aslan said:
I know a guy who swears by what I call a "truncated martingale."
Funny, I actually thought about this recently. One of the problems with the Martingale is that eventually, you hit either the table max, your bankroll max. By "truncating" you prevent hitting the table max.
BUT you still have your bankroll max. Instead of having one large bankroll, he now has several small bankrolls. If he loses his truncated-max bet, that's still a destroyed bankroll. Then all he has left in that bankroll is the winnings from the winning bets.
Really, it's all the same, except that there's a clearly defined cap on when Martingale's "Big Loss" occurs.
And even then, he's not immune to the true Big Loss-- that is, losing EVERYTHING (in his case, all his bankrolls). He's still not immune to it. Say that he has a 1 unit bet, will 'Gale 4 times, then reset. So 1, 2, 4, 8. After he's lost his 4th step, that's 15 units gone, and he has to start back at 1. What is to stop ANOTHER 4 losses from occuring? 1, 2, 4, 8-- now he has 30 units gone. This can keep going on and on. Sure, unit-for-unit, he won't lose as much as a true Martingale, but he hasn't shielded himself from a complete devistating loss.
AND he still hasn't protected himself against the house edge. It doesn't matter how he lays out $5000, that $5000 is still vulnerable to the nibble of the HA. In fact, if you were to only consider the SHORT TERM (bleh), he's in worse shape than the True Martin. The TM is laying out bigger bets. If they both have the same starting bankroll and the same goal, the TM would reach it faster, since he's able to put out larger bets after the 4th loss. Fewer, larger bets mean less exposure to the house edge (and thus, reduces its impact. One spin of $10,000 vs. 10,000 spins of $1....)
In the end, if he's happy with his "working" system, nothing on this green Earth will keep his Galeing off the green felt. =)