Charting Your Equity Curve
February 12th, 2008Here’s a great post by Trembling Hand Trader where he charts his P&L and provides a little technical analysis as if it were a stock chart.
This is absolutely accurate that you can analyze your P&L charts this way. The performance charts that StockTickr provides do this for your automatically.
Another type of chart that would be interesting to look at is your actual account equity. There is no doubt that a lot of traders trade differently when their account value approaches big round numbers with lots of zeros on the end (from either direction), just like many actual stock charts.
Hat tip to John via his Twitter feed.
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