Help with ATM setup. Create new template for Stop Strategy

[Gaterz]

/ES futures.

Buy 3 contracts.
2 pt stop loss
Scalp 2 contracts at 4 ticks
SL moves to breakeven
1 runner with 8 tick trailing stop
Trailing stop moves after every 2 ticks

Is this right?


E

[NinjaTrader_Marco]

Hello,

Thanks or your post.

This all looks right. You wouldn't need the Stop Strategy applied to the first target as it will be filled before the stop strategy ever triggers but otherwise sounds right. You can test this with the Sim101 account to ensure it's working as desired.

If you have any further NinjaTrader inquiries we may assist with, please don't hesitate to ask.

[tcea9]

Please explain the 5 tick profit trigger, I'm trying to understand this. Also, I noticed contracts don't actually scalp out when it reaches 4 ticks, they usually have to hit the 5th tick before it actually scalps out, what's the point of 4 ticks then?

thank you

[NinjaTrader_RyanS]

Hello,

The 5 tick profit trigger will move the stop to your break even price after 5 ticks of profit. Since the target orders are limit orders, they will only fill when that price is available in the market, so orders may not fill immediately once the limit price is reached.

Please let us know if you have any other questions.

[tcea9]

Forgive my ignorance but I thought limit orders are only placed when buying when below market price (when going long) & vise versa when going short. How are target orders limit orders? Is there any way around that? I simulated a trade today & reached my target at 4 ticks but wasn't filled & I ended up getting stopped out resulting in losing the trade.

thank you

[NinjaTrader_RyanS]

Hello,

Sell limit orders can be placed above the market price, which would be the target order of the ATM strategy when going long. . If you'd prefer to use a market order, you can expand the options by clicking 'more' in the ATM parameter window to check the box for 'MIT for profit'. This will make your target orders Market if touched orders, submitting a market order when your profit target price is reached.

Please let us know if you have any other questions.

[tcea9]

Ok, I understand. I was told to do limit orders like you were saying before but I don't understand what the benefit is. What is the normal strategy when trying to scalp out four ticks with a runner or 2 after that?

[NinjaTrader_RyanS]

Hello,

Which you use/prefer will be entirely dependent on your trading preferences/strategy. Due to compliance I can not advise any particular strategy/order type.

[tcea9]

I changed it to 'MIT for profit' & simulated a bit & noticed that it does scalp at the 4th tick but it only counts for 3 ticks (ie. i get filled at $3500.00, it touches $3501.00 but only credits me 3 ticks ($0.75). What is reason for that?

thanks

[NinjaTrader_RyanS]

Hello,

Since these are market orders, they will fill at the best available market price once your profit target is reached, which may incur slippage which is expected when using market orders.

[tcea9]

Ok, so what is the best method to use to minimize slippage and realize all 4 ticks once it hits the four tick target (not asking for a strategy)

thanks

[tcea9]

Better question: How do I insure that I'm one of the first in line to get my 4 ticks filled first?

thanks

[NinjaTrader_Heath]

Hello Tcea9,

Thank you for your reply.

However there is no way to ensure that your orders are the first filled unless they are the first order placed in the queue at that price level by the exchange.

If you would like to place an order that minimizes slippage you'll want to use a limit order, however that order is not guaranteed to fill as it will only fill at the specified price and can be skipped over during moments of high volatility. .

A market order will fill at the best available price but not necessarily at the price specified and is subject to slippage.

For more information on this please visit the link below which describes the three basic order types:

• https://ninjatrader.com/blog/3-basic...pes-explained/

We're unable to provide additional information due to regulatory laws about offering trading advice.

[tcea9]

Ok, thank you