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Use the martingale system on Forex
Martingale (martingale) has been known for over two hundred years. There is no reliable evidence about who and under what circumstances created this strategy. Not seldom ascribe the merit of d'alembert, but the evidence of his participation in the creation of the martingale system. The second assumption, which is not rare in the network that invented the happy gambler of the 19th century, is erroneous.

Interesting is the fact that the name is close to Occitan jargon of gamblers, in which "a la martengalo meant the game in an absurd way. In any case, for traders "Martin" is the method of trading in order to understand that let us consider in more detail.

A modern form of martingale system

In modern form the use of the system, is trivial guessing of future results. Special strategy makes an impact on the probability of success in the trade. No complicated calculation is not performed, and all actions are quite simple and clear, so they could use it. The whole procedure easily amenable to statistical analysis. First martingale became popular in the game of roulette.

If you do not take into account zero, then there are only two outcomes of events. First, that the ball lands on a black field, second that on red. The game starts always with a small bet on any of these two colors. A player must have significant cash reserves, is not involved in the first rate. If the bet is played for the benefit of the player, he takes the profit and then does the same for the Bank, and for the first time on one of the colors.

If the player loses, the next bet must be twice more than the previous one. The player will have to bet on the same color as the first time. If the second time fortune is on the side of the casino, the player again relies again on the same color, and its value is 2 times bigger than in previous times and in 4 times more than at the first rate.
 

In the simplest case, with a double series of 10 defeats makes to increase the minimum rate of 1024 times. This means that if he does not succeed 10 times in a row, to continue the game on the martingale system, he will have to use a lot of money, on the value of the first bet. Can be drawn from these facts the conclusion that the strategy, even if the project is successful, brings quite a lot of profit with respect to those amounts which must hold in reserve the player for when the luck turn away from him.

As we can see, there are no complicated mechanisms in such a common technique. Ease of use, as well as the opportunity to earn the money using this strategy, negate its shortcomings in the eyes of the people that play in casinos, or trade Forex.

Understand that when using the martingale system the probability of winning is not on the side of the player, any person who will spend on the calculations, only a few minutes of your time. It is worth noting that in the Forex market traders have gone further and changed some of the nuances of the classic version, which will be described below.

Automation of the method of martingale Forex

In Forex trading often used not doubling bets, and other factors. For example, for the strength of the entire security Deposit, a trader could use the factor of 1.5, 1.2, and so on. Thus, each subsequent transaction will open an amount equal to the amount of a previous transaction, multiplied by the multiplier.

List what attracts the martingale system novice traders:

• losses not recorded (score or gradually increasing or merges),
• trading is possible in a fully automatic mode,
• with conservative settings long time can work extremely in your advantage.

Feature use is closing trades at the same time, when their sum is above zero. The damage that the roulette wheel appears and you get a different color than chosen, Forex accumulates all the transactions that are opened again and again, in anticipation of a price reversal in the opposite direction.
 

Such simplicity of calculations allows you to automate the trading process, how traders immediately and tried to use in the work. Now, perhaps, among all the varieties of Forex Radnicki considered strategies occupy the first place in popularity among speculators, especially beginners. For example, consider the option of doubling the lot with each new position. The distance between two subsequent agreements take fixed.

In this case, if the price moves against the first position of 1 lot and is 30 pips, then open second. The volume of the second position is 2 lots, the direction should match the direction of the first agreement. That is, if you buy one lot, it will continue in the same purchase, only the two lots.

If necessary, another 30 points will appear to agreement with a volume of 4 lots then 8 lots, and so on. All positions need to be closed when the sum of all of them will be positive. This example reflects the essence of the martingale system.

Category: Forex | Added by: (30.10.2017)
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