partial-profit-taking

Name: partial-profit-taking
Author: SKE-Labs

15stars2forks

How to install partial-profit-taking?

ske-labs/agent-trading-skills/partial-profit-taking

$npx -y skills add SKE-Labs/agent-trading-skills --skill partial-profit-taking

Installs into the current project.

Summary

Design and test partial-exit schedules against a single-exit baseline. Use when calculating weighted R outcomes, residual risk, target/stop order mechanics, fees, and partial-fill behavior.

Files · 1

View on GitHub

SKILL.md

1	# Partial Profit Taking
2
3	Scaling out changes the payoff distribution. It can reduce variance and regret, but may lower expectancy and adds orders, fees, and partial-fill risk. Select it only against an identical-signal single-exit baseline.
4
5	## Scaling Strategies
6
7	### 1. Fixed Thirds
8
9	- 1/3 at Target 1, 1/3 at Target 2, 1/3 runner (trailing stop)
10
11	### 2. Half-and-Half
12
13	- 50% at Target 1, 50% runner (trailing stop)
14
15	### 3. Pyramiding Out
16
17	- 25% at 1R, 25% at 2R, 25% at 3R, 25% runner
18
19	### 4. Single Exit Baseline
20
21	- Exit the full position using one predeclared target, time stop, or trailing rule. Treat it as the baseline, not a conviction choice.
22
23	## Target Setting
24
25	\| Exit \| Level \|
26	\| -------- \| ------------------------ \|
27	\| Target 1..n \| Predeclared structural, time, or R-multiple exits \|
28	\| Runner \| Precisely defined trailing or time exit \|
29
30	Weights must sum to the executable quantity after lot-size rounding. Compute net R for every branch, including fees/slippage; taking 1R on part of a position does not "cover risk" on the remainder automatically.
31
32	## Stop Management After Partials
33
34	After each partial exit:
35
36	1. Recalculate remaining quantity, open risk, and portfolio risk after each fill.
37	2. Move the stop only according to the pretested schedule; breakeven is not risk-free after gaps, spread, and fees.
38	3. Handle rejected/partial target orders, stop quantity replacement, and overfill/race conditions explicitly.
39
40	## Workflow
41
42	Example -- Long entry at $100, stop at $95 (risk $5):
43
44	Assume 99 shares to make exact thirds and ignore costs only for this arithmetic example:
45
46	\| Action \| Price \| Shares exited \| Realized profit \|
47	\| --- \| --- \| --- \| --- \|
48	\| Exit first third \| $105 \| 33 \| $165 \|
49	\| Exit second third \| $110 \| 33 \| $330 \|
50	\| Runner stopped \| $108 \| 33 \| $264 \|
51	\| Total \| -- \| 99 \| $759 = 1.53R \|
52
53	Initial risk was `99 × $5 = $495`. Real implementation must subtract costs and model stop slippage.
54
55	## Tradeoffs
56
57	Pros: Reduces psychological pressure, locks in partial profit, allows runners without stress.
58
59	Cons: Reduces total profit if the move continues, more complex execution, must pre-plan levels.
60
61	## Evidence and Validation
62
63	- Treat the setup as a testable hypothesis, not a prediction. Define thresholds, entry, invalidation, and exit before evaluating outcomes.
64	- Calibrate on the same instrument, venue, session, and timeframe. Use closed candles and a held-out or walk-forward sample; record every variant tried.
65	- Include spread, fees, slippage, borrow or funding, partial fills, and latency. Reject the setup when net expectancy is not positive or depends on one narrow parameter.
66	- Return observed inputs, missing data, cost assumptions, entry, invalidation, exit, and a valid, watch, or no-trade status.
67	- Research basis: Partial exits change the payoff distribution; compare them with a single-exit baseline on identical signals. [Backtest-overfitting research](https://escholarship.org/uc/item/9tq3327h) explains why choosing the best scale-out schedule after many trials creates false discoveries.
68
69	## Key Rules
70
71	- NEVER decide scale-out levels during a trade -- pre-define them before entry
72	- Do not change stops merely because a partial filled; follow the tested schedule.
73	- Choose limit versus marketable orders from the fill/price tradeoff; limits are not guaranteed.
74	- Define runner exit, time limit, and stop quantity before entry.
75	- Compare net expectancy, drawdown, tail loss, turnover, and capacity with a single-exit baseline.
76
77	## Related Skills
78
79	- trailing-stop -- manages the runner position after partial exits
80	- risk-reward-ratio -- partial targets are set at R:R milestones (1R, 2R, 3R)

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partial-profit-taking

15stars2forks

View on GitHub

How to install partial-profit-taking?

ske-labs/agent-trading-skills/partial-profit-taking

$npx -y skills add SKE-Labs/agent-trading-skills --skill partial-profit-taking

Installs into the current project.

Summary

Design and test partial-exit schedules against a single-exit baseline. Use when calculating weighted R outcomes, residual risk, target/stop order mechanics, fees, and partial-fill behavior.

Files · 1

View on GitHub

SKILL.md

1	# Partial Profit Taking
2
3	Scaling out changes the payoff distribution. It can reduce variance and regret, but may lower expectancy and adds orders, fees, and partial-fill risk. Select it only against an identical-signal single-exit baseline.
4
5	## Scaling Strategies
6
7	### 1. Fixed Thirds
8
9	- 1/3 at Target 1, 1/3 at Target 2, 1/3 runner (trailing stop)
10
11	### 2. Half-and-Half
12
13	- 50% at Target 1, 50% runner (trailing stop)
14
15	### 3. Pyramiding Out
16
17	- 25% at 1R, 25% at 2R, 25% at 3R, 25% runner
18
19	### 4. Single Exit Baseline
20
21	- Exit the full position using one predeclared target, time stop, or trailing rule. Treat it as the baseline, not a conviction choice.
22
23	## Target Setting
24
25	\| Exit \| Level \|
26	\| -------- \| ------------------------ \|
27	\| Target 1..n \| Predeclared structural, time, or R-multiple exits \|
28	\| Runner \| Precisely defined trailing or time exit \|
29
30	Weights must sum to the executable quantity after lot-size rounding. Compute net R for every branch, including fees/slippage; taking 1R on part of a position does not "cover risk" on the remainder automatically.
31
32	## Stop Management After Partials
33
34	After each partial exit:
35
36	1. Recalculate remaining quantity, open risk, and portfolio risk after each fill.
37	2. Move the stop only according to the pretested schedule; breakeven is not risk-free after gaps, spread, and fees.
38	3. Handle rejected/partial target orders, stop quantity replacement, and overfill/race conditions explicitly.
39
40	## Workflow
41
42	Example -- Long entry at $100, stop at $95 (risk $5):
43
44	Assume 99 shares to make exact thirds and ignore costs only for this arithmetic example:
45
46	\| Action \| Price \| Shares exited \| Realized profit \|
47	\| --- \| --- \| --- \| --- \|
48	\| Exit first third \| $105 \| 33 \| $165 \|
49	\| Exit second third \| $110 \| 33 \| $330 \|
50	\| Runner stopped \| $108 \| 33 \| $264 \|
51	\| Total \| -- \| 99 \| $759 = 1.53R \|
52
53	Initial risk was `99 × $5 = $495`. Real implementation must subtract costs and model stop slippage.
54
55	## Tradeoffs
56
57	Pros: Reduces psychological pressure, locks in partial profit, allows runners without stress.
58
59	Cons: Reduces total profit if the move continues, more complex execution, must pre-plan levels.
60
61	## Evidence and Validation
62
63	- Treat the setup as a testable hypothesis, not a prediction. Define thresholds, entry, invalidation, and exit before evaluating outcomes.
64	- Calibrate on the same instrument, venue, session, and timeframe. Use closed candles and a held-out or walk-forward sample; record every variant tried.
65	- Include spread, fees, slippage, borrow or funding, partial fills, and latency. Reject the setup when net expectancy is not positive or depends on one narrow parameter.
66	- Return observed inputs, missing data, cost assumptions, entry, invalidation, exit, and a valid, watch, or no-trade status.
67	- Research basis: Partial exits change the payoff distribution; compare them with a single-exit baseline on identical signals. [Backtest-overfitting research](https://escholarship.org/uc/item/9tq3327h) explains why choosing the best scale-out schedule after many trials creates false discoveries.
68
69	## Key Rules
70
71	- NEVER decide scale-out levels during a trade -- pre-define them before entry
72	- Do not change stops merely because a partial filled; follow the tested schedule.
73	- Choose limit versus marketable orders from the fill/price tradeoff; limits are not guaranteed.
74	- Define runner exit, time limit, and stop quantity before entry.
75	- Compare net expectancy, drawdown, tail loss, turnover, and capacity with a single-exit baseline.
76
77	## Related Skills
78
79	- trailing-stop -- manages the runner position after partial exits
80	- risk-reward-ratio -- partial targets are set at R:R milestones (1R, 2R, 3R)

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6 picks

Type