Trailing Drawdown Simulator

Six-step workflow

1. Copy current values from the official account, platform, or journal.
2. Keep every unit consistent; do not mix ticks, points, pips, dollars, or percentages.
3. Enter the planning assumptions without changing them to force a preferred answer.
4. Calculate and read every output, including the warning below the headline number.
5. Verify instrument specifications and binding firm rules at the official source.
6. Save the result with its date and compare it with what actually happened.

Understand the output

Formula: Modeled threshold = the lower of starting balance or high-water mark − trailing distance.

Worked example: A $51,500 high on a $50,000 start with $2,500 trailing distance produces $49,000, but a lock-at-start rule may cap the threshold at $50,000 depending on the program.

Common mistakes: using the wrong lock rule, confusing intraday and end-of-day updates, ignoring unrealized highs, and relying on a generic model.