Daily Position Limit Warning
Bots have safeguards and limits that alert you when an automation encounters a warning.
Daily position limits prevent overtrading by limiting the number of positions a bot can open in a single trading day.
The “Daily position limit” warning occurs when a bot attempts to add a position that exceeds the number of new positions allowed.
You can set daily position limits in the bot’s global settings.
You can change daily position limits at any time, but the bot may open no more than ten positions in a day. There is no limit on closed positions.
Be aware that increasing the daily position limit may increase capital exposure.
Scanner automations automatically turn off once a position limit is reached and enter a dormant waiting status so that you won’t receive a position limit warning at every automation interval. You will only receive the warning if you attempt to manually open a position that violates the position limit.
You can always view the bot’s activity in the bot dashboard.
For example, the bot opened and closed one new position on this day.
Because the bot’s daily position limit is set to one, and a position has been opened, it will not open another new position on the same day even though the original position was closed.
You must increase the daily position limit to open and close multiple positions in a single trading day. You can use the total position limit to prevent the bot from overtrading.
A warning is displayed in the bot log when trying to open a new position.
You can select the automation to see precisely where the bot encountered the warning.
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Why do bots have a daily position limit?
Bots have a daily position limit for managing risk.
What does a "Daily position limit" warning mean?
A "daily position limit" warning means that a bot has reached its limit in the number of positions it can open in on one day.
How can I change my daily position limits?
You can update your daily position limits in the bot’s Settings tab.
Will I get notified if a bot runs into a daily position limit warning?
Do daily position limits in any way limit the number of positions I can close?
No, they do not. You can close any number of positions you need to in a day.
Do daily position limits only limit new positions that can be entered?
Correct, this will limit the number of new positions that can be opened in a given day.
Can I re-open a new position right away if I close an existing position and free up a position slot in my bot?
As a bot closes a position, it will free up an available position for the next run of the bot. But a position will not be closed and a new one opened within the same automation cycle.
How is a "Position" defined inside a bot?
A position is simply defined as either being long or short equities or long or short options or options spreads.