What can you say about martingale ea

[Jameson wc]

What can you say about martingale ea? Do they work on the long run or they just blew accounts. Do you think it's wise to use such bot on a real account?

 

[Fin_Trader]

I can't say anything good about Martingale. I tried a lot of strategies and Forex robots that traded using this algorithm. As a result - lost deposits (it’s good that I checked them on a demo account). After all, this method of trading involves constant averaging against the trend, while each subsequent order is set with an increased lot, which ultimately puts a lot of pressure on the deposit and eventually it is reset to zero.

 

[CinFX]

I'm sure you know how Martingale works, so there's no need to explain it.

The odds of it working stay 50/50, and thus a gamble. One can't trade with 50/50 odds, you need a higher profit/loss ratio to be successful. Eventually, you'll run out of trading capital and it'll blow your account.

I've seen Martingale work in complex EA's whereby Martingale is just used during a loss to recover some capital, but then Martingale relies on an existing Strategy that mostly stays profitable. For example, after closing in profit Martingale would be reset back to a 1:1 ratio. If used like this and if one sets a hard limit on the maximum lot ratio then Martingale might be useful. However, on its own, a Martingale-based EA would ultimately result in blowing your account.

 

[Fin_Trader]

I think that in trading it is better to use stop losses, rather than averaging with an increased lot against the trend movement as with the Martingale. After all, when a stop loss is activated, you will lose only a small part of your deposit, and when trading using the martingale method, if the trend movement continues, your deposit will completely disappear.

 

[skrimon]

I think that in trading it is better to use stop losses, rather than averaging with an increased lot against the trend movement as with the Martingale. After all, when a stop loss is activated, you will lose only a small part of your deposit, and when trading using the martingale method, if the trend movement continues, your deposit will completely disappear.

Absolutely, stop-loss orders are a far safer approach than the Martingale strategy. While Martingale promises eventual profit with a single win, the risk of exponential losses with each consecutive loss is extremely high. A single large price movement against your position can wipe out your entire capital, making stop-loss orders a crucial risk management tool for responsible trading.

 

[Fin_Trader]

Martingale can help you make money only if the price moves in a narrow horizontal range or flat. But such flats are often short-lived and the price can come out of it at any moment and begin its sharp and prolonged movement in one direction, providing us with a large minus on the deposit if we were trading using the martingale method at that moment.

 

[Jonathan Lee]

Martingale EAs use a strategy of doubling positions after losses to recover and gain profit. While they can work in short bursts during stable markets, they carry significant risk and often lead to large losses or blown accounts in the long run, especially during volatile conditions. Using such bots on real accounts is generally unwise without strict risk controls, as they can quickly wipe out capital.

 

[Eustance Isbor]

Martingale EAs can generate short-term profits, but they carry high risk. They double down on losses, which can blow accounts during drawdowns or volatile markets. Over the long run, most fail without strict risk controls and deep capital. Using one on a real account is risky unless you fully understand the strategy, use low leverage, and are prepared for potential total loss. Caution is advised.