What is Drawdown?
Drawdown: The fall in an account from its highest value to the lowest point after it, measuring a run of losses.
More terms
- Copy trading
- A service that automatically copies another trader's positions into your account in a proportion you choose, with the risk still on your mon...
- Currency pair
- The price of one currency in another: the first is the base currency and the second the quote currency, so EUR/USD at 1.10 means one euro co...
- Demo account
- An account with virtual money and real prices for trying a platform or strategy without risking your own money.
- ECN account
- An account that routes your orders to a network of liquidity providers, with raw spreads near zero plus a fixed commission per lot.
- Equity
- Your account balance plus the profit or loss of open positions: what the account would be worth if everything were closed now.
- Financial regulator
- A government body that licenses and supervises brokers and sets investor-protection rules, such as the UK FCA, Cyprus CySEC and Australia's...