It's strictly about the math ...
If you trade your accounts in terms of dollars as opposed to percent
I would still convert dollars to percent so that you can see the
percentage drawdowns unless of course for some reason that statistic
is of no particular value to you.
--- In amibroker@yahoogroups.com, Dennis Brown <[EMAIL PROTECTED]> wrote:
>
> Fred,
>
> What do you attribute that to, and how would you overcome it?
> I actually trade some accounts that way in real life.
>
> Dennis
>
> On Aug 30, 2006, at 6:37 PM, Fred wrote:
>
> > Practices like this have a tendancy to obscure large percentage
> > drawdowns ...
> >
> > --- In amibroker@yahoogroups.com, Dennis Brown <see3d@> wrote:
> >>
> >>
> >> It might be better to limit trades to a constant $ amount and
look at
> >> absolute $ gains instead of % gains.
> >> That way it reflects the performance at any random entry point
in the
> >> system. Just pretend you take all the profits away and pay the
bills
> >> with them every month. LOL
> >> I just started thinking about this, so I am not sure how to set
up AB
> >> to test this way.
> >>
> >> Dennis
> >>
>
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