Thoughts/opinions on averaging/martingale strategies?
The problem with grid/martingale on a margin account is the terrible utilisation of margin. Nobody ever seems to taker this in to consideration. You start with a tiny lot, reserve margin in case the trade goes against you. The risk would be lower and the profit higher if you would start with bigger lot and close the position when no longer valid. This off course requires a sound strategy.
Effectively grid/martingale is a sign of incompetence. When one can not come up with something sound. The strategy is not profitable, put on some grid/martingale and it gives the delusion of profit.
Hedging, grid trading, same as Martingale.
Martingale, Hedging and Grid : MHG - General - MQL5 programming forum (2016)
Martingale, guaranteed to blow your account eventually. If your strategy is not profitable without, it is definitely not profitable with.
Martingale vs. Non Martingale (Simplified RoR vs Profit and the Illusions) - MQL5 programming forum (2015)
Why it won't work:
Calculate Loss from Lot Pips - MQL5 programming forum (2017)
THIS Trading Strategy is a LIE... I took 100,000 TRADES with the Martingale Strategy - YouTube (2020)
Hi everyone,
I am curious to know what everyone's thoughts are on averaging/martingale-related strategies... and if you trade/traded this method, what was your experience like and do you have any ideas that can improve performance and risk, and why?
I trade with an EA and utilise an equity protector, trailing stop loss, control the maximum number of grid trades, and other customisable options from pip step, pip step exponent, lot size, and lot size exponent.
It would be interesting to hear other's thoughts on this topic. Thank you in advance for reading this new topic and any input is valued.
Alec
I usually do not like it that much, I just keep a low risk Martingale turned on whenever I don't see any opportunities in the market just so that the account "stays working".
Some martingale EAs do actually kinda make a good amount of profit, though using it for a while isn't really recommended, even for the ones I published myself.
Usually, I suggest just using Martingale a little to up your account a bit and withdraw your original balance, then trade only wih your profits, turning it off during news events.
Personnally, I believe Martingale can be very profitable if correctly managed.
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Hi everyone,
I am curious to know what everyone's thoughts are on averaging/martingale-related strategies... and if you trade/traded this method, what was your experience like and do you have any ideas that can improve performance and risk, and why?
I trade with an EA and utilise an equity protector, trailing stop loss, control the maximum number of grid trades, and other customisable options from pip step, pip step exponent, lot size, and lot size exponent.
It would be interesting to hear other's thoughts on this topic. Thank you in advance for reading this new topic and any input is valued.
Alec