Originally Posted By: liftoff
If I understand correctly he wants to know why in the Zorro report max drawdown is not shown as a percentage of equity peak at the point it occurred but in dollar values.


I would think as a percentage of balance peak rather than equity.

Since DD$ is the difference between a balance peak and the lowest subsequent equity valley in account currency units, it would be nice to also have a DD% as the difference between a balance peak and the lowest subsequent equity valley as a % of the balance peak used to calculate DD$.

This, for example, is how myfxbook calculates equity and would be useful for comparing live trading DD results to test DD where the starting capital is different.

If I understand correctly, the DD% that Zorro gives is a % of the final gross profit (not the gross profit at the time of the DD).