@
@wizzy
OO already does a pretty good job of figuring out the max. loss on a trade (and uses that to determine 'margin required').
By simply inverting the position, it would be relatively easy to use the same algorithm to calculate the max. profit of a trade.
Given that mid-NBBO sometimes gives values which are ahem implausible (and most brokers, most of the time, won't give an 'impossible' fill even in vol spikes) how about ...
  • toggle to 'cap profits at max. profit'
  • toggle to 'cap loss at max. loss'
This will improve the robustness of backtesting, and may be welcomed by many:
  • for debit butterfly trades (4 complex legs) it will not give spurious bonus fills (if 'cap profits at max. is _ON_)
  • for DCs, a user can turn OFF 'cap loss at max. loss', and then Alpha can at least see a mid-NBBO value for his deep ITM DCs ...
The current implementation is:
  • cap profits OFF
  • cap losses ON
... I would suggest that, for simplicity - if the upgrade is implemented - both are either on or off
Better Backtesting -> More Trust In Results -> More Success Live Trading