Every trader hits losing streaks — the question is whether your account survives them. This free drawdown calculator applies N consecutive losses of X% each to your starting balance so you know your worst-case trading drawdown before it happens. Essential for forex, XAUUSD, and prop firm traders.
Drawdown Calculator is part of the free Aurex Trader calculator suite — 23 browser-based tools for gold (XAUUSD) and forex traders. Nothing is installed, no account is required, and every calculation runs locally in your browser.
Formula: Remaining Balance = Starting Balance × (1 − Loss %)^N | Drawdown % = (Start − Remaining) ÷ Start × 100
Most professional strategies experience 10%–20% drawdowns from equity peaks even during profitable periods. Drawdowns above 30% are a serious warning sign — either the strategy is broken or position sizes are too large.
The math is brutal: a 20% drawdown requires 25% gain to break even; 50% drawdown needs 100% gain. That's why avoiding large drawdowns is more important than chasing large returns.
Prop firms enforce fixed dollar drawdown limits (usually 5%–10% max) that fail the account when breached. Use our Prop Firm Drawdown Calculator for that specific check.