All tradescape plots use a common interface. Most of the graph options are controlled by the toolbar buttons above the graph. The left panel contains the following options:
Copy Data to Clipboard - copies all data from the tradescape to a clipboard block
List Data - opens a report containing the numeric tradescape information
Restore Defaults - resets all configuration items to the startup defaults
Backtest Engine Settings
Customize Backtest Engine - allows optional settings for backtest engine to accommodate market timing, costs, signaling, stops. etc. (Professional Edition)
Equity Plot for User-Defined Trading Signals
View Equity Curve for a Trading Signal - select a trading signal for the display of its equity curve (useful when signal point is hidden or off plot and cannot be clicked)
X-Axis Content Options
EM Model Length - use the EM (Expectation Model) length as the time horizon in the tradescape
Avg Trade Length - use the average trade length as the time horizon in the tradescape
Y-Axis Scaling Options
Default - use the default 0.7-1.2 lag fraction scaling
Expanded use a wide 0.5-1.5 lag fraction scaling that accommodates both low lag and high lag signaling algorithms
Higher Lags - use a 1.0-1.25 lag fraction scaling that shows the region where one might reasonably expect close to 100% signaling accuracy
Z-Axis Scaling Options
The following performance metrics are offers for the Z-axis variable:
RRt-Trend:Retracemen - plots the RRt surface (default)
R³-Trend:Drawdowns - plots the R³ surface
Sharpe-Trend:Volty - plots the modified Sharpe surface
Trend % - plots the robust trend surface
Trend r² - plots the trend fit r² surface
Win % - plots the win % surface
The following Z-Axis lower bound scaling options are available:
Reward>Pain - for reward-pain tradescapes, scales the Z axis so that the lower z bound is set to 1 where reward equals pain (only zones where reward exceeds pain are plotted, the default)
Reward>0 (Win) - for reward-pain tradescapes, scales the Z axis so that the lower z bound is set to 0 where reward is zero (only winning zones are plotted)
Reward>Underlying - for reward-pain tradescapes, scales the Z axis so that the lower z bound is set to the reward-pain of the buy-hold of the underlying (only zones that improve upon the underlying are plotted)
There is also an option to automatically halve the upper bound of the Z axis:
Half Upper Limit - for reward-pain tradescapes, scales the Z axis so that the upper z bound is set to half of its automatic setting. This will be an upper limit of 5 for RRt and R³ surfaces and 1.5 for Sharpe surfaces. This is especially useful for signal analyses.
Tradescape Plot Design
The X-axis of the tradescape specifies the information content in the signaling problem. The precise variable defining this information content is the time horizon defined in the EM (Expectation Model) length. A post-processing information length, the actual average trade length arising from the signaling, can also be used.
The Y-axis of the tradescape specifies the amount of lag in the signaling problem. In general, lag fractions from 0.7 to 1.2 cover many signaling algorithms.
The Z-axis of the tradescape specifies the variable of interest in the signaling optimization. We prefer RRt and this is set as the default. You can also plot R³, the Sharpe ratio, the robust Trend % or its r² coefficient of determination from the fit, or the win percentage. For reward-pain scaling, each of the three options has a very specific use and value. We set the strictest of these criteria as the default, the instance where we only plot those zones where the reward exceeds the pain.
The Reset Default Scaling in the graph toolbar can be used to automatically scale all X, Y, and Z information so that everything is plotted. To restore a specialized scaling, simply click on one of the Z-Axis or Y-Axis scaling option buttons.