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10FOUR INSTANT Drawdown and Daily Loss Limit

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Written by 10 Four

End-of-Day Drawdown

10FOUR INSTANT accounts use an End-of-Day (EOD) Drawdown system to determine the Maximum Loss Limit (MLL).

Unlike intraday trailing drawdown models, the EOD drawdown is calculated once per trading session using the account's closing balance.

How it works

  • At the end of each trading session, the system calculates the account’s highest closing balance.

  • The Maximum Loss Limit (MLL) increases as your balance increases.

  • Once the account balance exceeds the initial trail balance, the MLL locks and stops moving.


Drawdown Parameters by Account Size

Account Size

MLL Amount

Initial Trail Balance

Locked MLL Balance

$25,000

$1,000

$26,100

$25,100

$50,000

$2,000

$52,100

$50,100

$100,000

$3,000

$103,100

$100,100

$150,000

$6,000

$156,100

$150,100


Additional Rules

  • The Maximum Loss Limit (MLL) increases with the account’s highest closing balance until the initial trail balance is reached.

  • Once the initial trail balance is exceeded, the MLL locks at the starting account balance plus $100.

  • If the account balance reaches the Maximum Loss Limit, the account is considered breached.


Example

A trader starts with a $50,000 Instant account.

  • The Maximum Loss Limit is $2,000.

  • The Initial Trail Balance is $52,100.

If the trader grows the account above $52,100, the drawdown will lock at $50,100.

From that point onward, the account must remain above $50,100 to stay active.


Daily Loss Limit (DLL)

The Daily Loss Limit (DLL) defines the maximum amount a trader can lose within a single trading session before trading is temporarily restricted.

At 10FOUR, the DLL is considered a soft limit, meaning:

  • Your account is not closed if the DLL is reached

  • You will be prevented from placing new trades for the remainder of that trading session

  • Trading access is automatically restored at the start of the next session, provided your Maximum Loss Limit (MLL) has not been breached

Reaching the DLL simply pauses your trading activity for the day — it does not terminate your account.


10FOUR Instant — Funded Account DLL

10FOUR Instant accounts begin with a fixed Daily Loss Limit, which later transitions into a performance-based model once certain thresholds are met.


Fixed DLL & Initial Trail Levels

Account Size

Fixed DLL

Initial Trail Balance

$25,000

None

None

$50,000

$1,200

$52,100

$100,000

$2,100

$103,600

$150,000

$3,000

$155,100


Once your account closes above the Initial Trail Balance, the fixed DLL is replaced with a dynamic Daily Loss Limitthat adjusts based on your performance.


Dynamic Daily Loss Limit

After scaling, your Daily Loss Limit is calculated using the following:

Highest end-of-day profit × 60% = Daily Loss Limit


How It Works

  • The DLL increases as your account grows

  • It does not decrease, even if your account balance declines afterward

  • This allows traders to lock in risk capacity while scaling profits


Example

Let’s say your account reaches a highest end-of-day profit of $2,500.

Your new Daily Loss Limit would be:

$2,500 × 60% = $1,500

This means:

  • You can lose up to $1,500 in a single trading day before being restricted

  • This limit will remain in place unless your account reaches a new profit high


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