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Value at Risk Indicator
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Author:  UrsusBovarius [ Sat Oct 19, 2013 4:29 am ]
Post subject:  Value at Risk Indicator

Does someone know of a Empty4 "value at risk" indicator to evaluate the risk level for a given Forex portfolio? I have some ideas about coding one for position sizing and making decisions in a multi-currency EA, but don't want to waste my time if something like this already exists. Check out http://en.wikipedia.org/wiki/Value_at_risk if you are not familiar with it.
Author:  shayanjameel08 [ Fri Oct 25, 2013 7:12 am ]
Post subject:  Re: Value at Risk Indicator

Here Comes the methods of Calculating VAR:
Institutional investors use VAR to evaluate portfolio risk, but in this introduction we will use it to evaluate the risk of a single index that trades like a stock: the Nasdaq 100 Index, which trades under the ticker QQQQ. The QQQQ is a very popular index of the largest non-financial stocks that trade on the Nasdaq exchange.

There are three methods of calculating VAR: the historical method, the variance-covariance method and the Monte Carlo simulation.
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