QuoteDislikedI would expect whipsaws over GDP though, that's why I steered clear, call me a chicken if you like but I'm too old for crazy dancing lol.
Now you do not have to go to extremes (as some people will) by using a full martingale approach. For example, if you started out the first trade with 1 lot and were stopped out, go ahead and use maybe 1.2 lots on the next one. You may not recoup everything you lost on the previous trade, but you'll gain more back than just staying with 1 lot.
For example, a great CZ formed and if it whipsaws you have your stoploss calculated at 20 pips. Let's say your first trade stopped out at 20 pips X 1 lot, you would've lost $200.00. Now let's say another trade opportunity has popped up on the opposite side of the CZ and you enter the next trade at 1.5 lots. Here the real breakout occurs and you close out the trade at +20 pips.
Now let's do the basic math here (spreads not included). If you would've stuck with the same 1 lot again on the second entry you would've earned back your $200.00 and be even for the day. By increasing to 1.5 lots, you have now made $300.00 on the breakout and are now +$100.00 instead of being BE for the day. So in recap you've banked a total of "0" pips for the day (-20 + 20), but earned $100.00.
Now, if you are using extremely tight CZ's as forexhard has highly suggested over and over again, the odds of running into 4 reversals is going to be very rare, if at all (and I'm sure forexhard will attest to this).
There are other ways to tackle minimizing losses, but unless forexhard gives the okay, I won't post anything here as they are very different from the original strategy.