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4 tick stop and 4 tick target: How many trades have to hit the target in order for you to be break even? Don't forget to factor in commisions and slippage.
"The days when I keep my gratitude higher than my expectations, I have really good days" RW Hubbard
Can you help answer these questions from other members on NexusFi?
Here is your situation;
Winning trades = $46 ($50 -$4 commish)
Losing trades = $54 ($50 +$4 commish)
I doubt that there is no slippage in ES.
You can close your position at target with a limit order so you won’t get any slippage there, but you can only use a stop limit or a market order to get out of a losing trade.
Stop limit is risky because you won’t get filled on a quick down move, and market orders fill at the bid. So it’s quite possible to lose a tick or more with a market order.
So in reality you will probably have a tick slippage on one out of 3 trades. (if not more)
So now your losing trades =$58 ($50 +$4 Commish + $4 slippage)
This means that you have to win 56% of the time, 17 out of the next 30 trades, to slightly break even.
"The days when I keep my gratitude higher than my expectations, I have really good days" RW Hubbard
