Frequently Asked Questions about the Signals service - page 107

novi
243
novi  
Sergey Golubev:

Reply from admin:

about drawdown - reply from admin:

----------------

More - 

----------------

Dear Sergey, thanks for your reply. What i understand from the definition of PF is: PF = gross profit/gross loss. If a position is closed in huge drawdown; that means there is a major loss; that means PF will be less. Still I see some signals with PF = 50 but the website says due to drawdown it is not available for subscription. 

I thought if there is drawdown then PF would be much lower. I am actually raising this issue to understand the definition of PF and drawdown better. Is it possible to have a high PF like 50 or 60 with huge drawdown, from mathematical point of view, and based on the fact, there are only about 5 signals with such high PF within all MT4 signals.

Sergey Golubev
Moderator
110880
Sergey Golubev  
novi:

Dear Sergey, thanks for your reply. What i understand from the definition of PF is: PF = gross profit/gross loss. If a position is closed in huge drawdown; that means there is a major loss; that means PF will be less. Still I see some signals with PF = 50 but the website says due to drawdown it is not available for subscription. 

I thought if there is drawdown then PF would be much lower. I am actually raising this issue to understand the definition of PF and drawdown better. Is it possible to have a high PF like 50 or 60 with huge drawdown from technical view point and based on the fact, there are only about 5 signals with such high PF within all MT4 signals.

This drawdown and PF are automatically calculated by the robot in the Signal service. And the exact formulas (which are used in the signals) are not disclosed.
I just provided the replies of admins related to it.

I think - that it is floating drawdown based on open trades (and PF is based on the closed trades).
You can see the example as balance/equity chart: line in blue color is balance and line in brown is the equity (this example is not related to the signals; this is my personal trading by the EA) - 

------------

Did you see the warning messages on the left side of the signal pages?
Those messages are made by the robot (warning robot). Most of those warnings are on monthly basis - it means: if the signal provider improves his trading style so the warning robot will delete those messages, and the ranking robot will rank the signal to more higher position.
Same with drawdown.

The exact formulas of the ratings etc are not disclosed. 
We can only know everything from the replies of the admins (look at my posts above).

Sergey Golubev
Moderator
110880
Sergey Golubev  
Do you know - which kind of tool is most difficult to sell in the Market (concerning my opinion)?
EAs.
Because experience traders/buyers are not looking at the profit factor only. They are asking simple question: "Yes, I see that your EA is profitable, but can you reply - when can I lose money with your EA and why?".
They (some experience buyers/traders) are analysing the losses (and drawdown) more than the profit.
And that is why - some sellers (who are selling EAs) are providing the signals based on their EAs on the way as the following: "you can buy my EA, and you can see the performance of this EA on the signal (drawdown and so on)".
Juvenille Emperor Limited
Moderator
11782
Eleni Anna Branou  
novi:

Hi Eleni, the signal provider doesn't answer - so i am getting back to here. You can answer in a general perspective about the possible reasons. then i will find out by visiting the specific signal data what is happening there

I don't understand what are you asking.

novi
243
novi  
Eleni Anna Branou:

Signal's data, trading history and statistics are based on signal provider's account.

Hi Eleni, i understand that signal's data, trading history and statistics all are based on signal provider account. but are signal's data, trading history and statistics based on: 1) all trades in the signal provider account or 2) based on only the trades listed in trading history of the signal? I have proof that signal providers do not update all of their trading history in the signal trading history section

novi
243
novi  
Sergey Golubev:
Do you know - which kind of tool is most difficult to sell in the Market (concerning my opinion)?
EAs.
Because experience traders/buyers are not looking at the profit factor only. They are asking simple question: "Yes, I see that your EA is profitable, but can you reply - when can I lose money with your EA and why?".
They (some experience buyers/traders) are analysing the losses (and drawdown) more than the profit.
And that is why - some sellers (who are selling EAs) are providing the signals based on their EAs on the way as the following: "you can buy my EA, and you can see the performance of this EA on the signal (drawdown and so on)".

Dear Sergey, many thanks for your reply. the things are much clear now. btw, where i can see the rating of any signal?

also I found that monthly growth data in statistics page of the signal is just based on the last month's growth rather than average monthly growth based on entire lifetime. So I am wondering whether all statistics page data are based on entire signal lifetime or just based on last one month data? Do you have any idea?

Also in the signal filtering section, profit/month% has a range of 0-100%; but profit can be more than 100% in a month; also I have seen that profit/month% filter just considers last month data rather than entire signal lifetime data. So profit/month% is not a good filtering criteria. 

Juvenille Emperor Limited
Moderator
11782
Eleni Anna Branou  
novi:

Hi Eleni, i understand that signal's data, trading history and statistics all are based on signal provider account. but are signal's data, trading history and statistics based on: 1) all trades in the signal provider account or 2) based on only the trades listed in trading history of the signal? I have proof that signal providers do not update all of their trading history in the signal trading history section

All statistics are based on all trading history, except drawdown that is only valid from the date the signal has been connected to MQL5 signal database.

This is also visible on the main growth chart, where the light blue line represents the period before the signal was published on MQL5.com and the blue solid line that reflects the period after the connection.

novi
243
novi  
Eleni Anna Branou:

All statistics are based on all trading history, except drawdown that is only valid from the date the signal has been connected to MQL5 signal database.

This is also visible on the main growth chart, where the light blue line represents the period before the signal was published on MQL5.com and the blue solid line that reflects the period after the connection

Hi Eleni, many thanks for clarifying.

novi
243
novi  

Hi buddies,

I subscribed to one signal and see that the open positions ended in huge loss - my account equity dropped from $375 to $20. The signal provider still did not upload the trading history in mql5 platform. What to do in this context? I feel the signal provider is not at all managing the signal. Please give me some advice.

Sergey Golubev
Moderator
110880
Sergey Golubev  
novi:

Hi buddies,

I subscribed to one signal and see that the open positions ended in huge loss - my account equity dropped from $375 to $20. The signal provider still did not upload the trading history in mql5 platform. What to do in this context? I feel the signal provider is not at all managing the signal. Please give me some advice.

You can contact with the signal provider asking for his support with the situation.

----------------

Some tips - 

  • Do not subscribe to the signal provider who is losing money.
  • If you subscribe to the signal similar to scalping - use same broker (same with the signal provider) and MQL5 VPS for example.
  • There is one rule which some people follows: subscribe to signal provider you know in person or by activity on the forum.
  • Do not subscribe to the signal with already opened positions (wait when the positions will be closed for provider, or choose the other signal) - "It is not advisable to begin copying a signal with open positions - wait for the signal to close all positions and then synchronize with it" - post #5.