Is the Martingale really a trading strategy, or just a ticking time bomb? - page 2

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Thomas Olof Gardling #:

I could tell you, but then I would break forum rules...


Just listen to what Sergey is telling you instead.

No problem, Tomas.. I was just asking. I'm new here, I just opened the account, it's a new ecosystem for me. I honestly don't know what can be asked and what can't. And truthfully, I didn't imagine so much hassle, it seems like there's a very fine line between what's allowed and what's stupid.  
Promoting is paying for ads so that people interested in buying come in and buy. Not posting a note among other colleagues who do the same as you, and it sounds pretty impossible that they would buy the same thing you sell haha... but well, there's people for everything in this world haha.
 
A stable martingale system needs a large amount of capital and gives very slow growth. 

Any martingale system which grows the capital quickly will end up draining the account in the long term due to the exponential increase in risk when the market moves against you. 
 
Martingale isn't even a strategy, it's just position sizing on steroids. The edge still has to come from the entries. Problem is the math: every time you double, you cut the chance of blowing up on THAT step but multiply what the final loss costs. Run it long enough and the bad streak isn't a risk, it's just a matter of when. Only version I've seen survive is capped grids, hard equity stop, withdraw profits regularly. You're basically renting variance. Works until the day it doesn't, and that day takes everything back with interest.
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