Trade entry and working an order

Discussion in 'Strategy Development' started by daytraderpete, Dec 5, 2005.

  1. I'm amazed at how many traders I have met lately that only know to enter a position all at once. I feel a part of any good system includes understanding the fact that picking the exact entry point is very difficult and quite unnecessary ( if you are a trend follower).

    How do you enter your trades? What is your entry technique? I usually enter in 2 stages.
  2. If you are confident in your signal, and you aren't trading such size that you will run the market up on yourself, why wait? If you find positions going against you often, then your signal isn't very good. If it goes your way, then delaying part of your entry is simply wasting money.

    Just my opinion...

  3. One of the things I've learned thats worked well is to average into winning trades. If I go short at 1270.00 then the market must go to 1269.75 to enter a second order. For followup orders, the market must be below the average entry of the earlier orders. I always have my biggest position on when the market moves in my favor and I usually have a much smaller position on when the market reverses against me.
  4. If you tell me how to find the trend, I'll tell you how to get in.