Meri Strategy V2: How 50% Equity Compounding Works
Meri V2 uses the same entry logic as V1 but sizes every trade at 50% of current equity. Here's why compounding changes the long-term curve dramatically.
Meri Strategy V2 looks identical to V1 at first glance, same 5m EMA crossover, same RSI filter, same 15m trend confirmation. The one difference is position sizing, and it's bigger than it sounds.
V1 vs V2 in one line
- V1, Fixed 10% of your INITIAL investment per trade
- V2, 50% of your CURRENT equity per trade (position size grows with wins, shrinks with losses)
Why compounding matters
Imagine $100 starting capital. V1 risks $10 per trade regardless of how the account has done. If you've grown to $200, V1 is still risking $10, but that's only 5% now. It's getting less aggressive as you succeed.
V2 risks 50% of current equity. On $100 it's $50. After a win that takes you to $110, V2 now risks $55. After a loss that takes you to $95, V2 risks $47.50.
Compounding magnifies both wins and losses, but in a stretched way: losing streaks auto-shrink the position size, while winning streaks auto-expand it.
The math over 100 trades
With a 40% win rate and 2:1 reward:risk, both V1 and V2 are profitable. But V2's equity curve is steeper, it took the same signals and turned them into larger and larger trades as the account grew.
Why position size is locked in V2
V2's magic comes from the 50% equity sizing. Letting users dial this down to 10% would defeat the purpose, you'd get V1 with a confusing name. So the deploy dialog locks it at 50% and tells you clearly.
When to pick V2 over V1
- You have $200+ capital (so 50% of equity is still above broker minimums)
- You understand and accept larger drawdowns
- You want compounding to do its work over 6–12 months
V1 is the safer starting point. V2 is for people who've already watched V1 run for a few weeks and want more punch.
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