Missed entries, leading to more missed entries

E

EMini-Player

Alright, here's a problem I'm having while trading the ES. When I miss an entry, I don't take any trade until the price returns to my initial entry point. Sometimes, I'm able to get in, and other times I miss good trades. Here's an example: this afternoon, I put in an order to buy ES at 993.50, but couldn't get filled. I left the order out there. Ask went to 993.75, and my Buy signal was still valid, so I should have just hit the Ask. But, instead I let the order sit at 993.50. While I'm thinking I should move my bid up, price moves yet another tick and is now 993.75x994.00 at which point I didn't get in simply because I "could have" gotten in at a better price and missed that trade. I think price proceeded to go up to 995.50, so it would have been an OK trade.

This is just one example. It happens pretty often in my trading. Any recommendations? I think it's a psychological issue with the thinking "I could have gotten a better price". Plus, with a better entry, it has more room to move.

One last question, how many ticks/points do you shoot for on a single trade on ES. Earlier this morning, I missed a 1.50 profit since my target was 2 pts. I ended up losing a tick since my 2 pt trailing stop got hit.

Help me out ET Brothers :)

-FastTrader
 
Your second question first: on profit taking. The answer depends on your trading method. Here's how to get the answer:
get on your simulator that uses real time data for the next
two weeks. Trade two contracts. For the first contract, use a set profit target for the whole two weeks (your initial best guess: 2 points, 3 points, whatever-- just keep it for the whole two weeks). For the second contract, hold on until you see a good reason to close it. At the end of the two weeks compare the results from the two methods.

Now your first question. All traders miss entries. The real question is, how often does it happen to you. During the two weeks keep track of how many trade you miss, the actual entry you would have gotten with a market order, and where you would have exited. Tally these missed trades and results. Compare to your actual trades.

When you see the results of all of this you'll be able to decide what to do.
 
As you are aware I am not a profitable trader but want to respond.. bored here at work

Gutsy trade to buy on that move.. was that due to a divergence signal??

I've been doing the same thing with my entries.. trying to get in at .25 better of a price.. and the result is..

The good trades.. you usually miss.. because they take off.

The bad trades you naturally get filled.. because price comes back to stop you out.. well stop me out anyway..

I'm trying to overcome the same obstacle.. and plan to just put in a market order from now on.. What are we talking.. usually a difference of $12.50 a contract.. thats not much to fret over..

Good Luck..
 
Not a bad idea Flash. That's what Jim Wychoff always says anyway. I usually do market orders just because stop limits are much more of a pain in the ass.
 
I always sell on Mkt because at times you can get slightly better fills. For example, today I got a tick better than my target on one of my ES trades on a market order :)

-FastTrader
 
Your problem is a universal one. In partcular, the ES is best traded with a view to short cycles. How short? Depends on your style.

So if you miss an entry scalping, then you need consider it a fresh market after say, 5 minutes or even less. Completely independent events, like a new day.
 
Quote from stock777:

Your problem is a universal one. In partcular, the ES is best traded with a view to short cycles. How short? Depends on your style.

So if you miss an entry scalping, then you need consider it a fresh market after say, 5 minutes or even less. Completely independent events, like a new day.
More...
Yeah, I think I have to change my perception when trading the ES, and take my Buy/Sell signals regardless of where I "could've" gotten in.

-FastTrader
 
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