fixed percent places the stop at a flat percent of the entry price. No volatility adjustment, no indicator dependency.
Shape
"stop_loss": {
"type": "fixed_pct",
"percentage": 2.0
}Params
percentage- distance as a percent of entry price.
Stop price
- Long:
entry * (1 - percentage/100) - Short:
entry * (1 + percentage/100)
Usage
- Scalp strategies where you want a tight, predictable stop.
- Symbols with stable volatility where ATR adjustment isn't worth the complexity.
- Backtests against fixed-cost models - easier to reason about.
Pitfalls
- Doesn't adapt to volatility. A 2% stop on BTC in a calm regime is generous; in a panic it'll get hit on the first wick.
- Doesn't account for entry price proximity to structure. A 2% stop placed 0.1% below a key support is functionally a 0.1% stop.