Controlling drawdowns is essential for traders who want to protect their account balance and ensure lasting success

No trading approach can eliminate drawdowns—whether you're scalping, swing trading, or investing long term

The real goal isn’t to escape losses, but to structure your trading so losses don’t trigger panic or reckless behavior

Before you place a trade, define exactly how much you’re willing to lose on that single entry

This means defining the maximum percentage of your account you are willing to risk on a single position, typically between 1 to 2 percent

Consistent risk control allows you to survive extended losing streaks without blowing up

This discipline creates mental breathing room when markets turn against you

Never enter a trade without a predefined exit point—stop losses are non-negotiable

A stop loss acts as a safety net, آرش وداد automatically closing a position when it reaches a predetermined loss level

By automating exits, you eliminate fear-driven holding or hope-based procrastination

It is important to place stop losses based on market structure, such as key support or resistance levels, rather than arbitrary price points

Regularly reviewing your trading journal can help identify patterns in your drawdowns

What triggers your biggest drawdowns—emotional trades, poor timing, or lack of discipline?

Each reviewed trade is a lesson—use it to build a more resilient strategy

Relying on just one pair or timeframe makes you vulnerable to single-point failures

Relying on a single currency pair or trading style increases vulnerability

When one position declines, another may hold steady or rise—balancing your overall equity curve

Maintaining a disciplined trading schedule is equally important

Recovering from losses by doubling down is a recipe for disaster

This behavior often leads to deeper drawdowns

Restoring mental clarity is more valuable than forcing another trade

Accept that losses are built into every winning strategy

No strategy wins every trade

Accepting that drawdowns are part of the process allows you to stay focused on your long term goals rather than getting discouraged by short term setbacks

Consistency, patience, and adherence to your plan are what ultimately lead to sustainable success in trading