It's important to put a word of caution here: plan your Maximum Drawdowns and strive to keep them between 20 and 25%. Once Drawdowns exceed this amount it becomes increasingly difficult to completely recover.
An advice would be to look at the Maximum Drawdown that your strategy has produced so far, and expect to face a new Drawdown twice as big. Why? Because a registered Drawdown is always historical and a new one can always happen. As you know, past performance is no guarantee of future results. Thus, the next Maximum Drawdown might be much greater than the historical one. If your account, your system and your psyche can stand a Drawdown twice as big as the one you experienced in the past, then you have a sound control of your capital. Read More
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REPORT: Self-Regulate To Successfully Manage Your Trade - Dr. Woody Johnson
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Editors’ Picks
AUD/USD remained bid above 0.6500
AUD/USD extended further its bullish performance, advancing for the fourth session in a row on Thursday, although a sustainable breakout of the key 200-day SMA at 0.6526 still remain elusive.
EUR/USD faces a minor resistance near at 1.0750
EUR/USD quickly left behind Wednesday’s small downtick and resumed its uptrend north of 1.0700 the figure, always on the back of the persistent sell-off in the US Dollar ahead of key PCE data on Friday.
Gold holds around $2,330 after dismal US data
Gold fell below $2,320 in the early American session as US yields shot higher after the data showed a significant increase in the US GDP price deflator in Q1. With safe-haven flows dominating the markets, however, XAU/USD reversed its direction and rose above $2,340.
Bitcoin price continues to get rejected from $65K resistance as SEC delays decision on spot BTC ETF options
Bitcoin (BTC) price has markets in disarray, provoking a broader market crash as it slumped to the $62,000 range on Thursday. Meanwhile, reverberations from spot BTC exchange-traded funds (ETFs) continue to influence the market.
US economy: slower growth with stronger inflation
The dollar strengthened, and stocks fell after statistical data from the US. The focus was on the preliminary estimate of GDP for the first quarter. Annualised quarterly growth came in at just 1.6%, down from the 2.5% and 3.4% previously forecast.
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