Page 1 of 5 123 ... LastLast
Results 1 to 10 of 45
  1. #1
    Rookie Member Vdubus's Avatar

    Money Management $10 - $5k in 10 Trades / One Trading session !!!

    Ok this is my own personal money management strategy.
    It can be applied to any trading strategy or time frame you wish. I've shared this with everybody in support of changing the mental approach to trading. It takes practice and time to master but if you can, it will change you life literally over night. It doesn't matter whether you buy and sell cars or trade the market one day a week, the rules are the same and can be manipulated & best configured to suit your style of trading. This is my own personal breakdown of how I trade Binary Options.

    10 Trades
    -----------
    1/ $10 win $18
    2/ $18 win $34
    3/ $34 win $62 = 6/1 Risk reward buys you 6 x $10 attempts to win another 3 .
    -------
    4/ $62 win $114
    5/ $114 win $210
    6/ $210 win $389 = 6/1 Risk reward buys you 6 x $62 attempts to win another 6 / or 38 x $10 attempts.
    -------
    7/ $389 win $719
    8/ $719 win $1328
    9/ $1328 win $2456 = 6/1 Risk reward buys you 6 x $389 attempts to win another 6 / or 245 x $10 attempts.
    -------
    10/ $2456 win $4543 = 454/1 Risk reward buys you $454 x $10 attempts to win another 10.

    If you lose start again. You will only ever lose your initial investment = $10.
    If you struggle to compound all 10 trades ( and you will ) break it down say to lots of three as shown.
    Build up a solid equity foundation, then move up a level.
    Once you have reach your desired maximum target, simply repeat the last few trades always starting from a lower value meaning you risk less & win more.
    DO NOT compound your losing trades - Please do NOT Martingale / DOUBLE YOUR WINNINGS NOT YOUR LOSSES
    Example of an average trading session :-
    Attached Thumbnails Attached Thumbnails 2576171_orig.jpg  
    Last edited by Vdubus; 08-13-2015 at 03:55 PM.

  2. Thanks khyangg, witrakor, Davey Blueeyes, alfoong thanked this post
  3. #2
    Legendry Member Okane's Avatar
    Very interesting . Thanks for sharing.
    Live Webinar: Hidden Content
    Join My Skype Group: Hidden Content

  4. #3
    Rookie Member Vdubus's Avatar
    np Okane, hope it can help a few ppl.

  5. #4
    Senior Member grindtime's Avatar
    It is interesting.. And I was recently looking over a scam bot site , but their "algorithmic risk management" if that's what you want to call it is interesting if applied manually considering you have a win rate of around 62% or higher, the chances of you losing 3-4 trades in a row get less likely with each trade. ( If you have a 63% win rate , than crunching numbers if you had consecutive losses , your odds of a win increase after a couple "consecutive losses" This image is not a Martingale , but has a somewhat similar style to it.. I attached the image to give you an idea of what I'm talking about, and I think it could be tweaked and adjusted and if applied properly could give traders with a positive win rate of around 60% an edge to maximize returns.. ( Than again everything in my post is theoretical and should probably be disregarded )

    Click image for larger version. 

Name:	how_it_works2.jpg 
Views:	956 
Size:	58.8 KB 
ID:	3530
    Last edited by grindtime; 08-13-2015 at 05:45 PM.

  6. #5
    Rookie Member Vdubus's Avatar
    Thanks grindtime interesting. I think you algorithmic is logical, but the problem is the BOT it's self. I we could remove our selves out of the equation an instruct a Robot to do this strategy it would work & work well but for what reason, it's totally illogical?
    Let me show you-

    Martingale example- 2 losing trades $10, $20 ,$40 win = $80 total risk = $70 win $10
    No matter how many times you do it you only ever win you initial investment risk $70 to win $10 ?

    My way - 3 winning trades $10, $20 ,$40 = $80 total risk = $10 win $70
    My way - 3 losing trades $10, $10 ,$10 = $30 total risk = $30 you still have another 3 trades in hand to win $10 to match the Martingale or $70 if you win the next 3.

    Martingale is a flawed conspiracy devised to take all of your many 'eventually' by gambling companies such as Roulette.
    This is why I advise anybody against doing it.
    Last edited by Vdubus; 08-15-2015 at 03:44 AM.

  7. #6
    Rookie Member Davey Blueeyes's Avatar
    This is very interesting, thank you.

    So, if my maths is correct, if we assume a 50% success rate of each trade (hopefully you would be much better than this!), it's an 8/1 chance that you will get three correct in a row? So it makes sense, as you say, to build up a solid foundation before moving onto the next three.

    I'm going to try this, I'm barely hitting 60% success but I'm new so that's not too bad at this stage, onwards and upwards!

  8. #7
    Legendry Member Okane's Avatar
    Quote Originally Posted by Davey Blueeyes View Post
    This is very interesting, thank you.

    So, if my maths is correct, if we assume a 50% success rate of each trade (hopefully you would be much better than this!), it's an 8/1 chance that you will get three correct in a row? So it makes sense, as you say, to build up a solid foundation before moving onto the next three.

    I'm going to try this, I'm barely hitting 60% success but I'm new so that's not too bad at this stage, onwards and upwards!
    It's a good money management strategy but of course you first must know how to trade well
    to apply it. If you are hitting near 60% then sure it could help. However, it can be frustrating
    when you lose all the earnings and have to start all over again. If you are psychologically
    strong enough to not let that affect you then yeah, try it out. Remember that when you lose
    you start over and don't double up. (unlike Losing Martingale)
    Live Webinar: Hidden Content
    Join My Skype Group: Hidden Content

  9. #8
    Rookie Member Davey Blueeyes's Avatar
    Thanks Okane.

    I can't believe anyone would trade/gamble with Martingale, a well known strategy for failure. I guess if you spend the time building up a decent base this may work, it's a 1024/1 risk to work in one go (I think) so if you are averaging 50% success you will spend 10,240 to win 4,543 if you don't stop at the the milestones.

    It is very interesting nevertheless and worth a pop.

  10. #9
    Anonymity lover laudes's Avatar
    Wish I'd read this earlier ::: I just blew $240 using Martingale ::: I went back to 1 on 1 trades for the rest of the day ( OTC ) and made some back ::: THX for your input @vdubus

  11. #10
    Senior Member vulgartrendkill's Avatar
    I have seen so many posts on Forex forums extolling the virtues of martingale! Good job I know about it! Personally I am sticking to a 5% of balance per trade, although I may test this system on demo

    Thanks for describing your method!
    Last edited by vulgartrendkill; 06-13-2016 at 04:33 PM.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  
3