S&P 600 SmallCap Downtrend Replay (2006-07-03 to 2006-07-21)
Replay a 7.9% S&P 600 SmallCap correction across 30 daily bars from 2006-06-20 to 2006-08-01 in this educational scenario. Walk through seven decision points, three of them critical, and receive an AI coach review on each simulated trade.
30 daily bars · 7 decision points · 2006-06 to 2006-08 · Stocks
Key facts
This window spans 42 days with a peak-to-trough drawdown of 7.9% and a 6.4% run-up.
- Max drawdown
- −7.9%
- Max run-up
- +6.4%
- Duration
- 42 days
- Largest single-day move
- +3.5%
- Bars
- 30 Daily bars
- Decision points
- 7
Every figure above is computed programmatically from this replay’s own candle series — no editorial input, no LLM. Methodology: Methodology
The market advances day by day. You only see candles up to the current day — as if you were really there.
At key decision points choose Buy / Trim / Exit / Hold. Each decision advances the timeline by one day.
After settlement you get a six-dimension score and an AI coach review. Your result enters the scenario leaderboard.
Event Replay
What happened — and what it teaches
The S&P 600 SmallCap index entered a correction phase during the summer of 2006, providing a textbook case study of how small-cap equities can behave during a period of sustained downward pressure. Over 30 daily bars from 2006-06-20 to 2006-08-01, traders and investors faced the challenge of navigating a market environment where the dominant trend was lower. The stakes were significant: maintaining portfolio discipline while avoiding panic selling required a clear understanding of one's process and risk parameters.
The numbers reveal the severity of the move. The index dropped from a closing value of 29.38, eventually recovering to close at 29.58 by the end of the period, representing a modest net gain of 0.7%. However, the journey was far from calm—the maximum drawdown reached 7.9%, with individual daily moves as large as 3.5%. Seven decision points punctuated the correction, three of which presented critical junctures where strategic choices could have materially altered outcomes.
This replay emphasizes that surviving a correction demands as much psychological resilience as analytical skill. The gap between maximum drawdown and final return illustrates why process matters more than prediction. Investors who maintained discipline through the 7.9% peak-to-trough decline were rewarded, but only if they could manage the emotional toll of watching daily losses accumulate. The scenario trains participants to practice position sizing, adherence to stop-loss principles, and emotional control—skills that transfer across decades and market conditions.
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