Even a random entry strategy should work in this case
Which is pretty much what we are all doing anyway. One man’s sell is another man’s buy – that is pretty random if you ask me.
If we were actually to have an edge with our entry then averaging down should benefit that if done right. I am not suggesting just keep buying and buying as price falls I am suggesting that you take your one set amount that you are willing to risk on that trade and divide it into separate orders and then use averaging down to get a better overall entry point.
Really with this topic I am just trying to work out the best way to average down if one were to use it. So far my calculation shown here seems to be the best that I have come up with so far so some ideas for other ways would be great – even if it is just an idea and not a completed code.
Just realised that I am now discussing averaging down in the 12:1 filter strategy topic!
