DislikedThis is a great exercise to help gain confidence in trading statistically!
I ran a similar test. I tossed a coin 100 times.
Each time it landed on heads I would add a new position with +10 pips and I would add 10 pips to all open positions and set their stop loss to Break Even.
Each time the coin landed on Tails, I would subtract 10 pips from all open positions and close the one position that was at +10 pips as it would have hit its break even stop loss.
I created a spreadsheet with the results (attached).
Out of 100 coin tosses, I...Ignored
Good work.
One other dimension that needs to be considered is the max number of consecutive tails during coin flipping.
I mean this can take out more number of BE trades before going your way.
Second aspect is,
If you say +10 pips and - 10 pips for every event you may hit stop loss more number of times bringing the head to tail ratio to something like 20 to 80 or even 15 to 85
Regards,
TradeStar
Haste not to Enter AND Haste not to Exit !-TradeStar