Trailing Engulfer

Trailing Engulfer is a price action strategy that uses trailing orders that makes use of any timeframe although shorter timeframes are typically used with price action trading. due to it being price action related, there are some differences needed when trading with different assets. This strategy is recommended to be used for stocks and futures only although it can be used on others. There are two specific inputs that pertain to futures: trailing trigger and trailing offset. Futures price changes in ticks and tick values are supposed to be used here, whereas the percentage fields are primarily for stocks.

Inputs:

• Futures: Trailing Trigger - used for futures only and the value represents the number of ticks you wish for a trailing order to enter. For example: if set to 4 ticks, the trailing stop will not be created until after 4 ticks of profit has been reached.
  
• Futures: Trailing Offset - used for futures only and the value represents the number of ticks you wish the stop to trail the price. For example: if set trigger is set to 4 and offset is set to 3, then the trailing stop order will be created once a profit of 4 ticks has been reached and the trailing stop will be 3 ticks against you.
  
• Max Loss (%) - used for stocks only and the value represents the maximum loss you are willing to take in case the trailing stop hasn't yet been made. For example: you wish the trailing stop to be created once it has made 1% profit. If it never reaches that, it will close at this Max Loss value.
  
• Trailing Trigger (%) - used for stocks only. It works similar to the futures trigger other than the fact that it uses % rather than ticks.
  
• Trailing Offset (%) - used for stocks only. It works similar to the futures trigger offset other than the fact that it uses % rather than ticks.
  

Futures also have a "Max Loss" but it is not user defined. For futures, the max loss is not based on a tick loss but rather entirely on the asset's price action.
Futures also makes use of shorting.