Re-entering after a sweep stops you out

[Shadow Trader]

You enter a long after a sweep, price takes your stop, and then rallies exactly as you predicted. It is one of the most frustrating experiences, and it tempts people to re-enter immediately at a worse price or to abandon the idea completely. A cleaner approach is to ask what the stop out told you. Often it means the first sweep was not the final one, and price took a second, deeper pool of liquidity before reversing. In that case, the structure may now provide a better entry: a new lower low swept, a fresh break of structure upward, and a retest. I allow one re-entry on a setup, but only if a new valid signal forms. I do not allow re-entry just because the market went my way afterward. I also treat the re-entry as a fresh trade with its own stop and size, not as an attempt to recover the previous loss. If the second attempt also fails, I move on and mark the setup as invalid for the day. Limiting attempts protects capital and sanity.

[FXS HongKong Scalper]

My rule is close to yours: one re-entry, only after a fresh M5 break in the original direction, and at half size. The half size matters more than it sounds. When I logged re-entries on EURUSD over a few months, the second attempt won noticeably less often than the first, so full size on it was just paying for the first stop twice.