The bots had a bad week, which demonstrated the danger of the Martingale approach to loss recovery. After almost three weeks of solid gains, taking us up to nearly $900, we met with the inevitable losing run, which, despite trading 32 minilots in a sixth trade of the cycle, which fortunately won, we still lost over $600, leaving the overall harvest for three weeks at $73 and some cents.
This has made a mockery of my thought at the outset that one could operate these bots with a bank of $300. Bearing in mind that five losing trades is not uncommon and there is no reason to suppose that there could never be another cycle such as this, possibly even back-to-back, I feel that $3000 would be more appropriate if you intend to give this a go. 32 minilots multiplied by the stop loss of 30 is a very considerable risk whatever bank you are running – and that trade could have lost, leading to the next at 64 minis and so on. This is a recipe for disaster.
P/L/ this week -$260; Overall P/L +$73
15 trades this week, 6 winners
Strike Rate 40%
I will carry this test on for the final week and summarise then.