Binary Options - Need formula to recoup loss with profit

Hello,

I've been trading with binary options. I use the martingale strategy, although it is quite different to use when trading options because the payout is based on a set percentage.

For example:
I bet $2, the option trades with an 80% return, profit of $1.60 - This is an easy formula to do.

Here's where I am stuck. Say I lose this trade. My next trade will need to recoup my $2 loss. Is it possible for excel to calculate what dollar amount I need to recoup this $2 loss (Or as close as possible) with an 80% return.

In this case, it would be $3 x 80% = $2.40 profit. The profit here recoups my $2 loss, and Im 0.40 cents ahead. But if I lost this $3 trade, what's the next dollar amount that I need to recoup the $2 + $3 = $5 loss, and so on.

Im not sure how to create the formula required for this. I would like excel to identify at least 10 trades consecutively, showing amounts needed for my next trade to breakeven. This way I won't need to manually calculate it every time. And excel can do the math for me, and I will be ready to place my next trade.

I hope this is clear enough.

Your help is greatly appreciated!

Thanks,

G613

G,

so the next trade size is basically the last trade size / 80%, correct? And you keep adding the losses for each trade?

See attached.

Cheers

G613, pretty much everyone who comes here, wants help with a formula

Please take a moment to read the forum rules and then For future reference, please title your thread with something descriptive of your problem. (think google search terms?).

Many members search our previous posts, and thread titles play a big part of the search. I doubt anybody would do a search based on your title?

So isn't the arithmetic the same as before but you just need to account for your new profit.

Bet (or investment) = (total losses to date + your predetermined profit) / 0.8


By the way I've had trouble with the paper clip too but have found the manage attachments button (scroll down after pressing go advanced)works for me at the moment.

	A	B	C	D	E
1	Return	Min Bet
2	80%	$5.00
3	Bank	Bet	Result
4	$100.00	$5.00	L		B4 and down: =MIN(A4, MAX(($A$4 - A4) / $A$2, $B$2))
5	$95.00	$6.25	L		C4 and down: =IF(B4 = 0, "", IF(RAND() > 0.5, "W","L"))
6	$88.75	$14.06	W		A5 and down: =A4 + B4 * IF(C4="W", $A$2, -1)
7	$100.00	$5.00	L
8	$95.00	$6.25	W
9	$100.00	$5.00	L
10	$95.00	$6.25	L
11	$88.75	$14.06	W
12	$100.00	$5.00	L
13	$95.00	$6.25	L
14	$88.75	$14.06	L
15	$74.69	$31.64	L
16	$43.05	$43.05	W
17	$77.48	$28.14	L
18	$49.34	$49.34	L
19	$0.00	$0.00

Doomed to fail: https://en.wikipedia.org/wiki/Martin...ting_system%29