Adverse and favourable movement
Maximum adverse excursion (MAE) describes the lowest observed trade P&L along the historical path. Maximum favourable excursion (MFE) describes the highest observed value before the position closed. A trade’s closing result can differ substantially from either observation.
Comparing MFE with final P&L can help you examine profit giveback. MAE helps you examine how much pressure a trade experienced before it ended. These are descriptive observations, not recommendations for a stop, target or future trade.
Drawdown adds the sequence
Drawdown measures a decline from an earlier P&L peak to a later trough. It captures the order of observations, so it answers a different question from the lowest value alone. A combined strategy is measured along its combined observed path, not by adding separate leg extrema.
The available observations and known execution boundaries determine the path. One-minute sampling is not tick-accurate, and missing data can mean a larger movement was never observed. Read incomplete coverage alongside the metrics rather than treating them as verified lifetime extremes.