EA Signal Reliability only increase when make losses and recover it?

 

I have been testing my EA performance on a signal

And like any trading system can have days of winnings and days of losses

The only thing I noticed that when I use new account and be a winning day, or most trades are winning the reliability of signal be low ( 1-red or 2-orange )

But when start the day with a loss and the system recover these losses, usually I get high reliability more than 4 or 4.5 ( dark Green )

I just don't know how this reliability system works and really so confusing for me, to under-rate winning and give high reliability to system that started with loss then recovered it

What you think about it?

 
samyhussein:

I have been testing my EA performance on a signal

And like any trading system can have days of winnings and days of losses

The only thing I noticed that when I use new account and be a winning day, or most trades are winning the reliability of signal be low ( 1-red or 2-orange )

But when start the day with a loss and the system recover these losses, usually I get high reliability more than 4 or 4.5 ( dark Green )

I just don't know how this reliability system works and really so confusing for me, to under-rate winning and give high reliability to system that started with loss then recovered it

What you think about it?

Without knowing the complete underlying logic of the signal, all that I can say is that it sounds like Martingale "risk management" is incorporated into the signal's' logic. I put risk management because Martingale is not a valid recovery method. You can take any trading strategy having unprofitable entry logic and create the appearance of profitability merely by adding Martingale to that logic. Martingale simply refuses to take any loss whatsoever─a fatal mistake in any strategy. Martingale is a ticking time bomb because, inevitably, continued doubling down leads to a situation in which the account balance/margin required no longer supports opening additional trades. This is why I refer to it as Martingarbage.