Your Bourse, a leading provider of technological solutions for the financial industry, has recently introduced its latest offering, the Stop-Out Plug-In. This innovative tool is designed to bring greater control and efficiency to prop trading by allowing brokers to stop out or disable accounts on the MT4 Server based on predetermined equity thresholds. With its comprehensive functionality and customizable parameters, the Stop-Out Plug-In is poised to enhance trading management and offer brokers a powerful tool to govern abusive scalper flow.
The Stop-Out Plug-In operates by continuously monitoring the equity of individual accounts on the MT4 Server. Upon installation, the plug-in assesses the first deposit amount for each account and subsequently tracks all trades executed within those accounts. It compares the current equity to specified values, known as the "negative stop-out" and "positive stop-out" parameters. Suppose the equity falls below the negative stop-out value or rises above the positive one. In that case, the plug-in takes action by closing all open positions and limit/stop orders for the respective account and disabling it. The account is then labeled with a "failed" or "passed" indicator, depending on the stop-out condition met.
The Stop-Out Plug-In allows brokers to configure different negative and positive stop-out parameters for various groups of accounts, offering greater flexibility and customization. This feature enables brokers to tailor their risk management strategies to specific trading groups, ensuring precise control over each account's performance and risk exposure.
How it works
To illustrate the practical application of the Stop-Out Plug-In, consider a scenario with two trading accounts, "Green" and "Yellow," both hosted on an MT4 server equipped with the plug-in. Assuming a negative stop-out parameter of 0.90 and a positive stop-out parameter of 1.5, any account with equity falling below 90% of the first deposit or rising above 1.5 times the first deposit will be disabled.
Suppose the "Green" account starts with an initial deposit of $100 and experiences a loss of $15, reducing its equity to $85. In this case, the Stop-Out Plug-In will promptly close all open positions for the "Green" account and disable it, changing its name to "Green - FAILED." Concurrently, the "Yellow" account, with an initial deposit of $100, sees a profit of $60, resulting in an equity of $160. The plug-in will similarly close all open positions and limit/stop orders for the "Yellow" account while changing its name to "Yellow - PASSED."
While the Stop-Out Plug-In is particularly valuable for trader contests where brokers allocate funds to trading accounts, it offers numerous benefits in other scenarios as well. One notable application is its utilization as a robust defense against scalpers. Scalpers, who aim to profit from short-term price discrepancies, can be detrimental to brokers' trading operations. By configuring the stop-out parameters appropriately, brokers can effectively deter scalpers, ensuring fair and secure trading environments.
Launching Your Bourse's Stop-Out Plug-In marks a significant advancement in prop trading technology. Its ability to automatically monitor and disable accounts based on equity thresholds empowers brokers with enhanced control, risk management, and protection against scalping activities. As the financial industry evolves, tools like the Stop-Out Plug-In play a crucial role in fostering transparent, efficient, and secure trading environments. With Your Bourse leading the charge in technological innovation, brokers can expect increased efficiency and profitability in their prop trading endeavors.
Your Bourse's Stop-Out Plug-In is an invaluable tool available to all clients, providing enhanced risk management capabilities without incurring additional costs. This versatile plug-in empowers traders with comprehensive stop-out functionality, ensuring optimal protection and minimizing potential losses.
Smooth integration into existing setups offers a seamless risk management experience tailored to each client's requirements.