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At 12:28 PM 7/9/01 +0200, you wrote: >>>> Besides this you can make numbers with the daily drawdown data. If you calculate the mean of all the daily drawdown data you can get an idea about the quality of your equity. If the mean is low that means that usually you have very few and small drawdowns and most of the time you are near the maximum of your equity, whereas if the mean is high you are using a system subject to many (or very long) drawdowns. In this case the mean is 11% and the maximum drawdown is around 38%...>>>
You can add some simple formulas in the A-F columns of your Explorer to see how many days (or percent of time), your equity is below a given percentage below its highest high - is in a specified DD condition.
I like to know how productive my system is, i.e. how much of the time that i am in the market is my money working positively for me. If you perform this check you may be surprised that your money is ONLY working for about 30% or 50% of the time.
More effcient use of your money is possible by using Equity feedback. If you are also working on an Equity feedback system and want to share ideas please email me at psytek@xxxxxxxx
For the basic "unproductive time" measurement I think (verify it) I used:
(Cum(C
and to find the number of periods my equity is more than 10% below its highest high:
ET:=0.9; (Cum(C
Modify at will. I just mention this to alert you that the columns in the Explorer can be used to provide additional valuable information.
Good luck, Herman.
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