Question

From what i undertand it is impossible to completely prevent a transaction from deadlocking.

I would like to have transaction that neverfail from the perpective of application code.
So i have seen this pattern in use for Microsoft SQL and I wonder if this is a good idea?

    DECLARE @retry  tinyint
    SET @retry  = 5
    WHILE @retry >0
    BEGIN
      BEGIN TRANSACTION
      BEGIN TRY
        // do transaction her
        COMMIT
        BREAK
      END TRY
      BEGIN CATCH
        ROLLBACK

        if (ERROR_NUMBER() = 1205 OR ERROR_NUMBER() = 1222)
        BEGIN
          SET @retry = @retry - 1
          IF @retry = 0
             RAISEERROR('Could not complete transaction',16,1);
          WAITFOR DELAY '00:00:00.05' -- Wait for 50 ms
          CONTINUE
        END
        ELSE
        BEGIN
          RAISEERROR('Non-deadlock condition encountered',16,1);
          BREAK;
        END
      END CATCH;
    END

Answer 1

Retry logic for recoverable errors should be in the client code.

For deadlocks, MSDN states to do it there

If you retry in SQL, then you may hit CommandTimeout eventually.

There are other errors too so you can write a generic handler