Sizing against a weekly drawdown ceiling

Field Notes

Sizing against a weekly drawdown ceiling

Pick the weekly loss you refuse to exceed before you pick the trade. Example: a ₩20,000,000 book with a 3% weekly ceiling allows ₩600,000 of closed losses before you stand down.

If you take at most three attempts per week at 1% risk each, the arithmetic is already tense — three full stops consume the ceiling. Wide stops therefore demand smaller size, not bigger conviction stories.

Risk-to-reward planning and sizing are one conversation. A beautiful 1:3 map with a stop so wide that a single loss burns half the week is not a beautiful map; it is a scheduling problem disguised as analysis.