Equity vs. Balance vote results
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Equity vs. Balance Discussion
Member Since Dec 31, 2009
141 posts
Feb 05, 2010 at 19:05
(edited Feb 05, 2010 at 19:08)
Member Since Dec 31, 2009
141 posts
Hi there...
The true value of any given system at any given point in time is measured by EQUITY, not BALANCE.
If one were to close all open trades at market right now, the balance will adjust to equity, as opposed to the equity adjusting to balance.
I believe a fundamental problem with the reporting of system performance in MyFXBook (which I think is a great platform by the way) is that the true value of systems is by default obscured by balance emphasis instead of equity emphasis. My suggestion is that all of the primary reporting of system performance be by equity ranking, not balance ranking. Also, I think if balances and balance growth percentages are to be shown on graphs at all, those figures should have secondary prominence after equity and equity growth.
For example, when viewing the first graphs of any given system if I saw BOLD lines for equity and equity growth and then dotted lines (or such) for the current balance / balance growth then I could see both the true value of a system AND what kind of result is reflected 'in the bank'. Systems where equity leads are cleary superior and systems where equity trails (or worse, where equity displays a widing gap to balance) are clearly inferior.
I realize one can glance over to the current equity figure on the left but...
thx for a great site! t.
The true value of any given system at any given point in time is measured by EQUITY, not BALANCE.
If one were to close all open trades at market right now, the balance will adjust to equity, as opposed to the equity adjusting to balance.
I believe a fundamental problem with the reporting of system performance in MyFXBook (which I think is a great platform by the way) is that the true value of systems is by default obscured by balance emphasis instead of equity emphasis. My suggestion is that all of the primary reporting of system performance be by equity ranking, not balance ranking. Also, I think if balances and balance growth percentages are to be shown on graphs at all, those figures should have secondary prominence after equity and equity growth.
For example, when viewing the first graphs of any given system if I saw BOLD lines for equity and equity growth and then dotted lines (or such) for the current balance / balance growth then I could see both the true value of a system AND what kind of result is reflected 'in the bank'. Systems where equity leads are cleary superior and systems where equity trails (or worse, where equity displays a widing gap to balance) are clearly inferior.
I realize one can glance over to the current equity figure on the left but...
thx for a great site! t.
Gear on the left...
Member Since Jul 31, 2009
1444 posts
Feb 05, 2010 at 19:17
Member Since Jul 31, 2009
1444 posts
T, you're absolutely correct.
As stated before, it's under development and since it's one of the more complex features we've been requested to do, it's still under development. We're very busy with the daily amount of suggestions and do try to keep up.
Thanks!
As stated before, it's under development and since it's one of the more complex features we've been requested to do, it's still under development. We're very busy with the daily amount of suggestions and do try to keep up.
Thanks!
Member Since Dec 31, 2009
141 posts
Feb 26, 2010 at 21:18
Member Since Sep 30, 2009
6 posts
I second that. When I'm looking at all my account in my portfolio ( on the /portfolio page ) I see the balance, but it's nowhere close to the equity. I always find myself going into each account to actually see how I'm doing and see how much of a float I have.
Member Since Feb 25, 2010
29 posts
Apr 20, 2010 at 12:26
Member Since Feb 25, 2010
29 posts
Hi T. Buitendyk,
I wanted to post the same, until i saw your post. I could not say it more clear than you did.
Now i daily check the floating manually for each and every ea, and make an equity graph by hand, so i can't wait to see an equity curve automated here.
P.s. are you from the Netherlands like me?
Greetings
I wanted to post the same, until i saw your post. I could not say it more clear than you did.
Now i daily check the floating manually for each and every ea, and make an equity graph by hand, so i can't wait to see an equity curve automated here.
P.s. are you from the Netherlands like me?
Greetings
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