Which Staking Strategy Should I Use?
Fifteen staking strategies, side by side. See how each one changes your stake, what a losing or winning run costs, and how to choose.
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All 15 at a glance
A staking strategy decides how much to stake on the next trade. None of them creates an edge. They only reshape how much you stake, so they change how wins and losses add up, not how likely a trade is to win.
| Strategy | Stake changes | How it works |
|---|---|---|
| Martingale | After a loss | Multiplies the stake by a set multiplier after each loss. Resets after a win. |
| d'Alembert | After a loss | Adds one unit after a loss, removes one after a win. |
| Labouchere (Cancellation) | After a loss | Stake is the first plus last number of a list. Wins cross numbers off, losses add one. |
| Fibonacci | After a loss | Moves forward along 1, 1, 2, 3, 5, 8… after a loss and two steps back after a win. |
| Grand Martingale | After a loss | Doubles the last stake and adds one unit after a loss. Resets after a win. |
| Oscar's Grind | After a win | Keeps the stake after a loss and adds a unit after a win, until a one-unit profit target is reached. |
| Paroli | After a win | Doubles the stake after a win, up to three wins. Resets after a loss. |
| Reverse Labouchere | After a win | Wins add to the list, losses cross numbers off. |
| 1-3-2-6 | After a win | Stakes 1, 3, 2 and 6 units on consecutive wins. Resets after a loss. |
| Reverse Fibonacci | After a win | Moves one step forward after a win and two back after a loss. |
| Parlay | After a win | Stakes the last stake plus its profit on the next trade. Resets after a loss. |
| Flat staking | Never | The same stake every trade. |
| Percentage of bankroll | Your bankroll | A fixed share of your current bankroll. |
| Kelly Criterion | Your bankroll | A share of bankroll worked out from your estimated win probability and the payout. Zero if there is no edge. |
| Fractional Kelly | Your bankroll | A chosen fraction, such as half, of the Kelly stake. |
The 15 staking strategies.
What a losing run costs
The clearest difference between strategies is what happens during a losing run. This table shows the stake on the sixth trade after five losses in a row, with a 10 USD base unit. Martingale uses a 2.2 multiplier.
| Strategy | Sixth-trade stake (USD) | Times the base stake |
|---|---|---|
| Martingale | 515.36 | 51.54× |
| d'Alembert | 60.00 | 6× |
| Labouchere (Cancellation) | 90.00 | 9× |
| Fibonacci | 80.00 | 8× |
| Grand Martingale | 630.00 | 63× |
| Flat staking | 10.00 | 1× |
Stake on the sixth trade after five losses in a row (10 USD unit). Computed from each strategy's rules. Real results depend on the settings you choose.
Win-based strategies are the other way round: stakes rise during winning runs. This table shows the highest stake reached during four wins in a row.
| Strategy | Highest stake (USD) | Times the base stake |
|---|---|---|
| Paroli | 40.00 | 4× |
| Reverse Labouchere | 70.00 | 7× |
| 1-3-2-6 | 60.00 | 6× |
| Reverse Fibonacci | 30.00 | 3× |
| Parlay | 32.40 | 3.24× |
| Oscar's Grind | 10.00 | 1× |
Highest stake during four wins in a row (10 USD unit). Oscar's Grind assumes even-money payouts, and Parlay uses an illustrative 80% payout. Both are simplifications.
How to choose
There is no best strategy, only trade-offs. Start from what matters to you:
| If you want… | Consider | Watch out for |
|---|---|---|
| Simple, predictable risk | Flat staking or Percentage of bankroll | No recovery mechanism after losses |
| Slower stake growth after losses | d'Alembert or Fibonacci | A long losing run is still costly |
| To recover losses with one win | Martingale, Grand Martingale or Labouchere (Cancellation) | Stakes can grow very fast |
| Smaller losses during a bad run | Paroli, 1-3-2-6 or Reverse Fibonacci | One loss can undo a winning run |
| A small profit target per cycle | Oscar's Grind | Cycles can be long |
| Stakes tied to a probability estimate | Kelly Criterion or Fractional Kelly | Only as good as your estimate |
Choosing by priority.
Whichever you pick
- Test it on a demo account first.
- Turn on risk management and set a stop loss and take profit.
- Judge it by drawdown, largest loss and profit factor in Trade analytics, not only the win rate.
- Keep the base stake small compared with your balance.
No plan beats the odds
Progressions reshape variance. They do not change the chance of winning any single trade, and you can lose your entire stake with any of them.
Try a strategy on a Deriv demo account before using real money.
Get StartedFrequently asked questions
- Which staking strategy is the safest?
- None is safe. Flat staking never raises the stake, so losing runs do not compound, but you can still lose your entire stake. Strategies that raise the stake after a loss can grow losses fastest.
- Is Martingale the best strategy?
- No strategy is best. Martingale can recover losses with one win, but its stakes grow exponentially during a losing run, as the table above shows.
- Where do I choose a staking strategy in the app?
- In the Trading Panel, use the Progression Strategies dropdown.
Keep reading
Risk warning: Trading binary options involves a high level of risk and you could lose your entire stake. Only trade with money you can afford to lose. This page is educational and is not financial advice.