Stemming from another discussion we had on martingale in another rookie forum thread, I came up with the idea that a good way to illustrate the point some of us try to make about the martingale was to create a simulator which could show the concept concretely. In this program you'll be able to explore the different outcomes when running martingale versus standard risk management (doubling down versus flat percent risk).
There are several things you'll need to tell the program before you can run the simulation. They are the following:
1) An account balance between 1 and 1000 units.
2) A percent risk for your trading plan from a decimal value greater than zero to 100 (unrealistic but an option).
3) A number of simulations to run before returning to the menu. At the end, some simple statistics will be reported.
4) Whether or not to view individual trades (recommend no, otherwise it'll take forever).
5) Whether or not to use the martingale betting system. The best part is comparing the results between standard and martingale risk management - what I've seen has been quite telling. Please note that the number of trades per simulation is capped at 10,000 to prevent the processor from going through millions of trades, which happens with the standard risk management frequently.
How to get the simulator:
Download the attachment, unzip. Two files are included:
1) The simulator executable. It's a simple command line program, nothing fancy - but it gets the job done.
2) The C++ source code file for those interested in the logic and evaluating how fair it is. I'm interested in any bug reports or issues with the strategy implementation.
As with every executable you download, I recommend you scan it with your resident antivirus before opening it. It's just good practice. I've also uploaded the file to the online VirusTotal database for those who are still hesitant; you can upload it there yourself if you like. If you have questions, let me know - otherwise, let the data speak for itself.
VirusTotal Scan (0/46):
https://www.virustotal.com/en/file/e...is/1385527036/
There are several things you'll need to tell the program before you can run the simulation. They are the following:
1) An account balance between 1 and 1000 units.
2) A percent risk for your trading plan from a decimal value greater than zero to 100 (unrealistic but an option).
3) A number of simulations to run before returning to the menu. At the end, some simple statistics will be reported.
4) Whether or not to view individual trades (recommend no, otherwise it'll take forever).
5) Whether or not to use the martingale betting system. The best part is comparing the results between standard and martingale risk management - what I've seen has been quite telling. Please note that the number of trades per simulation is capped at 10,000 to prevent the processor from going through millions of trades, which happens with the standard risk management frequently.
How to get the simulator:
Download the attachment, unzip. Two files are included:
1) The simulator executable. It's a simple command line program, nothing fancy - but it gets the job done.
2) The C++ source code file for those interested in the logic and evaluating how fair it is. I'm interested in any bug reports or issues with the strategy implementation.
As with every executable you download, I recommend you scan it with your resident antivirus before opening it. It's just good practice. I've also uploaded the file to the online VirusTotal database for those who are still hesitant; you can upload it there yourself if you like. If you have questions, let me know - otherwise, let the data speak for itself.
VirusTotal Scan (0/46):
https://www.virustotal.com/en/file/e...is/1385527036/
Attached File(s)
Martingale.zip
207 KB
|
667 downloads