Fixed Ratio

Fixed Ratio turns Ryan Jones' sizing schedule into a working simulation — the first library build of fixed ratio money management. A mark-to-market account starts at one contract and steps size up whenever accumulated profit clears the next ladder level, spaced so that moving from N to N+1 contracts costs N times the delta. The pane plots the equity curve against starting equity, draws the master ladder as dotted rungs labeled with their contract counts, and marks the operative add and cut levels as dashed lines.

How to Trade the Fixed Ratio?

• Add level: the dashed line above equity marks the profit that adds the next contract; reaching it steps size up, prints a ▲ label and fires the Size Increase alert.
• Cut level: equity falling below the level that justified the current size sheds a contract with a ▼ label and its own alert.
• Choosing the delta: there is no optimal value — it is a risk-appetite dial, and the dashboard's 1-Contract Max DD row shows the common historical reference used to set it.

Fixed Ratio Settings

• Starting Equity (default 25000): account value at the one-contract start.
• Delta (default 5000): profit per contract the schedule requires before adding the next one; smaller grows size aggressively, larger conservatively.
• Decrease Delta Fraction (default 1): at 1 the step-down mirrors the step-up; below 1 applies Jones' asymmetric variant, shedding size faster along compressed levels in drawdowns.
• Custom Start Date (off): anchor the simulation at a chosen date.
• Point Value (default 0): currency value of a one-point move; 0 uses the chart symbol's own.
• Show Dashboard (on) with Location (Top Right) and Size (Small); style — Ladder Levels and Size Change Labels (on).

Frequently Asked Questions

How does fixed ratio differ from the Kelly criterion?

The Kelly Criterion derives a size fraction from win rate and payoff estimates — size follows the estimated edge. Fixed ratio consults no edge statistics at all, tying size to accumulated profit alone, so it needs no distributional assumptions and cannot be inflated by optimistic ones.

Why is the first size increase so much easier than later ones?

The schedule is triangular: the level for N contracts sits delta x N x (N-1) / 2 above start, so each new contract must be earned with N deltas of profit. Fast early growth and harder consolidation are the method's signature.

What exactly does the simulation trade?

Nothing directional. It marks the scheduled position to market on every bar's close-to-close change and lets the ladder react — a sizing scheduler laid over the symbol's own path, not a strategy with entries and exits.