A trade goes against you: what do you do?

[breakout]

hello,

I usually trade intraday pullbacks among other strategies. when I enter a trade one of the following scenarios take place:

1. trade turns green right away
2. trade hovers around my entry price
3. trade turns red big time and it later hits my stop

I've been thinking that I might be better off exiting the trade immediately if it starts going against me right away as it would eventually hit my stop anyway. Thus, resulting in a bigger loss. what are your thoughts on this? how do you handle this situation?

[kerahc]

Originally Posted by breakout

hello,

I usually trade intraday pullbacks among other strategies. when I enter a trade one of the following scenarios take place:

1. trade turns green right away
2. trade hovers around my entry price
3. trade turns red big time and it later hits my stop

I've been thinking that I might be better off exiting the trade immediately if it starts going against me right away as it would eventually hit my stop anyway. Thus, resulting in a bigger loss. what are your thoughts on this? how do you handle this situation?

How do you pick your entry points?

[Soverus Khan]

Originally Posted by breakout

hello,

I usually trade intraday pullbacks among other strategies. when I enter a trade one of the following scenarios take place:

1. trade turns green right away
2. trade hovers around my entry price
3. trade turns red big time and it later hits my stop

I've been thinking that I might be better off exiting the trade immediately if it starts going against me right away as it would eventually hit my stop anyway. Thus, resulting in a bigger loss. what are your thoughts on this? how do you handle this situation?

Maybe try waiting for confirmation before entering? That is easier said than done in many cases.

As long as you give the trade a little room to breath, you should not have to exit prior to the stop. If the stop was placed with accuracy. Again, easier said than done.

[junkone]

get out of the trade and look for a new one.
its like, if you get hit by a truck, next time, watch out. dont walk in front of a moving truck