I think pyramiding is a sweet poison, not medicine

I entered at 22:06 and it finished in less than a minute. That was the only thing yesterday, and I felt I focused too much on sticking to the settings.

So today I have devised a more playful configuration to showcase more features. I changed the indicators as well, something that you could even say looks silly.

Yesterday I kept entries in a limited public mode to check whether there would be entries (since there might be none and it would waste time… I apologize for that), but today I will enter a lot!

【Today's Main Settings】

・Pyramiding: add every 3 PIPs, 0.01 lot 1.2x (trailing activates at 6 PIPS)

・Basket take profit: 2000 yen (RUSING-specific take profit also set)

・Stop-loss multiplier: 1.5x applied (doubling based on losing position count)

・Entry filter: MA single 25SMA or 14SMA

・Alternate signal: after 3 minutes re-entry in the same direction is canceled

・Opposite signal exit

・Other

The highlight of today might be the stop-loss multiplier. So it would be more interesting to set the demo account balance to… 100,000 yen. It might be nice to jump during the broadcast as well. Following this flow, tomorrow I plan to narrow the same indicator settings for a more sedate progression.

Finally, today's main topic. A discussion on why pyramiding (the following “Pira”) is a sweet poison.

As I have added the pyramid feature to RUSING, I have at least once been attracted by the charm of pyramiding. And I understand its power. That said, I’ve set it to operate only when there’s a strong trend, and I basically think it’s not needed.

Previously, here at GGJ I saw several tools that used pyramiding for huge profits, but I think those touted profits come from people who do not understand pyramiding.

What I thought showed a lack of understanding was that due to PC processing power, the settlement amount was set in a position that can shift, making the trade acceptable. As a result, even with the same situation and broker, there would be those who gain massively and those who suffer huge losses.

Gold, in particular, can move wildly even in normal times. Those claiming huge profits are usually exploiting a PC processing issue during these wild moves, resulting in profit after settlement; roughly speaking, it’s a trade that exploits a tool bug.

With MT5, processing power is somewhat higher, making it easier to catch sudden moves, but bugs are bugs. You never know when a massive loss will occur. Gold tends to see back-and-forth swings frequently.

These reasons aren’t the only ones that make pyramiding a sweet poison, but a caution about using pyramiding-based huge-profit tools.

This isn’t just about pyramiding. Even with a single real entry, when using basket take profit, there are cases where the amount is larger than the set amount due to sudden reactions. However, because it’s only a single lot, settlement processing happens once. On the other hand, what about pyramiding? With each added position, settlement processing occurs, turning the game into a case of relying on luck even on MT5.

That’s why I don’t generally recommend pyramiding. Still, many people enjoy exciting trades, so I’ve included the feature. However, RUSING is designed to protect those who want to pyramid. It includes rules for addition and the number of positions so that everyone can survive longer.

Well then, with that RUSING. I privately think today’s settings might cause a jump, but…