The Drawdown Recovery Period (month) is a crucial analytical tool in financial trading that helps evaluate the performance of a trading account or a specific trading strategy. This metric measures the time required to recover the account's equity after reaching its highest Equity Drawdown (EDD) during the trading period.

Calculation Formula:

Drawdown Recovery Period (month) = (EDD x Number of trading months) / Total Profit

Usage Guide:

1. Determine Total Profit: 

   First, determine the total profit of the account over the trading period as shown below.
   
   

2. Calculate the number of trading months: Identify the total number of trading months, considering each month as 30 days without rounding (e.g., 8.1 months).
3. Identify EDD: Retrieve the EDD value from your account on the trading platform as illustrated below.

Evaluate Results:

• Drawdown Recovery Period (month) > 6: Poor performance; the trading strategy needs reassessment.
• Drawdown Recovery Period (month) < 6: Good performance; this account is worth investing in.

Example:

• Trading period: From 01/01/2020 to 04/11/2022 (equivalent to 34.1 months)
• Total profit: $4354.29
• EDD: $571.88

Drawdown Recovery Period (month) = (571.88 x 34.1) / 4354.29 = 4.478