To use chat, please login.
Back to contacts

% of drawdown

alessandro712000
Apr 13 2014 at 14:00
2 posts
Hi everybody, a question on how to read the max DD. In a portfolio I read in the 'Stats' a value as max DD and if I click in 'Custom Analysis', select All periods and all currencies, then click 'Analyze', I get a different value of max DD??? Which one is the correct one? Or do they have different meanings?? Thank you

adrian8891 (adrian8891)
Apr 13 2014 at 16:56
696 posts
Myfxbook has always problems with Drawdown chart. But to answer Your question, it would be great to know, how Myfxbook is calculating DD.

PAMM MANAGER // Professional Fund Manager
togr (togr)
Apr 14 2014 at 08:19
4862 posts
I agree
the max DD shown in the left column under 'info'
does not match the max DD graph under Drawdown tab in the middle

Donex
Apr 14 2014 at 10:08
90 posts
I think the DD tab is plotted at the end of each day, and the Max DD in the column is dynamic, therefore during the course of the day, the account might have hit a higher profit before losing and then close of the day.

The DD in the column is worked out from the current highest gain to the current low dynamically, but if the DD in the tab is only plotted at the close of the day, it will be lower than the dynamic high as it does not take into account the highest point for that day, but maybe I'm wrong, dunno.

Hate your losers more than you like your winners
alessandro712000
Apr 15 2014 at 08:40
2 posts
what happens in my case is pretty strange - at least I have no explanation for it.
I display a portfolio and read the max DD in the Stats on the left. Then, I click on Custom Analysis, check all currencies for all period and save. The max DD read before in the Stats change (decrease in my case). Hence, the question is why simply using the Custom Analysis trigger a change of the same number in the same place????

minyu2 (minyu2)
May 01 2014 at 10:43
38 posts
togr posted:
I agree
the max DD shown in the left column under 'info'
does not match the max DD graph under Drawdown tab in the middle


I think on the left it use relative DD while the middle use DD from balance.

togr (togr)
May 01 2014 at 13:04
4862 posts
minyu2 posted:
togr posted:
I agree
the max DD shown in the left column under 'info'
does not match the max DD graph under Drawdown tab in the middle


I think on the left it use relative DD while the middle use DD from balance.


The difference
absolute DD is in currency e.g. $100
relative DD is in percentage e.g. 10%

This has nothing to do with DD shown on myfxbookk. Both is relative but numbers do not match.

Please login to comment .