Money management vs Martingale....
Apr 24, 2010 at 01:01
1,518 zobrazení
19 Replies
forex_trader_7
Členem od Aug 01, 2009
941 příspěvků
Apr 24, 2010 at 01:01
I found this recently and thought some of you might be interested.
It's one persons application of MM and a much better bet than Martingale I believe.
https://www.winnersedgetrading.com/trade-of-the-day/nytime-money-management
It's one persons application of MM and a much better bet than Martingale I believe.
https://www.winnersedgetrading.com/trade-of-the-day/nytime-money-management
Členem od Apr 11, 2010
33 příspěvků
Apr 24, 2010 at 03:57
Nice information, I think I will take into account in my own MM strategies. Would be curious to see what some of the opinions are from the long term traders on here. (I'm still getting my feet wet in forex)
forex_trader_7
Členem od Aug 01, 2009
941 příspěvků
Apr 24, 2010 at 04:27
Prof Van Tharp https://en.wikipedia.org/wiki/Van_K._Tharp also had a lot to say about this.
Basically it addresses the role of streaks on trading and how to deal with them. Increase the trades when it's going for you, decrease when you suck.
Basically it addresses the role of streaks on trading and how to deal with them. Increase the trades when it's going for you, decrease when you suck.
Členem od Oct 29, 2009
76 příspěvků
Apr 24, 2010 at 04:58
Having experiences both situation... I am still trying to find if there is a balance between money management and martingale strategies.
The idea of managing drawdown from martingale with probably hedging vs MM when trades are moving in your favour.
Is there such a thing?
The idea of managing drawdown from martingale with probably hedging vs MM when trades are moving in your favour.
Is there such a thing?
NEVER say DIE!!!
forex_trader_7
Členem od Aug 01, 2009
941 příspěvků
Apr 24, 2010 at 05:31
(Upravené Apr 24, 2010 at 05:32)
Casey read that article. In effect that is anti martingale with a limit to how much risk you add. Martingale adds to a losing streak, this adds to a winning streak...and that 's key...
forex_trader_3463
Členem od Nov 22, 2009
31 příspěvků
Apr 24, 2010 at 14:03
Thats a pretty good article and advice. I really don't think you can spend to much time on perfecting the MM style that works for you and your system. I have worked with some algorithms in my EA that decrease lot sizes when a streak of losers appear. I do think that it can keep you from getting wiped out, especialy when a robot is doing the trading
forex_trader_7
Členem od Aug 01, 2009
941 příspěvků
Apr 24, 2010 at 15:20
(Upravené Apr 24, 2010 at 15:21)
Well, one concept that i find very important is this:
If you have 100 bucks and you lose 10% you have 90 bucks. If you add 10% to 90 bucks you have 99 bucks, not 100.
If you lose 50% of 100 bucks it's 50 bucks, if you add 50% to 50 bucks, it's 75 bucks, so to break even on a 50% loss you have to make 100%.
Don't lose. Which is what that article is about, or if you're losing lose less or nothing.
If you have 100 bucks and you lose 10% you have 90 bucks. If you add 10% to 90 bucks you have 99 bucks, not 100.
If you lose 50% of 100 bucks it's 50 bucks, if you add 50% to 50 bucks, it's 75 bucks, so to break even on a 50% loss you have to make 100%.
Don't lose. Which is what that article is about, or if you're losing lose less or nothing.
Členem od Oct 02, 2011
35 příspěvků
Dec 08, 2014 at 18:12
Does Broker allow us to use Martingale in real account? Can we find in Term of Condition/Agreement or should we read in another source to make sure that martingale is allowed?
Cent account matter$
Členem od Jun 16, 2011
4 příspěvků
Dec 09, 2014 at 08:04
I don't think they put it directly but you'll see the controls they put to limit/stop it:
e.g. exness and hotforex
- leverage (they lower the leverage when your balance gets higher or during holidays and weekends - e.g. https://www.exness.com/forex/leverage or https://www.hotforex.com/en/account-types/account-comparison.html)
- Minimum volume of position (they increase the volume requirement when your account gets bigger - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
- Maximum cumulative volume of positions / Maximum Total Trade Size (Lots) (not in exness but other limit the max volume - e.g. https://www.hotforex.com/en/account-types/account-comparison.html)
- Maximum number of positions (they lower your max open positions when you have a highly leveraged account - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
- Stop out level (stop out level increases on highly leveraged accounts - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
Other brokers also do that. Those details are some that I look out for when I search for a broker. The ones that have the 'best' conditions like high leverage, no min/max on volume and open positions, and low stop out levels are usually scams based from my experience.
e.g. exness and hotforex
- leverage (they lower the leverage when your balance gets higher or during holidays and weekends - e.g. https://www.exness.com/forex/leverage or https://www.hotforex.com/en/account-types/account-comparison.html)
- Minimum volume of position (they increase the volume requirement when your account gets bigger - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
- Maximum cumulative volume of positions / Maximum Total Trade Size (Lots) (not in exness but other limit the max volume - e.g. https://www.hotforex.com/en/account-types/account-comparison.html)
- Maximum number of positions (they lower your max open positions when you have a highly leveraged account - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
- Stop out level (stop out level increases on highly leveraged accounts - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
Other brokers also do that. Those details are some that I look out for when I search for a broker. The ones that have the 'best' conditions like high leverage, no min/max on volume and open positions, and low stop out levels are usually scams based from my experience.
Členem od Dec 09, 2014
6 příspěvků
Dec 09, 2014 at 08:07
Don't using martingale, you will got blow your account.
I'm using scalping with little SL and until now is working.
I'm using scalping with little SL and until now is working.
Let us rich together, because life is not long.
Členem od Oct 02, 2011
35 příspěvků
Dec 09, 2014 at 08:16
harin posted:Would you give me those 'clues information' for Think Forex? Sory, English is my second language, so I am not aware yet about this kinds information...
I don't think they put it directly but you'll see the controls they put to limit/stop it:
e.g. exness and hotforex
- leverage (they lower the leverage when your balance gets higher or during holidays and weekends - e.g. https://www.exness.com/forex/leverage or https://www.hotforex.com/en/account-types/account-comparison.html)
- Minimum volume of position (they increase the volume requirement when your account gets bigger - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
- Maximum cumulative volume of positions / Maximum Total Trade Size (Lots) (not in exness but other limit the max volume - e.g. https://www.hotforex.com/en/account-types/account-comparison.html)
- Maximum number of positions (they lower your max open positions when you have a highly leveraged account - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
- Stop out level (stop out level increases on highly leveraged accounts - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
Other brokers also do that. Those details are some that I look out for when I search for a broker. The ones that have the 'best' conditions like high leverage, no min/max on volume and open positions, and low stop out levels are usually scams based from my experience.
Cent account matter$
Členem od Oct 02, 2011
35 příspěvků
Dec 09, 2014 at 08:20
bscalper posted:Why? is it about martingale system itself or other aspects? like broker or trading rules?
Don't using martingale, you will got blow your account.
I'm using scalping with little SL and until now is working.
Cent account matter$
Členem od Feb 22, 2011
4862 příspěvků
Dec 09, 2014 at 09:02
Elkart posted:
I found this recently and thought some of you might be interested.
It's one persons application of MM and a much better bet than Martingale I believe.
https://www.winnersedgetrading.com/trade-of-the-day/nytime-money-management
It is only useful for strategies that lose or win more trades in row.
Členem od Jun 16, 2011
4 příspěvků
Dec 09, 2014 at 11:24
PrinceFx posted:harin posted:Would you give me those 'clues information' for Think Forex? Sory, English is my second language, so I am not aware yet about this kinds information...
I don't think they put it directly but you'll see the controls they put to limit/stop it:
e.g. exness and hotforex
- leverage (they lower the leverage when your balance gets higher or during holidays and weekends - e.g. https://www.exness.com/forex/leverage or https://www.hotforex.com/en/account-types/account-comparison.html)
- Minimum volume of position (they increase the volume requirement when your account gets bigger - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
- Maximum cumulative volume of positions / Maximum Total Trade Size (Lots) (not in exness but other limit the max volume - e.g. https://www.hotforex.com/en/account-types/account-comparison.html)
- Maximum number of positions (they lower your max open positions when you have a highly leveraged account - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
- Stop out level (stop out level increases on highly leveraged accounts - e.g. https://www.exness.com/register or https://www.hotforex.com/en/account-types/account-comparison.html)
Other brokers also do that. Those details are some that I look out for when I search for a broker. The ones that have the 'best' conditions like high leverage, no min/max on volume and open positions, and low stop out levels are usually scams based from my experience.
it looks like it's not on one page, probably on the user agreement, but you can find some info here:
https://www.thinkforex.com/markets/contract-specifications
https://www.thinkforex.com/why-thinkforex/regulation/margin-call-policy
https://www.thinkforex.com/trading-platforms/trading-account-types
Členem od Oct 02, 2011
35 příspěvků
Dec 09, 2014 at 11:58
Thank you Harin
Cent account matter$
Členem od Dec 09, 2014
6 příspěvků
Dec 09, 2014 at 19:08
good result...
Let us rich together, because life is not long.
forex_trader_191821
Členem od May 23, 2014
12 příspěvků
Dec 10, 2014 at 13:33
IMO martingale is a trading system that is not based on analyze of market, it's like gamble. So it's better to invest funds to PAMM manager that uses a good trading system based on analyze.
But it's only IMO.😄
But it's only IMO.😄
Členem od Jan 29, 2015
12 příspěvků
Feb 02, 2015 at 20:26
martingale is a very risky method of investing. The main idea behind the Martingale system is that statistically you cannot lose all the time, and therefore you should increase the amount allocated in investments--even if they are declining in value--in anticipation of a future increase.
The Martingale system is commonly compared to betting in a casino. When a gambler using this method loses, he or she doubles his or her bet. By repeatedly doubling the bet when he or she loses, the gambler will (in theory) eventually even out with a win. Of course, this is assuming the gambler has an unlimited supply of money to bet with.
The Martingale system is commonly compared to betting in a casino. When a gambler using this method loses, he or she doubles his or her bet. By repeatedly doubling the bet when he or she loses, the gambler will (in theory) eventually even out with a win. Of course, this is assuming the gambler has an unlimited supply of money to bet with.
Členem od Jan 27, 2015
1 příspěvků
Feb 03, 2015 at 08:04
fx_book posted:
When a gambler using this method loses, he or she doubles his or her bet. By repeatedly doubling the bet when he or she loses, the gambler will (in theory) eventually even out with a win.
And the reality is that, suppose he starts with a $1 bet, after 8 losses his next bet will risk $512. If he wins the whole episode has won him $1, if he loses he has lost $1022. Nice r/r.
forex_trader_202879
Členem od Aug 07, 2014
406 příspěvků
Feb 03, 2015 at 15:54
fx_book posted:
martingale is a very risky method of investing. The main idea behind the Martingale system is that statistically you cannot lose all the time, and therefore you should increase the amount allocated in investments--even if they are declining in value--in anticipation of a future increase.
The Martingale system is commonly compared to betting in a casino. When a gambler using this method loses, he or she doubles his or her bet. By repeatedly doubling the bet when he or she loses, the gambler will (in theory) eventually even out with a win. Of course, this is assuming the gambler has an unlimited supply of money to bet with.
Very well sad. The crazy thing about martingale and forex is that many people say that martingale is a 'system', when it isn't. When you are in a casino, it is your system, but in forex it isn't. Say you have any one given system, and you believe it to be accurate enough where as you don't experience more then 5 straight losses. Why wouldn't you use martingale with such an accurate system?Simply using martingale in trading while taking bias entries will more then likely end up in a quick margin call.
Recommendation is to find a very accurate trading system with a very small avg Pip-drawdown, and use martingale with such system.
*Komerční použití a spam nebudou tolerovány a mohou vést ke zrušení účtu.
Tip: Zveřejněním adresy URL obrázku /služby YouTube se automaticky vloží do vašeho příspěvku!
Tip: Zadejte znak @, abyste automaticky vyplnili jméno uživatele, který se účastní této diskuse.
