Level-4 should be 12 lots

The lot size can also be as follows, this is better in the sense that you trade N times you win N times.

Trade 1: buy 1
Trade 2: SL 1, Sell 3
Trade 3: SL 3, Buy 7
Trade 4: SL 7, Sell 15
Trade 5: SL 15, Buy 31

SL means Stop Loss, ie. close the position with a loss. It is better to close the lost position so that you don't need to pay margin on that lots.

Wow, this thread quiet for few days, everybody busy in collecting big money?

I tried many martingale systems. All of the fail at some time and one i will end up losing all his account. Better to close and to re-evaluate situation, before entering any new trades.

Regards
Yanni
http://www.myfxreport.com
Trading for a living!

I agree: Martigale system are perfect to loose money.......even if it could work fine for short period
Money management is the key to limit losses and improve wins

I was going through some of my old readings and I found that this method of trading belongs to Eid Ponsi from FXCM I got my CDs back in 2004 from FXCM, thanks for FXOperator to bring this method here, but I think the credit should be always given to the person who created the method or at least mention his name.

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I doubt that even Ponsi was the first. I've been messing with session and box range trading for over 6 years now. I just can't remember where I first got wind of the idea...

I doubt any market trading method is totally original anymore, lol... I still think it was easier to trade 6 years ago... or maybe I am getting worse as a trader..? Crap! that idea sucks..! lol...

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I didn't know about Ed Ponsi until you've shared here. I agree with riffster that there's probably no origination. A little variation and some people claimed to be their own. We need to know however that our objective is to trade profitably, and with your sharing, I'm glad I'm on the right track.

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Look at it again, it does close every lossing trade.

Trade 1: buy 1
Trade 2: SL 1, Sell 3
Trade 3: SL 3, Buy 7
Trade 4: SL 7, Sell 15
Trade 5: SL 15, Buy 31

Martingale MM can be profitable if combine with a high % winning strategy. I don't use martingale, but TJ seems to have posted some very good winners from this MM using AHAL. It takes a lion heart to enter without much emotions on this MM though. :P

__________________
Reminiscences of a FX Operator | Fibonacci Calculator
There is no chance, no destiny, no fate, that can circumvent or hinder or control the firm resolve of a determined soul. - Ella Wheeler Wilcox