Hey all
What exactly does drawdown refer to and how do I calculate the real DD%.
I'm running the Beastie EA and on a 5k demo I've seen it down 700 dollars (I'm testing using high lots)
so that should be about 12% drawdown but if I generate a Detailed Statement in MT4 it says the drawdown is only 2%
Is max drawdown not the highest amount of money your open trades has lost?
EDIT:
Forgot to mention I was already up 500, so about 10%. So drawdown must mean how deep into your initial deposit you go?
What exactly does drawdown refer to and how do I calculate the real DD%.
I'm running the Beastie EA and on a 5k demo I've seen it down 700 dollars (I'm testing using high lots)
so that should be about 12% drawdown but if I generate a Detailed Statement in MT4 it says the drawdown is only 2%
Is max drawdown not the highest amount of money your open trades has lost?
EDIT:
Forgot to mention I was already up 500, so about 10%. So drawdown must mean how deep into your initial deposit you go?