Stop Loss Order Returns More Loss

Hello,

So, I started trading CL live this past week after trading sim for about 3 months.

Here is what I discovered that has cause me more losses then i expected.

1. Many times I enter a stop losss stop market order of -15ticks, but after the trade noticed I took an -15 to -19 tick loss. This didn't happen in sim mode. The extra ticks loss hurts me when trading 3 contracts and trying to stay withing a certain amount of loss per day.

2. The same with entries sometimes. I enter buy stop market to enter at 50.48 it fills at 50.47 or 50.49.

Maybe I need faster internet. Any help with this. Is this the cost of business or should I rethink my stop loss placement?

Thanks,

 

If you place your stop at a place where many others are also placing their stop (i.e. 1 tick above high of the day) a few ticks slippage is normal. This last week was also pretty wacky because of OPEC.

Who is your data feed provider and broker? I'm curious if your stops are being sent to the exchange or staying local on pc until activated.

 

Paper trading has no slippage. Getting a fill at 50.47 with a 50.48 stop is very good. If i were you, I would play smaller until you get your system working with real trading. Nothing wrong with 1 lots for a while.

 

Also for entry (not exit) you could use a stop limit where you specify how much slippage you are willing to take on entry or you pass on the trade. I trade allot of round turns a day in CL and most trades 0 or 1 tick slippage on exits. I only enter on limit orders.

 

When I do use stop orders, I use "Stop Order with Protection" on CME Direct.
http://www.cmegroup.com/confluence/...sforFuturesandOptions-StopOrderwithProtection

 

Yes this. Agreed big time. 3 lots in crude is allot for a new trader.

 

at $1000/point-yup.

 

Is there any difference beteeen regular stop orders and stops with protection?

 

Thanks algofy,

I don't understand why if many others have their stop at my entry a few ticks slippage is normal. Can you explain please? Yes, this week CL move fast/

I am trading CTS T4 platform and TopStepTrader is my broker.

 

It also depends on how your stop is set up. So 50.48 is the stop price, but there is a trigger which set. 58.48 bid or 58.48 ask or 58.48 last. So then when one of those triggers of your choosing or how the broker executes is hit your stop becomes a market order. So yeah, there could be quite a bit of slippage depending on your setting in a fast or thin market. Usually in sim a stop won't be filled even if trigger is hit until something trades.