Determining when to add contracts

[traderrn]

Would be good to keep a buffer before you increase size, this way the buffer can be used (for stops) to get a winning trade back in your favor with the new size.

Last thing you want is to go to new size, take a stop and have to go back to previous size.

 

[logic_man]

Quote from traderrn:

Would be good to keep a buffer before you increase size, this way the buffer can be used (for stops) to get a winning trade back in your favor with the new size.

Last thing you want is to go to new size, take a stop and have to go back to previous size.

I tried a variety of scenarios on the trade data I have and it turned out that nothing outperformed just adding as soon as the threshold was reached. I think that means that basically if you have a positive expectancy that over numerous iterations of adding contracts, the winning percentage will tend to gravitate toward the overall winning percentage and that you are likely to add on a winner as you are to have a winner overall. Waiting to add produced inferior outcomes.