Experienced trader feedback wanted - doubling positions when in a loss

have your friend run his "sim" against the feb (or was it march??) 2007 50 point drop in the SPX (in one day)

then come back and tell us the results
 
The only argument that i can see for this doubling position strategy is that every time you double your positions, it brings your avg price pretty close to the current price, and its easy to get out be+1.
 
Quote from silvermotion:

The only argument that i can see for this doubling position strategy is that every time you double your positions, it brings your avg price pretty close to the current price, and its easy to get out be+1.
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How many times can you double-down on your *real* account?
 
Quote from dandxg:

True pros pyramid into strength, not weakness. Unless scaling in/out is part of your strat. you will be doomed martingaling unless you have unlimited funds, which you don't.
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the key to riches...press when the grittle is hot
 
Quote from silvermotion:

"... We trade together so i fear he tanks our joint account.
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Your fears are correct... just can say when.

The one outcome you can control is "prevent individual large losses". Averaging into losers brings large losses into play.

If the market is going to get you, at least it should be "like being nibbled to death by ducks"... not "cut in half by a Great White".
 
forget about this sim trading, you need to feel the pain with taking losses using real money.. if you really want to test you theory. then come back & give us a update?
 
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