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How to know average drawdown per trade?

Arcforex
Mar 02 2018 at 14:58
38 posts
Hello there.

I want to ask this question. How to know the average drawdown per trade and highest drawdown per trade?

I think this data is important to determined a good system.

Let say an account state that their highest drawdown is 10%, but that 10% only recorded if the trader close their position.

what if their trade are running 30%, and decide to hedge their position, by luck, their account recover to 10% drawdown and close the position.

Clauderolf
Mar 04 2018 at 06:27
5 posts

You are absolutely right, the data and graphics are the most important to verify the usefulness of an investment system. Did you find the answer to your question?

TradingtheCloud (TradingtheCloud)
Mar 06 2018 at 06:31
38 posts
The Maximum Adverse Excursion (MAE) can reveal the maximum loss, either as a percentage or pips, a trade had performed before the trade is closed.

MAE can be used to optimize stoploss limit setting by looking at the level (negative gaon or pips) where the losing trades are unlikely to recover.

Arcforex
Mar 06 2018 at 14:53
38 posts
Clauderolf posted:

You are absolutely right, the data and graphics are the most important to verify the usefulness of an investment system. Did you find the answer to your question?


no, im still looking. please let me know if you found the solution.

Arcforex
Mar 06 2018 at 14:56
38 posts
TradingtheCloud posted:
The Maximum Adverse Excursion (MAE) can reveal the maximum loss, either as a percentage or pips, a trade had performed before the trade is closed.

MAE can be used to optimize stoploss limit setting by looking at the level (negative gaon or pips) where the losing trades are unlikely to recover.


what if the account was open 3 years ago and connected with myfxbook only 1 day. can we still read it? because myfxbook absolutely cant read their previous live position recorded.

TradingtheCloud (TradingtheCloud)
Mar 07 2018 at 06:59
38 posts
Now you are askng another question. The point is that MAE is used to see how much one trade had been dragged down before it was closed to answer your original query.

Arcforex
Mar 07 2018 at 12:52
38 posts
TradingtheCloud posted:
Now you are askng another question. The point is that MAE is used to see how much one trade had been dragged down before it was closed to answer your original query.


so are you saying this MAE only available when connected to myfxbook? and mt4 does not have this information?

TradingtheCloud (TradingtheCloud)
Mar 08 2018 at 06:15
38 posts
Arcforex posted:
TradingtheCloud posted:
Now you are askng another question. The point is that MAE is used to see how much one trade had been dragged down before it was closed to answer your original query.


so are you saying this MAE only available when connected to myfxbook? and mt4 does not have this information?


Metaquotes publishes end of day statement that has timestamp, order id, price, equity, which you can find under the history tab. From this information available on the statements, you can write a program to plot daily end-of-day metrics like equity chart, drawdown, MAE, profit factor etc even if the trader has shutdown his or her machine as these statements are generated from live servers and all regulated brokers keep such records as long as the account is active. Yes some bucket shop brokers delete old statements as it takes valuable storage space.

It is up to the good analytical program to extract these data to plot it accurately. Myfxbook does a very good job too like others out there.

When a trader keeps the account connected with myfxbook, then it is possible to collect high resolution intraday data and record any sudden spikes in data which otherwise could not be captured by end of day statement.

AmDiab
Mar 14 2018 at 08:37
718 posts
TradingtheCloud posted:
Arcforex posted:
TradingtheCloud posted:
Now you are askng another question. The point is that MAE is used to see how much one trade had been dragged down before it was closed to answer your original query.




When a trader keeps the account connected with myfxbook, then it is possible to collect high resolution intraday data and record any sudden spikes in data which otherwise could not be captured by end of day statement.


Thanks a lot for your information’s; it’s also useful to me.

Arcforex
Mar 19 2018 at 07:55
38 posts
TradingtheCloud posted:
Arcforex posted:
TradingtheCloud posted:
Now you are askng another question. The point is that MAE is used to see how much one trade had been dragged down before it was closed to answer your original query.


so are you saying this MAE only available when connected to myfxbook? and mt4 does not have this information?


Metaquotes publishes end of day statement that has timestamp, order id, price, equity, which you can find under the history tab. From this information available on the statements, you can write a program to plot daily end-of-day metrics like equity chart, drawdown, MAE, profit factor etc even if the trader has shutdown his or her machine as these statements are generated from live servers and all regulated brokers keep such records as long as the account is active. Yes some bucket shop brokers delete old statements as it takes valuable storage space.

It is up to the good analytical program to extract these data to plot it accurately. Myfxbook does a very good job too like others out there.

When a trader keeps the account connected with myfxbook, then it is possible to collect high resolution intraday data and record any sudden spikes in data which otherwise could not be captured by end of day statement.


hey, i think there must be some problem with myfxbook data system.

take a look at this account https://goo.gl/s5HJNu

in the account info, the drawdown stated as 3%

when we look at monthly analytic at the bottom we can see the highest negative gain for this account is -7.02%

but at the drawdown chart at the top it shows 19.47% as the highest.


i thougt the drawdown at the account info is the highest drawdown ever recorded.
please explain why it differ and show the right way to analyze a trader drawdown.


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