DislikedAs described it's an increasing lot size stop and reverse system. SaR systems are all about getting the right TP and SL and not going beyond your risk threshold for a fixed time frame. I would be very concerned about increasing lot size to compensate for previous losses... as a bad period of whipsaw would blow out your money management and leave you very exposed.
A classic example would be a series of "arcs of consolidation" where you have a small down trend, sideways, then an small uptrend, repeated over the course of a few months or more. There's a good example of that on the pair I tested... and that's where we had the worst draw down.
I think the best way to improve this system is to scale in over time so you make the most of winning trades. There might also be a way to adjust the stop loss so as to keep profits and cut small trends short... but I don't have the foggiest clue on what would do that. Maybe start with a 1% risk investment and over time add more... dunno... just spitballing on that.Ignored
I agree lol just kidding
i dont think the semi-martingale position sizing is about reversing your trades like jackos aunty hedge strategy.... thats not it at all
you need to know for a fact that you aren't going to lose more than X times in a row on your strategy...and if you do you must be prepared to take the loss if the X increasing lot sized trades..... we must adjust to have sufficient capital accordingly......see the so-called semi-martingale as postiion sizing...IE it is nothing more than reverse scaling......
if your sysytem loses more than it wins you can still do great..... IF you know for a fact that you won't lose more than x in a row.....
it can be optimized for even the situation you mention where u have many losses in a row.....
no system is perfect
regards
d