Thread: 10points 3.mq4
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Old 05-08-2008, 04:30 PM
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davidke20 davidke20 is offline
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To put things simplified. Martingale is a system that I cant admit my loss in equity. So I double the stake on my next trade => Take note, I said STAKE instead of lot size. Because this has became a gamble.

The 10point3 here we're working on is not a martingale. Its called Cost Averaging. The same concept applied, but with slightly different way of delivering it. We open trade at the wrong direction, we double up the stake after certain drawdown, and HOPING the market will return our favor. When the higher stake gave return, we close off all the positions when the STAKE is averaged out. Below I gave 3 points for the troubleshooting of the current situation:

General advantage for both system:
1) Very stable equity grow
2) Can sustain for a very long time
3) I think I found the holy grail

General disadvantage for both system:
1) Until you're running out of margin to cover the next stake
2) Market goes trending, indicator not working anymore, we're stucked with the positions and dry up the margin
3) Past data doesn't represent the future of the market. I've got cheated by the past data.

To over come the issues:
1) I've started live trading with 10p3v0.02 with disabled money management, so I can stay with low stake
2) When market trending, I took a small hit, restart the stake with the smallest 0.01 lot
3) I dont even care because I'm now protected by stop loss

For the future development:
1) Remove money management, always start with low stake
2) Seek a better entry rule with least stop loss and higher take profit.
3) Reduce MULTIPLIER inorder to reduce losses and margin usage.

Agree with me?

Regards

David
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