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Fallacies, Part 1: Money Management is Secondary and Not Very Important

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by , 10-09-2017 at 08:04 AM (1204 Views)
      
   
Fallacies, Part 1: Money Management is Secondary and Not Very Important

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In this article we will discuss very simple things that can very often be deceptive - the graphs of an account balance in the testing report. In reports of strategy testing by beginners we can often see exponential balance/equity graphs and multibillion results by the end of the testing period. Such results usually invoke skeptical comments of experienced EA writers who know where these exponents come from, and immediately recommend to show results on a fixed lot (usually 0.1).

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