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What is drawdown in trading?

    What is drawdown in trading?

    A drawdown refers to the decline in value or equity of an investment or trading account from a high to subsequent low. It is usually expressed as a percentage and it measures and helps investors understand the risk of a particular investment.

    For copy trading, the drawdown of a provider's strategy shows the losses incurred for a specific period of time.


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    Trade responsibly: CFDs are complex instruments and come with a high risk of losing all your invested capital due to leverage.