Fedegmail "Martingale" strategy

Hello guys, want to share this system with you.
I’m testing this system with a demo account, I’ve called it fedegmail Martingale strategy because it seems a Martingale system. I use 50:1 leverage because it is the best on OANDA, but I think it works better using higher leverage.

Pair: EUR/USD
Time-frame: 5M
Indicator: EMA200

Idea: when price exceeds the EMA200 line by 30 pips (downward or upward), I open a position in the opposite direction of the trend. This is an example:


1st position
stop loss: -90 pips
take profit: +20 pips
units: 1000
risk: 0,38%

If you reach your take profit, you get +0,087%

2nd position - you have to open a second position if the first one is losing 30 pips.
stop loss: -60 pips
take profit: +20 pips
units: 1500
risk: 0,38%

If you reach your take profit, you get +0,088% (+20 pips of the second position and -10 pips of the first position).

3rd position - you have to open a third position if the second one is losing 30 pips.
stop loss: -30 pips
take profit: +20 pips
units: 3900
risk: 0,491%

If you reach your take profit, you get +0,088% (+20 pips of the third position, -10 pips of the second position and -40 pips of the first position).
If you lose all the positions (3) you lose around 1,25% of your account.

I know you have to win around 14 positions to compensate a position that has gone bad… but I’m testing the system for a mounth (I know it requires at least a year) and it seems to reach adequate percentages to face a win/loss ratio of 14/1.

Adjustaments:

  • you should not trade when important news are released
  • you should close all your trades if price reach the EMA200 line again, even if you’re losing money.

I do not want to convince you that the system works, I just want to try it out and post the results here.
I hope it helps.
Good luck :slight_smile:

[B]This week:[/B]
On Wednesday I tried to close all my trades because I didn’t want to face the reaction to the decision of the FOMC, so I had less trades than usual.

2 trades closed at the first position: +0.174%
1 trade closed at the second position: +0.088%

[U][B]+0.262% this week[/B][/U]

As I said, it can give you small results but it has an incredible success rate.
See you next week :wink:

How does this strategy do if you trade all trades with a fixed lot size opposed to using martingle?

It is not a Martingale because it puts a limit, you can lose about 1.25% if you lose and it is also different because there is a clear strategy behind. I would say I was trying to use an oscillator, that is Stochastic oscillator, to improve my strategy, but when you open a trade with this system you have already the oscillator in the area you want it is.