The Math Of Recovery
Every loss sets a higher bar to climb back. This shows the exact gain you need to recover a drawdown, and why cutting small beats hoping through big.
Your Drawdown
Your Climb Back
The best recovery is the one you never needed. Cutting a loss at 10% asks for an 11% gain to heal. Letting it run to 50% asks for 100%. Discipline on the way down is worth more than brilliance on the way back.
For educational purposes only. Verify figures with your broker before trading. Not financial advice.