Help with re-entering after stop is Hit

[shadow]

Eh all, hope things are good! I’m a medium term trader, but have tight stops (8 pips for EUR/GBP, 18 for EUR/JPY). Anyways they are great to conserve capital, however sometimes they tend to get hit, and due to the fact that with medium term you lose more then you win, I need help. I was wondering about entering again after the stop’s hit and goes in your favour or to pyramid winners. Most people advise that you wait for a dip before re-entering, but it seems as though on the good trends they are quite linear, and the dips are not significant moves so entering conditions are lacking. I was hoping someone had a good technique to enter in linear conditions. I�ll tell ya there is nothing worse than a stop hit and it going back in your favour, geez I feel castrated every time. I mean running, the stress ball, and heavy bag only do so much. Anyways hope for some feedback, Thanks for the time and stay cool eh!
Best to ya,
Brett

[topgun]

I feel your pain. I had a few trades this week that missed my TP by a few pips and reversed to hit my SL. I also had some that hit my stop exactly and reversed all the way up the what would have been my TP. I can use some advice too but many people say don’t use even numbers for your stops. In other words don’t place your stops at 00, 10, 20, 50, 000, … levels because those have a much better chance of being hit than odd numbers. Good luck to you and to us all!

Topgun

Eh all, hope things are good! I’m a medium term trader, but have tight stops (8 pips for EUR/GBP, 18 for EUR/JPY). Anyways they are great to conserve capital, however sometimes they tend to get hit, and due to the fact that with medium term you lose more then you win, I need help. I was wondering about entering again after the stop’s hit and goes in your favour or to pyramid winners. Most people advise that you wait for a dip before re-entering, but it seems as though on the good trends they are quite linear, and the dips are not significant moves so entering conditions are lacking. I was hoping someone had a good technique to enter in linear conditions. I’ll tell ya there is nothing worse than a stop hit and it going back in your favour, geez I feel castrated every time. I mean running, the stress ball, and heavy bag only do so much. Anyways hope for some feedback, Thanks for the time and stay cool eh!
Best to ya,
Brett

[rhodytrader]

I’m a medium term trader, but have tight stops (8 pips for EUR/GBP, 18 for EUR/JPY).

The first thing I would say is that your stops are way too close for your timeframe. You almost guarantee getting them hit if you are in a position for more than maybe 30 minutes. That’s why your win % is lower than it would be trading shorter-term.

Unless your trading strategy is designed with specific pip stops built in, you shouldn’t be thinking in terms of having fixed stops like that. You should be setting your stops based on a point where your trade is proven wrong, then adjust your position size to make it fit your per trade acceptable risk level.

In terms of getting back in once stopped out, basically my strategy is to buy/sell again when the market tells me that I was right about the direction.