Drawdown Math Is Crueler Than It Looks
A 50% loss doesn’t need a 50% gain to recover. It needs 100%. This mathematical asymmetry destroys more trading accounts than bad entries ever will.
A 50% loss doesn’t need a 50% gain to recover. It needs 100%. This mathematical asymmetry destroys more trading accounts than bad entries ever will.
Traders with written plans outperform by 30-40%, but most plans are too long to use under pressure. A one-page checklist beats a detailed manual when your position is underwater.