Hello TradeSmith Family,

We hope your week has been going well. It’s been an exciting time here at TradeSmith. Our team attended the Trader’s Expo in Las Vegas. And, we hosted an exciting webinar to debut the latest exciting enhancements to Ideas by TradeSmith 2.0.

Before we get started, if you weren’t able to watch the webinar live, you can still watch a completely free replay to see all the exciting features we’ve added and upgraded.

Today, we’ll answer a burning question we hear all the time about TradeStops and show you how you can use one of the new Ideas enhancements as a part of the solution.


The Risk Rebalancer in TradeStops is a great resource for taking equal risk per position in your portfolio. But, as you work with it, you may notice that sometimes it will add shares to positions that are stopped out based on our Stock State Indicator (SSI).

This happens because the Risk Rebalancer focuses on the Volatility Quotient (VQ). It uses the VQ to determine how you can take equal risk per position. So, if a red position has a lower VQ than a green position, the red position would have shares added to it.

There is a way to work around this, though. When you are in the Risk Rebalancer, there is an advanced options area.

risk rebalancer pointing out the advanced options

If you click this advanced options link, you can tell the Risk Rebalancer to exclude any positions that have been stopped out.

Risk Rebalancer showing the advanced option clicked

With this option selected, the red positions will not be included in your results. In fact, the share sizes will be allocated to non-stopped out positions. But, since you’ve opted to exclude positions with a lower VQ, there is potential here to increase the overall volatility of your portfolio.

So what can you do about that? Luckily, our new and improved tools in Ideas by TradeSmith are here to help!

Ideas by TradeSmith

There have been a lot of updates to Ideas by TradeSmith that we will cover over the next few weeks. But today, we’re going to talk about the Ideas Filter located inside the Newsletter center, which can help you decide how to offset those red positions that have stopped out in TradeStops.

You can access the Ideas Filter from within the Newsletter area. All you need to do to activate it is click to select it.

newsletter area showing the Ideas filter

When enabled, the Ideas Filter removes all positions that are in the red and yellow zones (along with the gray zone). Additionally, it removes any positions with an average VQ over 40% and trading at a loss since SSI Entry.

This filter is a great way to find positions that are performing well and that are not stopped out based on our algorithms. You can then go back to your TradeStops account and click “Add Position” in the Risk Rebalancer to rebalance your portfolio using one or more of the new positions you’ve just found.

Bulletin Board

We hope that you’re enjoying the updates to Ideas by TradeSmith. There’s a lot to learn, so make sure to check out our Knowledge Base. It can really help!

Speaking of help — our latest editorial covers a strategy to help you plan ahead for the worst case scenario for your portfolio. You can read more here.

If you’re looking for some portfolio-level education, make sure to register for Tom Meyer and Marina Stroud’s upcoming webinar. They’ll cover what to do with your portfolio during a volatile market. The event starts Nov. 28 at 1 p.m. ET. Here’s the link to register.

On the crypto front, we’re always happy to provide you with education. If you’re subscribed to Crypto by TradeSmith, make sure to access the Blog on TradeSmith University. It’s chock-full of great educational pieces on what’s new and happening in the crypto markets.

Signing off

As always, our Insider Updates are designed to help you in optimizing your experience with our suite of tools. As we mentioned, we’ll be covering the enhancements to Ideas by TradeSmith over the coming weeks. Make sure to stay tuned for more.

If you have any questions, feel free to reach out to us at [email protected] And, don’t hesitate to give us suggestions for future articles. We always appreciate your feedback.

Until next time,

TradeSmith Customer Success Team