Game of inches – DAX

I have decided to create a special TAG for the type of trades, which do not fullfill my criteria precisely and I decide not to enter only to see your position hitting your target. The purpose of this TAG is not to cry and feel pitty for myself, but to evaluate. Should I have taken that trade next time it appears?

Here is one from today. A trade in DAX. I was waiting for the short the highs of this multiday DAX range. The market pushed the price to this area and the resistence held. Not to the point, but it did held. So what now. Now I want to see a correction and reattack the previous high. DAX is slowly moving higher, yeap, thats what I want to see. Now I want to see DAX stoping highest at the 70%-80% retracement of this first drop. Check. It is there. I have my position ready. DAX is starting to move down and just few points from my entry stops. Then it reattack the previous high and surpass it. Suddenly, I do not like the ENTRY structure and I am outcancelling the order only to see my target to be hit in a matter of an hour.

So what would you do? Would you cancel the position or keep it on?