Martingale & Anti-Martingale Strategy
Trading binary options offers the ability to increase your invested capital quickly; for this reason, several strategies have been developed to maximize your profits and minimize your losses. From time to time, some strategies from other field are successfully applied to it.
What is Martingale?
Martingale strategy is a betting technique invented in the 1820s, which can be applied in any financial instrument in which the probability of any outcome is equal to 50%/50%. It applies perfectly to Binary Trading options in which the probability to be over the price or under it is theoretically equal to 50%/50%. It consists in doubling amount of money in your next investment, each time you have any lost or your binary options ends out of money, to recover any capital lost with the next win. This technique has several opponents, who consider it a terrible money management plan. For this reason, they create the Anti-Martingale Strategy
What is Anti-Martingale Strategy?
The anti-martingale strategy consists in halving your investing amounts every time you have a loss or your binary options end out of the money to prevent any further loss and reduce risk. This technique sound more conventional for most traders, it gives rise to the new integrated Martingale & Anti-Martingale Strategy.
What is Martingale & Anti-Martingale Strategy?
The new technique became popular in the 1980s, and it consists in doubling your invested money after a winning or after your binary options end on the money. It follows the Martingale system, but it applies to winning options. The second part of the technique involves the anti-martingale strategy or halving the invested money after any lost or when your binary options end out of the money. Using this method, traders not only can increase their investing capital quickly but also they follow a typical wealth management plan.
Understanding Martingale & Anti-Martingale Strategy
·After any money loss, you reduce your next investing money amount to the half of it e.g. if you lose 100 USD in the previous Binary options, you will invest only 50 USD in your next trade.
·After any money win, you will increase your next investing money amount to double of it, e.g., if you invest 100 USD and your option ends in the money, you will invest 200 USD in your next trade.
·This technique must be applied consistently to get the expected results and increase your investing capital quickly.
·By increasing after winning and reducing after losing some traders, consider it an advisable money management plan since the total amount of risk money is not changed.