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TIP: Recovering from a Drawdown

Discussion in 'Education, Tutorials & Courses' started by FXStreet_Team, Nov 5, 2015.

  1. FXStreet_Team

    FXStreet_Team Well-Known Member Trader

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    It's important to put a word of caution here: plan your Maximum Drawdowns and strive to keep them between 20 and 25%. Once Drawdowns exceed this amount it becomes increasingly difficult to completely recover. We will show the importance of keeping Drawdowns within reason in this section. An advice would be to look at the Maximum Drawdown that your strategy has produced so far, and expect to face a new Drawdown twice as big. Why? Because a registered Drawdown is always historical and

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