than planned.

Closing a plan will result in saving various data (cycle's setup, cycle's output, and cycle's details), that were collected throughout the cycle. Please check "Trading Cycles" tool to see the trading cycle used for demonstrating the tool after closure. Discarding a plan will permentatly delete any data for the current cycle and the toolkit will not have an active plan.

THE 4 PERSPECTIVES

helping you know your exact standing
The 4 perspectives provided for forex trading cycles

the 4 perspectives provided for forex trading cycles

Active trading is always the main focus of any forex trader, but it shouldn't be the "only concern", a successful trader monitors and evaluates his performance throughout any forex trading cycle on regular planned basis.

This tool provides four different perspectives to help traders stay on top of their trading status with ease. Starting with the narrowest perspective which is the active checkpoint, and ending with the broadest and most important perspective which is the briefcase status.

TOOL'S CONTENTS & STRUCTURE

In-depth demonstration for the 5 sections of the tool

This tool consists of 5 main sections covering the forex trading cycle's setup and the 4 different perspectives for money management. 1: trading cycle's rules which is the set of rules for the active trading cycle, 2: "active checkpoint" perspective where all the information regarding the active checkpoint are shown in addition to the controls to close a checkpoint, 3: "completed checkpoints" perspective showing all the information for closed checkpoints, 4: "trading cycle" perspective where all information regarding the target of the trading cycle are shown, and 5: "briefcase status" perspective which shows information for the absolute standing compared to the initial trading balance, in addition to the controls for closing or discarding the trading cycle.

To demonstrate the tool, all the screenshots below are taken right before closing checkpoint #9.

1: TRADING CYCLE'S SETUP

"Checkpoints" forex money management tool in-depth: trading cycle's rules

trading cycle's rules

This part is a reference for the rules controlling the active forex trading cycle, and the values used at the time of creating it.

  • Originator: tool used to create the trading cycle.
  • CP count: total checkpoints planned for trading.
  • CP benchmark: profit benchmark per checkpoint (target curve).
  • Risk type: chosen risk type, either "fixed cash" or "fixed percentage".
  • Target profit: target profit in cash, and in percentage with respect to starting balance.
  • Per CP profit: target profit per checkpoint in cash and percentage.
  • Per CP loss: sustainable loss per checkpoint in cash and percentage.
  • Win/Loss: win/loss factor, this is only shown when originator is "Step-by-Step".

2: "ACTIVE CHECKPOINT" PERSPECTIVE

"Checkpoints" forex money management tool in-depth: active checkpoint perspective - dashboard

active checkpoint perspective - dashboard

This first part of this perspective is a dashboard consisting of three main parts, detailed below.

CHECKPOINT #

This part shows the starting balance for the active checkpoint, in addition to it's thresholds in terms of cash and percentage for both profit and loss. The mini chart shows a visual representation for closing balance and thresholds for the most recent 9 checkpoints, in addition to thresholds of the active checkpoint.

STATUS

This part shows the total trades for the active checkpoint (closed or active trades), in addition to the count of winning and loosing closed trades.

TRADES STANDING

This part is responsible for monitoring and closing checkpoints. "Trades standing" shows the current standing for the active checkpoint as recieved from "Active Trades" tool. "Close checkpoint" have a drop down menu with four options, the first is the checkpoint's standing as recieved, second is "profit amount" which enables direct entry of the amount of cash earned, third is "loss amount" which enables direct entry of the amount of cash lost, and the last is "New balance" which enables direct entry of the closing balance for the active checkpoint. "Closure balance" will show the final balance that will be used to close the checkpoint as per the choice and entries made before. And lastly, "close active cp" button will close the active checkpoint and start a new one when clicked.

"Checkpoints" forex money management tool in-depth: active checkpoint perspective - tabular data

active checkpoint perspective - tabular data

The second part of this perspective is tabular data showing the opening balance and thresholds for the current and previous checkpoints, in addition to the closure balance of all the previous checkpoints.

3: "COMPLETED CHECKPOINTS" PERSPECTIVE

"Checkpoints" forex money management tool in-depth: completed checkpoints perspective - dashboard

completed checkpoints perspective - dashboard

The first part of this perspective is a dashboard that consists of two panels, in addition to "delete last CP" button which will permentatly delete the last closed checkpoint.

COMPLETED CHECKPOINTS STATUS

Shows the total number of closed checkpoints during the active cycle, detailing how many of them were winners and how many were loosers, it also shows the win/loss ratio.

COMPLETED TRADES STATUS

Shows the total number of closed trades during the active cycle, detailing how many of them were winners and how many were loosers, and it shows the win/loss ratio. If checkpoints are used for single trades, this factor will always be the same as checkpoint's w/l factor. while if the trading cycle involves checkpoints with multiple trades, having both factors can greatly help users study their performance more thoroughly.

"Checkpoints" forex money management tool in-depth: completed checkpoints perspective - tabular data

completed checkpoints perspective - tabular data

The second part of this perspective is tabular data showing the total win or loss in both cash and percentage for each completed checkpoint with respect to its own opening balance.

4: "TRADING CYCLE" PERSPECTIVE

"Checkpoints" forex money management tool in-depth: trading cycle perspective - dashboard

trading cycle perspective - dashboard

The first part of this perspective is a dashboard that compares the last closed checkpoint's balance to the target benchmark balance for that checkpoint, giving information for the amount in cash above or below the target.

The chart visually represents the most recent 9 checkpoints and the target benchmark line.

"Checkpoints" forex money management tool in-depth: trading cycle perspective - tabular data

trading cycle perspective - tabular data

The second part of this perspective is tabular data showing the target balance benchmark for each completed checkpoint, and the difference between that balance and the actual checkpoint's closing balance.

5: "BRIEFCASE STATUS" PERSPECTIVE

"Checkpoints" forex money management tool in-depth: briefcase status perspective - dashboard

briefcase status perspective - dashboard

The first part of this perspective is a dashboard showing the current standing in terms of total cash won or lost, and the percentage of that cash compared to the initial trading balance for this forex trading cycle. It also contains two bars that visually represents progress towards the cycle's target or maximum sustainable loss.

The chart visually represents the most recent 9 checkpoints and the breakeven line.

The "close plan" button will save the active trading cycle into "Trading Cycles" history tool, while "discard plan" will permentatly delete the active trading cycle. Doing either action, will disable this tool and let all trading and harmonic tools act as standalone tools till a new trading cycle is activated.

"Checkpoints" forex money management tool in-depth: briefcase status perspective - tabular data

briefcase status perspective - tabular data

The second part of this perspective is tabular data showing the briefcase standing at the end of each checkpoint, and the percentage of that standing compared to the initial trading balance for this forex trading cycle.