Floating Drawdown is the unrealised loss on one or more open trades on the same symbol, measured against the Initial Account Balance. Because the trade is still open, the loss can recover or worsen before the trade is closed.
Floating Drawdown is assessed on a combined basis per symbol.
Example: if a trader has several open XAUUSD positions on a $100,000 account and their combined unrealised loss is $1,600, the floating drawdown on that symbol is 1.6% of the Initial Account Balance.
Related Terms: Section 7.7
