Drawdown(Drawdown)
The decline of an account from its peak to its lowest point, expressed as a percentage or amount. Maximum drawdown shows the strategy's worst period and the limit of your psychological resilience.
Also written as: DD · geri çekilme
Recovering a 20% drawdown requires a 25% gain, and recovering a 50% drawdown requires a 100% gain; the math is asymmetric. That is why avoiding large drawdowns matters more than chasing large gains.
At prop firms, the "total drawdown" limit can be static (based on the starting balance) or trailing (measured from the peak); the trailing type is far stricter.
Related terms
Where it appears in the guides
Guides whose text uses this term; most frequent first.
- Performans metrikleri: kazanma oranı, profit factor, SharpeStrategy & Backtesting11×
- Fibonacci: geri çekilme ve uzatmaTechnical Analysis9×
- Strateji portföyü: birden fazla kenarStrategy & Backtesting9×
- Çoklu zaman dilimi analiziTechnical Analysis8×
- Drawdown yönetimi: kayıp serilerinden çıkışRisk & Money Management8×
- Değerlendirme aşamaları: 1-2-3 adım ve instant fundingProp Firm Process7×