What trade type to use in this scenario?

[StealthM93]

Hello NT Support and fellow traders,

I am looking to place a trade that is one tick above/below the high/low of the closing candle. That is, on IsFirstTickOfBar = true and verifying my trade setup is valid, I want to put in a trade that is one tick outside the high or low of the just closed candle.

Here's an example of the scenario for a short trade (or it might be attached):


I was using a Stop Order since it was likely that the desired entry price was not hit. However, an error was generated when the price was already below the stop price. So, I tried a Short Market-if-Touched order. I'm thinking that the MIT order would work either way and it would just be entered whenever last price is the desired entry price, regardless of the direction of price movement. However, instead of getting that behavior, the MIT order acted like a limit order when price was above the desired entry price and the order was executed immediately.

Given price volatility, I don't think checking if the price is above or below and placing the appropriate order will work. By the time my machine analyzes and submits an order the reverse trade might be necessary and an error will result.

NOTE: I am using Market Replay for this testing.

So, is there a trade type that will work in this scenario?

Obviously, I could monitor price and submit a market order but that will require more coding (not a big issue) but also introduce the likelihood of more slippage.

Thank you!
Matt

[NinjaTrader_ChelseaB]

Hello Matt,

If the desired entry price is 1 tick below the low of the previous bar, you will need to know if the low of the previous bar minus 1 tick is currently above or below the current ask price.
A buy limit is placed below the current ask, a buy stop is placed above the current ask.
If the previous low minus 1 tick is below the ask, then use a buy limit order. If the previous low minus 1 tick is above the current ask, use a buy stop order.

A buy Market-If-Touched (MIT) order would be below the ask as well, just like a limit order. This a simulated order that is only submitted to the broker if and when the price is touched.

Where you have mentioned:
"Given price volatility, I don't think checking if the price is above or below and placing the appropriate order will work. "

You have to know the current price and you have to place orders with valid prices on the correct side of the market at the moment the order is submitted. An order submitted with an invalid price, on the wrong side of the current market price, will likely be rejected.

[StealthM93]

Hello Chelsea,
Thank you for the quick response and confirming the issue as I understand it. I will program a way to monitor price and submit a market order as appropriate.
Kind regards,
Matt