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Which ratio do you consider most by choosing a signal?

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Maik Prothmann
505
Maik Prothmann 2016.09.13 09:20 
  • 6%
    (3)
  • 11%
    (6)
  • 57%
    (30)
  • 4%
    (2)
  • 2%
    (1)
  • 2%
    (1)
  • 9%
    (5)
  • 9%
    (5)
Total voters: 53
Mohammad Soubra
25019
Mohammad Soubra 2016.09.13 09:32  
Multi-selection would be better
Because customer may look/compare more than one option 
Not only one
I have selected "DD"
..
Good Luck
Maik Prothmann
505
Maik Prothmann 2016.09.13 09:51  
Mohammad Soubra:
Multi-selection would be better
Because customer may look/compare more than one option 
Not only one
I have selected "DD"
..
Good Luck

Thanks for your vote and I think you are absolutely right.

I also thought about that point and didn’t choose multi-selection because I only want to know the most influencing ratio.

I think I will do another poll with multi-selection, so we can ascertain the combination of the most influencing one too.

Muhammad Elbermawi
3065
Muhammad Elbermawi 2016.09.13 10:02  

Recovery Factor is my choice.

By definition recovery factor is the ratio between the absolute profit  to the maximum DD.

Most of people here will choose DD as if they say we want safe trading, but how trading can be safe without making profits. that is why I can see that the relation between both profits & DD is much more important.

Maik Prothmann
505
Maik Prothmann 2016.09.13 10:35  
Muhammad Elbermawi:

Recovery Factor is my choice.

By definition recovery factor is the ratio between the absolute profit  to the maximum DD.

Most of people here will choose DD as if they say we want safe trading, but how trading can be safe without making profits. that is why I can see that the relation between both profits & DD is much more important.

Thank you too for your voting.

That is an interesting point of view and maybe some will now reconsider their decision.

I'm not quite sure how mql calculates this ratio because according to my knowledge the recovery factor can be define as "the amount of equal payments to be received for n years such that the total present value of all these equal payments is equivalent to a payment of one dollar at present, if interest rate is i".

Do you know the formula of the calculation from mql?

Despite all of that you are right, because without making enough profits you can’t earn money.



Stuart Browne
5819
Stuart Browne 2016.09.13 11:34  
Maik Prothmann:


Do you know the formula of the calculation from mql? 

 

If you hover your mouse over the profit factor on a signal you get MQL's definition of PF:

The profit factor shows how many times the gross profit exceeds the gross loss.
Maik Prothmann
505
Maik Prothmann 2016.09.13 11:48  
Stuart Browne:

 

If you hover your mouse over the profit factor on a signal you get MQL's definition of PF:

Great, thanks for this excellent advice.

scalpinghk
90
scalpinghk 2016.09.13 15:53  
I agree recovery factor is for me the most important.
green-pips
250
green-pips 2016.09.13 19:37  
Drawdown ...invest on fx  high of risk......remember that
Mobarak Ali
6363
Mobarak Ali 2016.09.18 18:04  
Growth and Trading activity.
biggie smalls
57
biggie smalls 2016.09.19 08:18  
#1 is profit trades, then refer to draw down. I'm also a big fan of the sharpe ratio, my (free!) signal boasts a .9 but the trading is sporadic and really doesn't apply to people that intend to withdraw funds more than once per quarter. I think the more accurate a signal is (ratio of how many times in a row profit vs. loss) the less risky it will probably be in the long-term. The quality of judgement in a trader is what's the most important in a time-frame greater than 10 years and 10 years of the gains many of these signals boast is enough to turn a $10,000 account into millions in just a mere handful of years.
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