Drawdown recovery
How much you need to gain to climb back after a loss.
Results
How it works
Losses hurt more than gains help. Down 10% you need 11.1% to recover, down 20% you need 25%, and down 50% you need 100%. The formula is 1 / (1 - drawdown) - 1.
That is why cutting risk per trade is the cheapest way to stay in the game.