Workaround for Rejected Orders Overnight in TradersPost
Rejected exit orders overnight can leave traders stuck in unexpected positions. Learn how to set broker-side stops, use layered exit signals, and implement fail-safe stop losses in TradersPost to prevent overnight trade failures.
One of the risks of automated trading is the potential for rejected orders, especially when trading overnight. If an exit signal fails to execute, traders may wake up to unexpected open positions, leading to losses. Here’s how to mitigate these risks and ensure your strategy accounts for potential execution failures.
Why Do Exit Orders Fail Overnight?
- TradingView may fail to send the signal. If TradingView does not trigger an alert as expected, TradersPost never receives an exit order.
- Broker execution issues. Some brokers, such as TradeStation, may reject an order due to liquidity, margin, or system outages.
- No automatic retry from TradersPost. If an order fails, TradersPost does not automatically attempt to resend it, requiring traders to take preventive measures.
How to Prevent Overnight Exit Failures
1. Use Broker-Level Stop Losses
Instead of relying solely on TradingView signals to exit positions, place stop-loss orders directly with your broker.
- A broker-side stop loss ensures that even if TradingView or TradersPost fails, your trade will still close at the defined price level.
- Some brokers support trailing stops, which adjust dynamically and protect profits.
- Crypto traders should check exchange capabilities. For example, Binance supports trailing stop orders, while some exchanges may not.
2. Layer in Multiple Exit Signals
To improve execution reliability, send multiple exit signals at different times.
- One trader reported sending an additional exit signal at the end of the candle and another at the session close as a backup.
- This redundancy helps catch missed signals and ensures that an order eventually gets sent.
3. Use a Deep Backup Stop Loss in TradersPost
You can set a fail-safe stop loss in TradersPost to act as a last resort.
- For example, if your strategy’s stop loss is 2%, you can set a 10% backup stop loss in TradersPost.
- If the TradingView exit signal fails, the deeper stop loss acts as a safety net, preventing catastrophic losses.
- When the primary exit executes, the backup stop loss is automatically canceled to avoid conflicts.
4. Test Strategies in Paper Trading
Before going live, test your setup in a paper trading account for at least two weeks.
- Simulate different market conditions to see how stop losses and exit signals behave.
- Ensure your strategy functions correctly before risking real capital.
Conclusion
Trading automation is powerful but requires built-in safeguards to protect against rejected orders. By placing broker-side stop losses, layering multiple exit signals, using a backup stop loss in TradersPost, and testing in a paper account, traders can reduce the risk of overnight trade failures and avoid waking up to unwanted positions.
