Loss Recovery Systems

Don't chase your losses, it doesn't work. You will eventually bust your bank.
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Derek27
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Joined: Wed Aug 30, 2017 11:44 am
Location: UK

Morbius wrote:
Tue Oct 13, 2020 7:42 pm
Could I be so bold as to ask you Derek if you have learned through experience not to add to red screen positions?? Because financial traders in many types of securities do not baulk at doing this or in your opinion, is this much more difficult to achieve based on the rapid time decay in the pre-race markets and the fact that the market will eventually range around its SP and this is the ultimate Achilles Heel in such a strategy??
I don't know anything about financial trading but as far as sports trading's concerned, I've probably made just about every mistake in the book, like most of us have. Some of them were so stupid I learnt instantly not to repeat, such as, when you're switching between win and place markets check you're on the right market before taking what you think is value! :oops: Others have taken longer to learn. Letting trades go in play is a common crime that most traders commit more than once but I knocked it on the head when I suffered a really big loss. Overstaking and not properly considering how volatile was probably my most difficult error to overcome and I still occasionally trip up there.

By the way, horses don't always range around the BSP, back and forth or reverse to the mean. Sometimes they can just go one way.
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Morbius
Posts: 492
Joined: Thu Feb 13, 2020 3:38 pm

Derek27 wrote:
Tue Oct 13, 2020 9:08 pm
Morbius wrote:
Tue Oct 13, 2020 7:42 pm
Could I be so bold as to ask you Derek if you have learned through experience not to add to red screen positions?? Because financial traders in many types of securities do not baulk at doing this or in your opinion, is this much more difficult to achieve based on the rapid time decay in the pre-race markets and the fact that the market will eventually range around its SP and this is the ultimate Achilles Heel in such a strategy??
I don't know anything about financial trading but as far as sports trading's concerned, I've probably made just about every mistake in the book, like most of us have. Some of them were so stupid I learnt instantly not to repeat, such as, when you're switching between win and place markets check you're on the right market before taking what you think is value! :oops: Others have taken longer to learn. Letting trades go in play is a common crime that most traders commit more than once but I knocked it on the head when I suffered a really big loss. Overstaking and not properly considering how volatile was probably my most difficult error to overcome and I still occasionally trip up there.

By the way, horses don't always range around the BSP, back and forth or reverse to the mean. Sometimes they can just go one way.

Hi Derek, that post to me speaks volumes about you. Not just that you have been humble enough to admit your mistakes but that you stuck it long enough to push through the other side and learn from them because experience is arguably the greatest teacher of all. I recall some years ago reading about the recruitment process at Goldman Sachs and how they basically got fed up of seeing CV's from Uni graduates with 2:1s and Masters in finance and economics and basically binned them in favour of someone with actual trading experience even if that trader wasn't successful. They knew that this person had learned valuable lessons in what is basically trial by fire.

I knew I had to come onto this forum to fill the gaps in my knowledge and in my mind the best people to learn from are the people that have already paid their dues by going through this battle earlier. Any yes you are correct, I have noticed that prices don't always hover around the BSP and have gotten burned a few times with a good green screen and then getting in again late on and seeing it evaporate. I don't touch the final minute or two before the race for this reason if I already decently green.
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LeTiss
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Joined: Fri May 08, 2009 6:04 pm

In the 12 years of me being on this forum, I reckon the subject of differing loss recovery systems has risen more often than any other subject!

It basically highlights the reason why many people fail in this game.......accepting a red screen and moving onto the next trade is something many traders cannot deal with

There is ONLY ONE foolproof way of recovering losses......trade better
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Morbius
Posts: 492
Joined: Thu Feb 13, 2020 3:38 pm

LeTiss wrote:
Wed Oct 14, 2020 10:44 am
In the 12 years of me being on this forum, I reckon the subject of differing loss recovery systems has risen more often than any other subject!

It basically highlights the reason why many people fail in this game.......accepting a red screen and moving onto the next trade is something many traders cannot deal with

There is ONLY ONE foolproof way of recovering losses......trade better

Hi Le Tiss, I think as was previously mentioned the title of this thread was a slight error on my part. In actual fact what I was doing was averaging while also escalating which isn't the same thing or at least I don't think it is lol But I was still getting into bother on maybe one or two races a day. But what you say about trading better is spot on and is why I came onto the forum after a while scanning it. I think the nuances of the horseracing pre-off market makes it a different breed of animal in many ways to other types of financial market....all great fun though and the learning never stops :D
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speedyhamster
Posts: 119
Joined: Fri Sep 22, 2017 9:58 am

i once did a Martingale loss recovery system in practice mode , at one point my stakes were in to the millions , which ofc would not work in real mode even if i had millions to put on :roll:
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alexmr2
Posts: 766
Joined: Wed Sep 26, 2018 12:32 am

I don't believe there is a profitable trader in the world that uses a loss recovery or martingale system

How about trying to trade defensively e.g. scale out so that your exit is at the breakeven point? I believe this is more a valid approach and will give you smaller but more consistent profits, which may be better for you psychologically
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speedyhamster
Posts: 119
Joined: Fri Sep 22, 2017 9:58 am

alexmr2 wrote:
Fri Oct 16, 2020 10:33 pm
I don't believe there is a profitable trader in the world that uses a loss recovery or martingale system

How about trying to trade defensively e.g. scale out so that your exit is at the breakeven point? I believe this is more a valid approach and will give you smaller but more consistent profits, which may be better for you psychologically
yes i wanted to see how crazy such a system would be on betting (not that i bet) so i tried it on practice mode
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