What is your average drawdown for winners?

Discussion in 'Professional Trading' started by indahook, Jun 30, 2006.

whats your avg drawdown on winners?

  1. (.01-.25)

    10 vote(s)
  2. (.26-.51)

    3 vote(s)
  3. (.52-.75)

    1 vote(s)
  4. (.76-1.00 )or greater?

    6 vote(s)
  1. I have always been under the impression that a good trade will go your way pretty much immediately. But of course all of us trade differently. I am curious as to where you guys/gals stand on this subject.

    My avg drawdown on winners is (.12%) and losers is (2.30%). Big difference..so I guess my next step is to figure out at what point I can cut losers shorter without affecting gains too much.

    Oh, my avg holding period is 4.07 days winners 5.07 days losers.

    This is all based on last 100 trades.
  2. My vote could be deceptive as usually my hedge displays a loser and winner taken at the same time.
  3. Understood. I`m sure there are strategies traded here that this does not apply to at all. See - Riskarb`s rocket science exotics..:)
  4. Are you asking about maximum peak-to-valley drawdown; or, average maximum drop below breakeven?
  5. Max drop from below breakeven.
  6. your drawdown is on swing tradin', do u ever day trade? if so does it differ?

    for what concerns me, on daytradin' i still [very rarely] take 2-3% losses and thats no good even tho the stuff i trade is usually volatile. lookin' back those losses are not justified one bit; i need to work on cuttin' 'em short and avoid watchin' pnl gettin' red by full percentages since i noticed that .3%, sometimes .6% would have done the job. winners i let 'em ride, but many times not enough, like gm on premkt today, got out with less than 1% only to watch it rocket non-stop, but on many trades i have been able to get out at the top lately....lots of work to do still tho, that's for zure.
  7. A quick but intensly focused study of your results has uncover the following;

    You hold your losers a day longer than your winners.

    Stop falling in love with your positions and you'll be just fine.
  8. LOL..thanks for your analysis. I cut my losses quickly..it just seems to be that the losers take a little longer to play out. Odd that its exactly 1 day though.
  9. Does not differ. The only time I daytrade is when I open a position and i`m stopped/target is met intraday.
  10. I'm glad you get my sense of humor ... most here do not. Question ... do you scale into positions or take the whole size at once?
    #10     Jun 30, 2006