Protecting the system, not just a position
Individual take-profits and stops manage single trades. These knobs protect the whole system’s result — they lock in gains and cap losses across everything it holds.
The three protections
- •Roof-In (system trailing) — a trailing stop on the whole system’s profit. It arms once profit reaches a threshold (the arm %), then trails a set distance below the achieved peak (the trail %). A tighter trail locks more; a looser one lets profit keep running.
- •System stop / take — a hard floor or ceiling on the entire system’s PnL, not just one position.
- •Auto-pause on drawdown — pause the system if it draws down past a threshold, so a bad streak doesn’t compound into a bad month.
In-product example
Roof-In with arm 5% and trail 2%: once the system reaches +5%, a trailing stop follows 2% below the peak. If profit climbs to +8% and then slips to +6%, the system books rather than giving it all back.
The pitfall
Setting the trail too tight. A trail just above the pair’s normal noise books you out on every wiggle, before the move matures; too loose and you hand back most of the peak. Match the trail to how much the pair normally swings — and remember these lock profit, they do not prevent a loss. Preventing the loss is the stop-loss’s job.
Next
Add a portfolio-wide net with the account Risk Engine, and size positions deliberately in Position sizing.