Structure First, Risk Budget Second
A calculated stop is derived from a predefined numerical distance. A technical stop is anchored to market structure: an extremum, breakout tail, level or other point whose violation changes the setup.
Engineering model
The source material favors the technical stop when it can be placed near the entry and still remain inside the permitted risk. It also warns against replacing a structurally valid stop with an arbitrary shorter stop simply because the original distance exceeds the risk allowance.
A robust bot should therefore calculate both concepts separately. STRUCTURAL_STOP answers where the idea is invalidated. RISK_BUDGET answers how much money may be lost. POSITION_SIZE is the variable that should normally reconcile those two constraints.
Connected FX Nova modules
Educational software-engineering material. Trading concepts derived from the source framework are presented as models and heuristics, not guaranteed market laws or investment advice.