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10FOUR Daily Account Drawdown Explained

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Written by 10 Four

This article explains how the trailing drawdown works in the 10FOUR Daily Account, including how the floor moves, when it locks, and how the daily loss limit differs.


How the End-of-Day Trailing Drawdown Works

The drawdown floor is calculated from your highest end-of-day account balance. The floor updates once per day at 5:00 PM ET — it moves up as your balance grows and never moves down.

Enforcement is real-time throughout the trading day. If your account balance touches the drawdown floor at any point during the session, the account fails immediately — regardless of where your balance was at the start of the day.


Drawdown Amounts

Account

Drawdown Amount

$25,000

$1,250

$50,000

$2,500

$100,000

$3,000

$150,000

$4,000

Example ($50,000 account): You start at $50,000. After a strong session you close the day at $52,000. Your drawdown floor moves up to $49,500 ($52,000 − $2,500). The next day your live floor is $49,500 — even if your balance falls back toward $50,000.


Evaluation vs. Funded — Same Mechanics

The trailing drawdown works identically in evaluation and in your funded account. In both cases:

  • The floor only updates at 5:00 PM ET based on the day's closing balance

  • The floor only moves up — it never moves down with losses

  • Touching the floor at any moment during the trading day is an immediate failure

In evaluation, failure means your evaluation ends. In a funded account, failure means the account is permanently closed.


Drawdown Lock (Funded Accounts)

Once your funded account's end-of-day balance reaches the lock trigger, the drawdown floor locks permanently at $100 above your starting balance.

Account

Lock Trigger

Locked Floor

$25,000

$26,350

$25,100

$50,000

$52,600

$50,100

$100,000

$103,100

$100,100

$150,000

$154,100

$150,100

After the lock, the floor never moves again regardless of subsequent gains or losses. The lock triggers at exactly the same point you first become eligible to request a payout — so your drawdown floor is protected the moment you can start withdrawing.


Daily Loss Limit (Funded Accounts Only)

Funded accounts have a separate daily loss limit (DLL). The DLL is not the same as the trailing drawdown — hitting the DLL is a soft breach only.

Account

Daily Loss Limit

$25,000

$800

$50,000

$1,250

$100,000

$1,500

$150,000

$2,000

Hitting the daily loss limit pauses trading for the rest of the session. Trading resumes when the next session opens at 6:00 PM ET. Your funded account is not closed or reset.

There is no daily loss limit during evaluation.

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