Hello,
I am day trader trading the lower time frame charts using price action methods.
I am testing a strategy where I use limit orders to enter a position on a pull back to keep my risk within acceptable amounts.
Problem
I do not know when to Cancel the limit order after price does not retrace to fill the order.
Options/Solutions:
1. I thought about canceling the order after X amount of pips.
2. I thought about canceling the order after my predefined profit target is hit.
3. I thought about canceling the order after a local support or resistance is hit.
Any other options or recommendations I can consider.
I am day trader trading the lower time frame charts using price action methods.
I am testing a strategy where I use limit orders to enter a position on a pull back to keep my risk within acceptable amounts.
Problem
I do not know when to Cancel the limit order after price does not retrace to fill the order.
Options/Solutions:
1. I thought about canceling the order after X amount of pips.
2. I thought about canceling the order after my predefined profit target is hit.
3. I thought about canceling the order after a local support or resistance is hit.
Any other options or recommendations I can consider.