GJ,patience!The sequence of events you described was that you...

GJ,

patience!

The sequence of events you described was that you pyramided your position before you saw that resistance was holding. You are absolutely right that increasing my position is one of the things that I do, but let me explain, so you dont get the martingale philosophy

I quite commonly use the fib sequence for staging an entry.

If my hypothesis is that some line will hold as support or resistance, how do I know that price will reach the line for me to enter my position with minimised risk? The answer is I dont, so I might feel forced to enter a little early, with bigger inherent risk. So what I do is stage my entry.

I enter a little early with a smaller, testing the waters, position. I then add to the position, if price gets to the line that I am defending, and I see it rejecting the line. Quite commonly I then add to the position when it gets past my first entry (or maybe take some off if I made a big mistake).

The sequence in which I add is 1,1,2,3 but I rarely add the 3 component, usually only when price breaks a significant level then back tests.

So the answer is yes, but the timing and the logic is a little different. I am sure someone else has a similar, but distinctly different method. I would be surprised if Matt has not got something sneaky up his sleeve.

If price retreats from whatever my position is, without getting to my ideal entry point, I just think I am lucky, and follow it with a stop. I dont add and I dont chase.