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Friction-sized triple-barrier exits with a vertical time stop — prerequisite-gated on the Phase 10 re-measurement #342

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@eaitbrahim

Research brief B-2 from the 2026-08-17 scout, filed as implementation tracking. Prerequisite-gated on the Phase 10 re-measurement (#339), same rationale and same honest prior (the null) as #341.

Triple-barrier exit with a vertical time stop, barriers sized to friction: keel's per-kind exits are already stop/target/signal; what is genuinely new is (i) a holding-duration exit no kind has, (ii) barrier distances as explicit multiples of round-trip friction rather than ATR/structure multiples, and (iii) the label-balance grid method for choosing the vertical barrier. Evidence: Grądzki et al. 2025 (24-period vertical barrier + ±2.5–5% barriers beat next-bar labeling; vol-adjusted barriers did NOT help); arXiv 2504.02249 (Korean stocks 2006–2024, vertical barrier grid-searched 5–29 days for label balance — no costs modeled; label balance is not P&L); Alvarez 2019 (keel's shape — indicator OR N-day time stop at next open — is the industry baseline; the limit-order half that helped there is unavailable to keel's market fills).

keel-specific weaknesses to design against: the source's 2.5–5% barriers sit at or below keel's 2.5% round trip — mechanically dead until scaled several-fold; the time-stop leg IS executable under market fills ("sell at close after N bars"); per-kind stops already swept flat; #259's per-product slippage now prices thin books up to 50bp, which the barrier sizing must incorporate.

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