What's your plan for your second deposit?
The first deposit is optimism; the second is strategy — or desperation after blowing the first. The decision between them shapes everything that follows.
How did you approach it?
- what changed between deposit one and two
- the size and the rules that came with it
- what you'd tell someone about to make their second deposit
If the first deposit was lost, the drawdown guide is worth reading before the second one.
Background: Drawdown and recovery: why a 50% loss needs a 100% gain
Losses and gains aren't symmetrical. See how much you need to recover from a drawdown, what losing streaks do at different risk levels and how to set limits.
How much do you need to gain to recover from a 50% loss?
100%. The gain needed is the loss divided by one minus the loss, so larger drawdowns need disproportionately larger gains.
What is maximum drawdown?
The largest fall in account value from a peak to a later low, before a new peak is reached, usually expressed as a percentage.
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