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4/26
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I mention about using martingale method in trading forex. Several people from Dukascopy community asked me how and some contradicting using martingale. In this article I will cover using martingale in a smart way to increase your profit in forex.
Using martingale in forex is based in probability theory. The more equity you have the more chances to cover your losses and be in profit.

Wikipedia: “In probability theory, a martingale is a sequence of random variables (i.e., a stochastic process) for which, at a particular time in the realized sequence, the expectation of the next value in the sequence is equal to the present observed value even given knowledge of all prior observed values.”

Martingale is popular in gambling games and widely used in games. In modern casinos they change rules to avoid martingale system. They put limits on minimum and maximum amount to bet; also they put two green fields to the roulette wheel.
Investing.com “The Martingale system is a system of investing in which the dollar value of investments continually increases after losses, or the position size increases with a lowering portfolio size. The Martingale system was introduced by French mathematic
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hrustiashka avatar

Very good article!

sharpsense avatar

well done

killer195175_reborn avatar

rashadali   I liked the article, very well written. But I did not understand one thing. Image attached.

rashadali avatar

killer195175_reborn  that should be 4$ bet. mistype. We bet $2 earlier and lost and we double next time.

Mepcuk avatar
Mepcuk 17 Aug.

Great Job

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2/26
Ranking

На форекс бытует мнение, что при достаточном капитале и использовании принципа мартингейла можно открывать сделку в любую сторону и всегда оставаться в прибыли. Суть торговли заключается в том, что вы открываете сделку в любую сторону и если цена идет против вас, то через некоторое расстояние открываете еще одну сделку в том же направлении, но с большим лотом. И так до тех пор пока не получите прибыль. Поскольку рынок постоянно находится в движении, то на первый взгляд может показаться, что принцип мартингейла является безубыточной стратегией. Так ли это на самом деле и стоит ли рисковать своими средствами попробуем разобраться в данной статье.


«Безубыточная» стратегия на форекс

Именно по этому запросу меня постоянно преследует одна на первый взгляд весьма привлекательная торговая стратегия на основе принципа мартингейла. В основе данной стратегии лежит тот факт, что цена не может долго находиться в узком коридоре, а при возникновении такой ситуации рано или поздно она выйдет из него. Нам остается лишь следовать за ценой, а если с направлением не угадали, то переворачиваемся, но с удвоенным объемом и так до тех пора, пока не выйдем в плюс. Более наглядно это видно на рисунке ниже.
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Yesa avatar
Yesa 28 May

".... считаю что мартингейл не совместим с форексом. " Может быть, нужен другой алгоритм?

Sasha_spicy avatar

Хорошо написанная статья!

mermaid avatar
mermaid 30 May

Хорошая статья.

salamandra avatar

Да, алгоритм действительно необходимо другой. Для стандартного мартина проблема в сильном ( почти безоткатном ) тренде,  для этого проблема флет.  А что если брать не фиксированные 10 пипс, а скажем прорыв дня или недели. Чем выше ТФ тем возможно надежней движение.

fts avatar
fts 22 June

Все равно люблю золотом торговать....

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5/26
Ranking
Technical analyzes and strategy is the essential for profiting from trading but not enough for being successful for a long time. Psychology is the factor that impacts our trading the most. I mentioned this in my earlier articles. We may have internal reasons or reasons from outside that impact our psychology, which in its turn impacts our trading. We can be cautious about it or not. For keeping emotion away and achieve stable profitable trading we need to build rules. In this article I will share rules that help to stay successful in trading.
“Trading is not guessing, feeling! Trading is not creativity and breaking rule! Trading is about following rule and recognizing patterns and signals!”

1st rule: Follow the rules!

This looks very simple but it is not! We all have gut feeling that guides us. Sometimes it works but mostly it does not. We tend to think that we are smarter than others and can fool others, even market. We tend to hurry and take earlier decision and then lose. If we don’t want to get surprise move and lose then we have to follow our tested and proven rules.
TIP 1: Read the rules before starting the analyzing the market and second time when you want to open a trad…
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Anton_Bustrov avatar

Good job

MR_KHALEDBADRY avatar

good job

klintons avatar
klintons 31 May

God job !

NataAzov avatar
NataAzov 1 June

Интересная статья!

AndreiLuschkov avatar

Интересно)))

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23/44
Ranking
  1. What is Martingale method ?

    A martingale is any of a class of betting strategies that originated from and were popular in 18th century France. The simplest of these strategies was designed for a game in which the gambler wins his stake if a coin comes up heads and loses it if the coin comes up tails. The strategy had the gambler double his bet after every loss, so that the first win would recover all previous losses plus win a profit equal to the original stake. The martingale strategy has been applied to roulette as well, as the probability of hitting either red or black is close to 50%.
    (source : Wikipedia)
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PrinceChoco avatar

Thank you RahmanSL :)

Natalia_Kisenko avatar

Great article!

FXRabbit avatar
FXRabbit 19 July

Interesting article!

PrinceChoco avatar

Thanks Natalia and FXRabbit

Lady_in_Red avatar

Very interesting article

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17/44
Ranking
All of us would want to be able to beat the market at its game. I set out to study the patterns of candlesticks on any currency pair and I realized that on the one minute candlestick or any time-frame of candlesticks, you will never find twenty consecutive candlesticks without having at least two candlesticks of the same color coming right after each other. I then started to think of a way to figure out how to profit from that proven fact.And the answer was, the martingale system. Yes you heard me right, the martingale system. Don't go away yet, read on and see how you can do it at the same time eliminating risk.
As you can see on the image,the market most probably continues in its direction as the famous quote says, "The trend is your friend." The probability of having two green candlesticks coming one after the other is greater than the probability of two consecutive candlesticks with different colors. When I carried out my research I realized that at most, only ten consecutive candlesticks followed the pattern red, green, red green or vice versa. That is what made me come to the conclusion of a twenty candlestick system as that pattern can never be found over twenty candlestick…
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RahmanSL avatar
RahmanSL 2 June

Good System

jertak avatar
jertak 2 June

thanks guys

mcquak avatar
mcquak 3 June

Are you trading this system?

neoGe avatar
neoGe 4 June

sounds tantalising, let me try!

anna_n avatar
anna_n 12 June

useful!

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7/65
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Abstract
Many traders avoid trading on days of important news. It is true that the market in these times is much more volatile, making it really unpredictable. But is that the best is not trade these days or try to take advantage of these features of the day’s news. In this article we can see a strategy to take advantage of volatility in periods of news.

The News

The forex market can be very volatile in the short term. Although the currency pairs follow sometimes clear trends over long periods of time, but in the intraday the currencies react very quickly to the unfolding news. It is essential to know what news has more impact and sources following to profit in forex world.
In this picture we can see the Dukascopy Economic Calendar [1]
- What news is most important in forex trading?
Not all the news has the same impact, some are followed more closely than others simply because they have more influence on the appreciation of some currencies against the other. In general we can say that the main economic indicators are always important:
  1. Gross domestic product (GDP) and its rate of quarterly or annual growth;
  2. Inflation rate;
[/1]…
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margarida avatar
margarida 10 Nov.

Gostei! Como sugestão, não te focares tanto num só tipo de notícia, mas ser mais abrangente.

miguelmatos avatar

I used to avoid news periods but I like your article point of view.

zarina avatar
zarina 13 Nov.

Спасибо , очень полезный материал !

F1Rio avatar
F1Rio 22 Nov.

Great article

brilliant avatar
brilliant 24 Nov.

well illustrated good article

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30/58
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1. What is martingale.
Traders know the martingale system used in casino games. It consists in doubling the stake in case of loss. The history of this term leads to far XVIII century when it meant a game in an absurd manner (la martengalo). And the word signified the inhabitants of Martigues town in France who had the reputation of silly simpletons.
2. Playing casino with martingale.
There is mainly a lot of negative information on the Internet about the martingale system. If one calculates probability of gain when applying it in the casino, it turns out that in most of cases depending on the initial capital, he wins. For example, if funds allow to suffer losses 10 times in a row, the average probability of loss is 1/1024. See the calculation in the table.
But this result is average, the combination of 10 losing stakes appeared more often in reality, than it could be imagined. Based on my own experience in trading, I can say that combinations of 10, 15 or even 20 losing deals can be met from time to time.
3. Martingale in Forex trading.
Although, the martingale system is widely used in Forex trading no matter how many negative references it gets. What is th…
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VictoriaVika avatar

Замечательно

OneGoodTrade avatar

I was reading the article and I was ready to write a comment with the words wrong wrong and wrong but I just saw someone else wrote it. Hats off to you driven. The article is not bad just wrong.

driven avatar
driven 8 Oct.

Thanks man. I try to be constructive. People spend a lot of time writing these articles, even if they have a few flaws sometimes.

chuvee avatar
chuvee 9 Oct.

I will not argue with you, OneGoodTrade and driven. My article is not perfect, I know. Martingale works for me, it's not  unusable at all.

OneGoodTrade avatar

The article is very good. So is the Martingale illusion. I've been there and many others. Martingale is a neutral size management system.      I am not against it but it doesnt help either.

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24/58
Ranking
Introduction
Some instruments have daily variations quite limited, and in some cases small or very small variations. The purpose of this article is to present a strategy for using the indicator Bollinger Bands and making some Martingle, taking advance in the limited variations of EURCHF.
The selected pair for the implementation of this strategy fluctuation between maximum and minimum was the EURCHF. The EUR/CHF currency cross (Euro/Swiss Franc) is the relation of the Euro against the Swiss Franc. This instrument is characterized by having very small variations in the day (which does not apply this strategy), or for similar variations in the length of the bars.
The volatility of the pair is also in favor of implementing a strategy of this kind, because the changes are not too large. Thus, is possible the application of Martingle technique. The technique of Martingale [1] is in the event that is applied when an order is faced a negative result. In this case the following order must have a larger amount to cover the previous loss and get profit. If the second order fails again we came back to make a new order and so on. One of the problems of this technique is that it is not possible m[/1]…
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LinnuxFX avatar
LinnuxFX 15 Sep.

Thanks for your comments, next month I will disclose the code for automate trading this strategy.!!

fx_lmcap avatar
fx_lmcap 15 Sep.

Nice strategy!

Milian avatar
Milian 21 Sep.

nice job!

TInna avatar
TInna 22 Sep.

good!

scramble avatar
scramble 25 Sep.

looking forward to see some test results soon :) quite interesting setup!

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24/70
Ranking
Вступление. Многим из вас известны торговые системы главный принцип работы которых заложено понятие «мартингейла».
Мартинге́йл (мартингал, от французского martingale) — система управления ставками в азартных играх https://en.wikipedia.org/wiki
Эта система имеет много вариантов торговых систем и их модефикаций. Много споров ведутся на различных форумах какой из предложенных методов лучший. Реализовано множество советников по этим торговым системам. Я основываясь на теории мартингейла постараюсь предложить немного другой подход назвав его позиционный мартингейл. Ни в коем случае не претендую на первенство в такой системе торговли ибо это не граль и как любая система торговли она не всегда прибыльна, а с учетом мартингейла может оказаться и достаточно убыточная. Применять ее возможно только трейдерам хорошо понимающим рынок и его динамику.
◄Основная часть. Постараюсь в кратце описать варианты в которых целесобразно ( на мой взгляд ) применять торговую стратегию. И так перед нами ситуация затухающего рынка. Всем известно высказывание, что на затухающем рынке в определенное время наступит «взрыв» и рынок двинется в одно из направлений ( рост или падение ). Чем дольше период затухан…
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Olkiss70 avatar
Olkiss70 25 Jan.

мартингейлом в любом проявлении лучше не увлекаться

Olkiss70 avatar
Olkiss70 25 Jan.

на подобном графике, скорее всего, будет огромное проскальзывание

salamandra avatar
salamandra 25 Jan.

@Olkiss70 не соглашусь с тобой относительно мартингейла. Проскальзывание будет ( на то она и  новость ).
Да, и профит  будет если новость существенная. А когда направление не определено метод сам его определит. В ближайшее время ( в новом месяце ) будет волновая стратегия. Рекомендую.

wisdom_consultant avatar

отличный материал!

Golda avatar
Golda 29 Jan.

очень познавательно. успехов тебе и терпения!

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15/30
Ranking
Part 2
This is the second article in the series of two. In the first article I wrote about pyramiding and scaling in. If You didn't manage to read it click on the link Trade Management Techniques, Part 1 .
In this article I will cover:
  • Scaling in
  • Martingale and anti-martingale
  • Trailing stops
Scaling in ( averaging out )
This method should be used in trending market conditions, especially in swing trading. The idea here is to protect the largest part of the profit and expose to risk only the remaining part of a position. It is done by closing part of a position at predetermined price level. Usually half of the position is getting closed, but different percentage can be used to fit your strategy. It repeats once the next price level is reached until the stop loss is hit. Stop loss also has to be moved or trailed. It means that once the trend is over the most of the profits are safe and only the remaining position will result in loss. Obviously this is a good way to protect Your profits especially when the trend doesn't continue for too long, but if it does then we miss the opportunity to capitalize on a full position size. This is almost completely opposite to pyramiding
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Convallium avatar
Convallium 21 Apr.

Good article! It was a pleasure to read)

Skif avatar
Skif 21 Apr.

Еще одна интересная статья, молодец!

Faster avatar
Faster 22 Apr.

good job

Elani avatar
Elani 29 Apr.

Great article!

Omela avatar
Omela 8 May

Спасибо! Ваше информация может пригодиться в жизни!))

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4/30
Ranking
This is a series of 2 articles.
Part 1
Trade management or money management? Often times it is confusing. I would refer to money management when choosing how to treat all of capital available for trading. For instance, trader wants to increase his lot size per each trade only after the capital has increased by 20%. However we would talk about the trade management when trader decided to move his stop loss to break even as soon as the trade has moved certain amount of pips in his favor. These are just two simple examples to illustrate the difference between both.
By knowing the proper ways of how to implement trade management based on a specific strategy trader can improve his overall performance significantly. Trade management is used mainly for 3 reasons which are to protect capital, to increase profits and to improve entry and exit.
These two articles will cover following techniques:
  1. Pyramiding ( averaging in or averaging up )
  2. Scaling in ( averaging down )
  3. Scaling out ( averaging out )
  4. Trailing stops
  5. Martingale and anti-martingale
Each of these 5 techniques will be covered in detail including variations. You will also see how it looks on a chart and will find out when…
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Elani avatar
Elani 18 Apr.

Great article!!! Waiting for the 2nd part.

Likerty avatar
Likerty 19 Apr.

I'm awaiting eagerly the rest of the series:) Thats a topic I'm focusing myself lately.. I see the most problematic part of any managmenet approach - the exits.. Often, even when I have very exact targets, I strugle to maintain positions during prolonged consolidations or when agressive corrections appears..

Armands avatar
Armands 19 Apr.

Thank You guys for Your comments and good words. I will do my best to put together a second part tomorrow.

luke1973 avatar
luke1973 22 Apr.

From all the articles for the April contest I've read this is suppose to be on a first place.But  How can you be appreciate from people which still don't know how to make money ?.............

Armands avatar
Armands 23 Apr.

Thanks luke1973! For me it is enough to be appreciated by the few who know how :) Or by those who find it valuable.

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