❓ Question#risk-management
M
Market Hawk
Trader · · 601 views
What is the maximum drawdown I should accept before stopping?
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How much drawdown is acceptable before I should take a break and review my strategy?
👍🔥📈15 reactions2 answers
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💡 2 Answers
✅Best Answer
WA
Wolf Alpha
Trader · 15 days ago
Common thresholds: daily max loss = 2-3% of account. Monthly max drawdown = 10%. If you hit these levels, stop trading for the rest of that period and review what went wrong.
👍 11
WA
Wolf Alpha
Trader · 15 days ago
Professional traders often have hard rules: if I lose X% in a day, I stop immediately. The emotional state after big losses is not conducive to good decision-making. Protecting capital is job number one.
👍 15
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