Drawdown Calculator

Drawdown measures the decline from a peak to a trough in your account balance. It's one of the most important metrics for evaluating trading performance and risk management discipline.

The math of recovery is asymmetric: a 50% loss requires a 100% gain to break even, and a 75% loss needs a 300% return. This is why protecting capital and limiting drawdowns is more important than chasing large gains.

Use the Position Size Calculator to keep individual trade risk small, and combine it with GrandAlgo indicators to improve your win rate and reduce drawdown periods. Read more about surviving losing streaks and managing drawdown limits in prop firm challenges.