Years ago I started trading the indexes using the Profunds which only
have a closing price. With ETFs' your buys and sells are still on the close.
Would you carry say, a 2% stop on close only or intraday?
The trading model assumes that all trades are done at the close. The model
also assumes that stops occur at the close based on the closing price. I use
a 4 percent trailing stop limit and will sometimes trade intraday if I feel that
a losing position may get worse by the end of the day. You may decide to use
a smaller stop limit or a larger one based on your risk tolerance.