The Maximum Absolute Drawdown is a pre-determined dollar amount representing the maximum allowed loss from your initial account balance on any given day.
The Max Absolute Drawdown is 6% of the Initial Account Balance. So, your losses should never surpass a 6% max loss of your initial account balance.
For example, if your initial account balance is $100,000
The Max Absolute Drawdown will be 6% x $100,000 = $6,000. Any balance and/or equity below $94,000 will result in your account being terminated