How I Turn $20 into $100 on Deriv
45sShows a quick, relatable profit-making strategy with a 20-30% return, enticing viewers with potential earnings.
▶ Play ClipAI Summary
This video is a live trading session on Deriv, where the trader demonstrates a Higher/Lower strategy on synthetic indices using a compensation barrier to target 20-30% returns. The session shows real-time entries on both appreciation and depreciation, with martingale management and loss-splitting techniques used to recover from a $100 loss and close with a profit of $118.6.
Chapters
[00:02]
Strategy Overview
The trader introduces the Higher/Lower strategy on Deriv with a compensation barrier, targeting a 20-30% return. Focus is on synthetic indices, switching between markets as opportunities arise.
[00:14]
First Entry Setup
The trader configures the barrier and places a first entry on depreciation (asset going down), using five contract ticks for faster execution.
[00:26]
First Win
First entry wins $19.87. The trader emphasizes maintaining the same volatility setting to avoid resetting the barrier between trades.
[00:39]
Switching Direction
The trader places the barrier down and enters on appreciation (asset going up), showing flexibility in switching between rise and fall trades.
[00:54]
Bollinger Band Analysis
Another win at $19.87. The trader anticipates the asset seeking the upper Bollinger Band, using this technical indicator to time entries.
[01:09]
Martingale Management
The trader explains using martingale management to recover losses, or alternatively paying in installments to reduce exposure.
[01:38]
Taking a Loss
The trader takes a $100 loss. The recommended strategy is to split the loss into smaller entries rather than exposing a high stake.
[01:50]
Loss Splitting Technique
The $100 loss is split into two smaller entries. The trader uses devaluation again with the safety barrier in place above the initial entry.
[02:04]
Recovery Begins
The first recovery entry brings back $59.65, with the balance at $59.01. The safety barrier continues working above the initial entry.
[02:30]
Final Result
The session closes with $118.6 in profit, demonstrating the effectiveness of the compensation barrier and loss-splitting strategy.
[02:43]
Exposure Reduction
With a 20% safety net, the trader notes you can pay the Gale (martingale) in three installments to further reduce exposure during recovery.
The session demonstrates that combining a compensation barrier with disciplined loss-splitting and martingale management can turn a $100 loss into a $118.6 profit. The key principle is that with a high level of security in your favor, you don't need to expose yourself with a very high stake on your next entry.
Mentioned in this Video
Tutorial Checklist
1
00:02
Set up a compensation barrier on Deriv's Higher/Lower contracts targeting a 20-30% return on synthetic indices.
2
00:14
Configure the barrier and place a first entry on depreciation (asset going down) using five contract ticks for faster execution.
3
00:26
Maintain the same volatility setting across trades to avoid resetting the barrier each time.
4
00:39
Place the barrier down and enter on appreciation (asset going up) when market direction shifts.
5
00:54
Use Bollinger Bands to anticipate price targets (e.g., upper band) and time entries accordingly.
6
01:09
When taking a loss, use martingale management to recover it, or pay in installments to reduce exposure.
7
01:38
Split the loss into smaller entries (e.g., a $100 loss into two entries) rather than risking a high stake on the next trade.
8
02:43
With a 20% safety net, pay the martingale in three installments to further reduce exposure during recovery.
Study Flashcards (6)
What return does the trader target with the compensation barrier strategy on Deriv?
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What return does the trader target with the compensation barrier strategy on Deriv?
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A 20-30% return.
00:02
What strategy is used to recover losses in this trading approach?
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What strategy is used to recover losses in this trading approach?
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Martingale management, or paying in installments.
01:09
What technical indicator does the trader use to anticipate price movement?
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What technical indicator does the trader use to anticipate price movement?
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Bollinger Bands.
00:54
What is the recommended approach when taking a loss with a high security level?
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What is the recommended approach when taking a loss with a high security level?
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Split the loss into smaller entries rather than exposing yourself with a very high stake on the next entry.
01:38
With a 20% safety net, how can you further reduce exposure during recovery?
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With a 20% safety net, how can you further reduce exposure during recovery?
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Pay the Gale (martingale) in three installments.
02:43
What was the final profit amount in this trading session?
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What was the final profit amount in this trading session?
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$118.6.
02:30
💡 Key Takeaways
💡
Compensation Barrier Strategy
Using a compensation barrier allows targeting consistent 20-30% returns while maintaining a safety net — a core principle for risk-controlled trading.
00:02
🔧
Martingale for Loss Recovery
Martingale management helps recover losses, but splitting into installments reduces exposure — a practical risk management technique.
01:09
🔧
Smart Loss Splitting
Instead of risking a large stake after a loss, splitting it into smaller entries reduces risk while still recovering the loss.
01:38
⚖️
Exposure Reduction Principle
A 20% safety net allows paying martingale in three installments, further reducing exposure during recovery — a key principle for sustainable trading.
02:43Full Transcript
[00:02] in the higher and lower markets here on Deriv with a compensation barrier that will bring me a 20-30% return, okay? I'm currently focused on synthetic indices, switching between markets as opportunities arise. Five contract ticks
[00:14] to get it faster. Here I configure my barrier, so I'm going to put several clips from these inputs. First entry here, depreciation. Come on, waiting, oh, my compensation barrier is up there
[00:26] my compensation barrier is up there . Okay, let's go, putting in some money. Hey, cool. First entry there, look, 19.87. I think it's interesting to maintain the same volatility so that I don't end up setting a barrier every time, okay? Now
[00:39] I'm going to put the barrier down, okay? Let's now place an entry on the rise in the direction of the asset's appreciation . Here, look, is my compensation barrier near the initial entrance. Here's another little appetizer. 19.87. Look,
[00:54] the asset is going up. Another entry. Another win. 1987. I really think the asset will seek the upper Bollinger Band. I'm going to make another little if I lose an entry and I 'm working with martingale management
[01:09] to recover the loss, okay? Or you can also pay in installments. Here, look, another can also pay in installments. Here, look, another entrance. 1987. I'm already at 79.48. depreciation right now. Let's see if this market will depreciate.
[01:23] I'll wait at least a little longer, but since I have a barrier in my favor, there you go, another entry, another win. 19.88 This time I'm almost $100 and I'm already making a down payment here. Hmm. Oh, it went up quite a bit. Let's see if he
[01:38] can recover below the compensation barrier. He's working very closely with her. I took a loss. Now I've lost 100. In these loss situations, when you're working with a high level of security, what 's the best course of action? You split your
[01:50] gay part. You get twice the amount of a lower value. I have 100 here. I'm going to make two entries of $300. I'm going to use the devaluation again now. He's working over there on my upper Bollinger band. Let's take a look over there. It's
[02:04] compensation barrier. I lost 100. On the first entry I already recovered 5965. With all the gains and that loss. Right now I have 5901. He left a fuse there. I have my
[02:17] safety barrier up there above my initial entrance, working there. Next. initial entrance, working there. Next. Okay, it went down there, look. Another 5965. Okay, it went down there, look. Another 5965. Putting this here. 59. Oops, 5965.
[02:30] I closed with 1186. That's how it works, folks. If you're working with a very high level of security in your favor, you don't need to expose yourself with a very high stake on your next entry. You can pay in two or
[02:43] you're using. Since I had a safety net of around 20%, you can even pay the Gale bond in three installments and further reduce that exposure during the recovery. But that's it, 118 there working with higher and lower in the
[02:57] working with higher and lower in the derivative. M.
