Why does the “Growth since…” chart not reflect my recovery after new deposits?

 

Hello everyone,

I’ve been reviewing my signal on MQL5 and I’m puzzled by the behavior of the “Growth since…” indicator:

  • Initial deposit: USD 500
  • I lost that initial capital, the account dropped to almost zero → chart showed –95%
  • Since then I’ve made additional deposits totaling USD 15,210 and withdrawals of USD 6,795.33
  • Current equity: USD 24,419.46 (net profit ≈ USD 15,558)

Despite this, “Growth since 2022” still shows –91% and the growth line never climbs above that negative point. I expected that after recovering and growing, the curve would turn upward and display a positive percentage.

Why does it work this way?

 
Manuel Gonzales:


i am only guessing, however, here are my 2 assumptions:

1. the rating is based on your initial deposit; adding a much larger deposit will not change the initial deposit, therefore this cannot effect the rating that way.

2. returns of over 50% are excluded from ratings, so i read in other thread that was responded to by a moderator.

 
Manuel Gonzales:

Hello everyone,

I’ve been reviewing my signal on MQL5 and I’m puzzled by the behavior of the “Growth since…” indicator:

  • Initial deposit: USD 500

  • I lost that initial capital, the account dropped to almost zero → chart showed –95%

  • Since then I’ve made additional deposits totaling USD 15,210 and withdrawals of USD 6,795.33

  • Current equity: USD 24,419.46 (net profit ≈ USD 15,558)

Despite this, “Growth since 2022” still shows –91% and the growth line never climbs above that negative point. I expected that after recovering and growing, the curve would turn upward and display a positive percentage.

Why does it work this way?

Deposits are not "growth"! Artificially growing your account with deposits, would be a "lie" to your subscribers.

You lost that initial money, so you have to make up for it in true percentage profit before it can ever again begin to show a positive growth. 

Mathematically, to be able to recover from a 95% loss, requires a gain of 2000% (100% / (100% - 95%)). Only then, will your account get back to positive growth.

 

Also, just under your signal's growth table, there is a link ...  How is the Growth in Signals Calculated? 

I suggest you follow up and read it!

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  • 2013.02.20
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Fernando Carreiro #:

Deposits are not "growth"! Artificially growing your account with deposits, would be a "lie" to your subscribers.

You lost that initial money, so you have to make up for it in true percentage profit before it can ever again begin to show a positive growth. 

Mathematically, to be able to recover from a 95% loss, requires a gain of 2000% (100% / (100% - 95%)). Only then, will your account get back to positive growth.

Do I understand correctly that, since my current “Growth since…” is –95% (historical factor 0.05), I could simply withdraw down to USD 25 of equity and then achieve a new growth factor of 20 (i.e., a +1900% return on those USD 25, taking them to about USD 500) so that 0.05×20=1

and thus the “Growth since…” chart would reset to 0%? or am I understanding it wrong?

Thanks in advance.

 
Manuel Gonzales #:

Do I understand correctly that, since my current “Growth since…” is –95% (historical factor 0.05), I could simply withdraw down to USD 25 of equity and then achieve a new growth factor of 20 (i.e., a +1900% return on those USD 25, taking them to about USD 500) so that 0.05×20=1

and thus the “Growth since…” chart would reset to 0%? or am I understanding it wrong?

Thanks in advance.

Not quite! In simple terms, technically yes, but its not quite that simple.

Reducing your balance to $25 with a withdrawal, and then taking it $500 quickly with pure profit, would require very high risk trading, with high deposit loads and risky drawdowns, which would affect your other signal metrics negatively.

So, there is no benefit in reducing your current capital. Which ever way you look at it, your signal reputation was ruined by the initial high loss, and you are not going to be able to recover so easily.

The simplest way to solve this, would be to start a new signal with a new clean account.