Hi,
I put a Buy Stop to buy breakouts from high of last bar.
A protective stop is attached to the Buy Stop to protect the order once the Buy
Stop is hit.
I use 30-minute bar to make decision.
Here is a case…
The previous high is 1.3050. I will buy at 1.3051. Once
entry, I will put a protective sell stop at 1.3041. I want to back test the
system.
From the 30-minute chart, the next bar has a high of
1.3090 and a low of 1.3020. Apparently, my Buy Stop is hit sometime during the
30-minute session. My planned protected stop is hit also sometime during the
same session. The price may hit my Buy Stop first and then hit my protective
stop later... Or it may hit the low of the 1.3020 first, and move all the way
up to 1.3090 where I have a good trade.
How do I know which one is hit first? The low of the bar
or the Buy Stop? Or other possibilities? How can I accurately write AFL to
track if my entry is handled accurately?
There are many possibilities inside the next 30-minute
bar, i.e. if the low is reached first, I may have a good trade; if my entry is
taken first and then the low, I will be killed somewhere. Can I accurately know
what happen inside the 30-minute bar? Do I need to use a smaller timeframe,
i.e. 1-minute?
Please give me your advice. Thank you in advance.
Clement