Snipers are highly trained marksmen who operate from concealed positions and target the most important enemy personnel to cause maximum disruption. The word sniper originated in 17th century British India referring a hunter skilled enough to hunt the elusive bird “Snipe” Hunting a Snipe is considered almost impossible due to its erratic flight pattern.
The key to Sniping is accuracy which applies to both the weapon and the shooter. The sniper must be skilled enough to accurately estimate various factors affecting the bullets trajectory. Mistakes in estimation may seriously impact the accuracy.
“Sniper Shot” is a very short term trading technique which uses the accumulated orders at a certain point to make a quick profit. The only skill required is the ability to identify a location on a chart where there are enough orders once triggered can cause a quick move of 12-15 points. In other words the target is never beyond FTA.
This is a no brainer method. A do or die task. There is no time to think analyze or manage the trade. This method can be traded as a stand alone method or in combination with other methods. We skip many breakout trades as we do not find enough space for the trade to move. This method can be utilized in such situations
The tactic differs a little. Fist you have to identify your breakout entry and the target. Ensure a minimum space of 12 points so that you can make a minimum of 10 points after commission. Now you have to place two orders (For long trade). A stop loss limit buy order for your entry and a limit sell order at the target. Just wait for the breakout to happen. If there is enough order flow as you expected you will be in profit. If the breakout is not moving as you expected, get out
If you are not very sure about a normal trade moving and suspect some opposing order flow at FTA , try it in two parts. Treat one lot as Sniper Shot to FTA and leave the other to run eliminating your risk.
But there are certain dangers. There is a very high probability of market jumping your entry order and triggering your exit. If an explosive move happens we will be in real trouble. We will end up holding a losing position.
We must be very careful to cancel the remaining orders. Otherwise these may execute at a later stage. Another problem in trading such methods is that we will end up taking these kinds of trades always. We will never let our winners run. Now regarding stops, as far as I know there is no way to place an early stop.
I have not traded the method live to assess other pros and cons. Please note that my intention is not to change the current method which works very well but to make use of this as something supportive. Think about it during the weekend and let me know your feed back