Once events exist, the classifier still needs a target that matches how the long–short book actually exits. A fixed five-day sign label answers a different question from a stop-and-take-profit exit. This note adapts the labelling decisions in labels and overlapping outcomes — fixed-horizon versus first-barrier targets, horizon choice and overlap — without inventing barrier equations the vault does not derive.
Learning objectives. By the end of this note you should be able to:
- define a return target from feasible entry and exit references;
- choose between fixed-horizon and first-barrier labels for the event classifier;
- state what the source note establishes about path dependence and OHLC ambiguity;
- freeze a label contract for the running fixture.
In this lesson
- What the vault establishes (and what it does not)
- The decision: horizon versus path-aware exit
- Deliverable: label contract
Before you start
The full lesson, with worked examples and exercise solutions, is for members.
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