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Significance (experience) IA calculation

As I read here, with 250 trading decisions the max. Value of 10 would be reached.

How is it calculated when the trader is hedging or averaging down his position in a market?
What’s a trading decision then?
Every account position or another logic?

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Will 250 trading decision actually give exp 10?

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I am not sure.
NZU for example shows Ex of 1.7 with about 44 trading decisions and 97 trades.
I would like to know what is a trading decision and what is not of these 97 trades as MT4 counts it.

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Yes but according to trading journal NZU has overlapping trades on the same market in the same direction.
A significant trading decision needs a different setup.


Please take a look here.


Hi guys!

For more information on how we calculate Experience, check this article.

For the record:

Experience is tracked in D-Periods.

1 D-Period is approximately equivalent to one month (22 market days) of daily trading.

BUT: D-Period doesn´t just credit time. It accounts for market exposure, as follows:

Independent trading decisions - e.g. multiple simultaneous trades in a single asset (or highly positively correlated assets) accrue the same experience as a single trade in that asset
Scattering of length of individual positions
Scattering of D-Leverage across individual positions
Global D-Score is penalized for all strategies with Experience below 12 D-Periods - the heavier, the further away from 12 D-Periods. Similarly, trades further away in history than 12 D-Periods are ignored for the scoring, to ensure that analysis is focused on the most recent (and therefore, relevant) data.

In order to collect 1 D-period of experience, any trader needs to meet 2 criteria:

15 trading days => Days in which the trader has operated (buy, sell, partial sell, etc.)
18 representative trading decisions. We measure how representative a decision is based on 2 factors: D-leverage and Duration. In fact, we calculate every single position’s representativeness with the following formula: Market Exposure = D-leverage * Sqrt Time
We grant 1 full representative decision to the position with the highest exposure within the last 15 trading days. With this one acting as a benchmark, we calculate how representative the other positions, opened in the last 15 trading days, are.


What does simultaneous trades mean? Is the delay between 2 trades in the same asset limited? Going long today and tomorrow is one single trading decision if the first position is still open tomorrow?


As we measure market exposure and not number of trades, that means that making 10 orders 0.1 lots in the same moment is the same as 1 order of 1 lot.

If you trade in one direction today and then on the other direction tomorrow, it is simoultaneous trades. :grin:

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