What does Mode control?

The Mode setting defines how the Sequence progresses after each trade outcome (win or loss).

In other words, Mode controls the direction of movement inside your multiplier sequence — determining whether the bot increases or decreases position size after a win or a loss.

It directly affects:

  • Risk escalation behavior
  • Recovery speed
  • Drawdown control
  • Long-term stability

🔹 Available Modes

MagicTradeBot supports two progression behaviors:

1️⃣ Mode 0 → Classic Martingale Logic

Mode: 0

Behavior:

  • Move forward in sequence after a LOSS
  • Move backward after a WIN

What This Means

If your sequence is:

Sequence: [1, 2, 4, 8]

And you lose:

Trade 1 (Loss) → 1
Trade 2 (Loss) → 2
Trade 3 (Loss) → 4
Trade 4 (Loss) → 8

Exposure increases rapidly during losing streaks.

When a win occurs, the sequence moves backward (depending on MoveBackSteps).

Characteristics

  • Fast loss recovery
  • High exposure during drawdowns
  • Aggressive risk model
  • Requires strong capital buffer

⚠️ This mode is powerful but risky.

2️⃣ Mode 1 → Risk-Reducing / Anti-Martingale Logic (Recommended)

Mode: 1

Behavior:

  • Move backward after a LOSS
  • Move forward after a WIN

What This Means

Using the same sequence:

Sequence: [1, 2, 4, 8]

If trades win consecutively:

Trade 1 (Win) → 1
Trade 2 (Win) → 2
Trade 3 (Win) → 4
Trade 4 (Win) → 8

The bot increases size only when the strategy proves consistent.

If a loss occurs, it moves backward — reducing exposure.

Characteristics

  • Reduces risk during losing streaks
  • Compounds profits during strong performance
  • Safer for long-term automation
  • More stable equity curve

This is often preferred for professional-grade automated trading.

🔹 How Mode Affects Risk

Mode After Loss After Win Risk Profile
0 Increase Decrease Aggressive
1 Decrease Increase Risk-Reducing

Mode does not change the sequence values — it changes how the bot navigates them.

🔹 Interaction with MoveBackSteps

MoveBackSteps determines how far backward the sequence moves when triggered.

Example:

MoveBackSteps: 2

This can make even Mode 0 less aggressive by stepping back more after recovery.

Mode + MoveBackSteps together define your full progression behavior.

🔹 When to Use Each Mode

Use Mode 0 if:

  • You want fast recovery
  • You understand exponential risk
  • You have strong capital reserves
  • Strategy win rate is high

Use Mode 1 if:

  • You want capital protection
  • You trade multiple symbols
  • You prefer performance-based scaling
  • You want smoother drawdowns

✅ Key Takeaway

Mode controls the psychology of your system.

  • Mode 0 → Recover losses aggressively
  • Mode 1 → Scale only when performing well

Choosing the right Mode determines whether your strategy prioritizes recovery speed or capital preservation.

📎 Related Topics