A clear overview of the key trading rules and requirements you need to follow while completing your challenge account.
How Is Account Inactivity Calculated?
If your account has no trading activity for 21 consecutive calendar days, it will be breached. The inactivity period starts from the day the account is purchased, not from the day you place your first trade.
This rule applies to both Evaluation and simulated Funded Accounts, so make sure to keep your account active while following all trading rules.
Stop Loss & Take Profit Rule
FundedSquad does not require traders to use Stop Loss (SL) or Take Profit (TP) levels. However, using them is strongly recommended as part of responsible risk management and to help control potential losses.
Expert Advisors (EAs)
Expert Advisors are allowed on FundedSquad accounts as long as they follow all trading rules and do not use any prohibited trading practices. High-Frequency Trading (HFT) and Gold Arbitrage EAs are not permitted.
VPN and VPS Policy
VPN and VPS usage is not allowed on FundedSquad accounts. All trading must be done without a VPN or Virtual Private Server (VPS) to maintain account security and comply with our policies.
Using a VPN or VPS may result in an account violation. Please ensure you trade directly from your regular device and connection.
Copy Trading
FundedSquad allows copy trading under specific conditions, as long as the activity is transparent and follows our trading rules.
You may copy trades from or to your own personal trading account or an account with another prop firm. Copy trading between FundedSquad accounts is also allowed. We may ask for proof of account ownership, such as the account number, investor password, or server details.
Using third-party copy trading services or allowing someone else to manage your account is strictly prohibited. Taking trades from someone who sells signals or provides trade signals is also considered prohibited copy trading.
FundedSquad may review trading activity if suspicious copy trading is detected. Any activity that does not follow these rules may result in account disqualification.
Signal services are not allowed during the evaluation process. Copying trades from signal providers or other traders is considered a rule violation and may result in the termination of your account.
Lot Size Limits for Evaluation Accounts (Funded Stage)
FundedSquad has specific lot size limits for One-Step and Two-Step Evaluation accounts. Please review the applicable limits for your account model and make sure your trade sizes remain within the allowed limits.
Lot size restrictions on forex pairs:
Account Size | Max Lot Size (per forex pair per trade) |
$2,500 | 0.2 lots |
$5,000 | 0.4 lots |
$10,000 | 0.8 lots |
$25,000 | 2.0 lots |
$50,000 | 4.0 lots |
$100,000 | 6.0 lots |
$200,000 | 8.0 lots |
Lot Size Limits on gold (XAUUSD):
Account Size | Max Lot Size |
$2,500 | 0.1 lots |
$5,000 | 0.2 lots |
$10,000 | 0.4 lots |
$25,000 | 0.8 lots |
$50,000 | 1.5 lots |
$100,000 | 2.5 lots |
$200,000 | 4.0 lots |
How These Limits Work
Please note: These limits apply per trading pair at a time, not to your total lot exposure.
You can open multiple trades at the same time, as long as:
No single pair exceeds its allowed lot size limit.
Your total leverage remains within your account’s available margin capacity.
Important Notes
Lot size restrictions apply to the funded phase of One-Step and Two-Step Evaluation accounts.
There are no lot size limits during the challenge phases.
Weekend Holding Rule
Weekend holding is allowed by default on the following account types:
One-Step: Evaluation and Funded phases
Two-Step: Evaluation and Funded phases across all models
One-Step Pro: Evaluation Phase 1 only
For the One-Step Pro Funded phase, weekend holding is only available if you have purchased the Weekend Holding add-on.
What are the News trading rules for Evaluation and Evaluation Funded accounts?
Is news trading allowed during Phase 1 and Phase 2 (Evaluation)?
Yes. News trading is fully allowed during Phase 1 and Phase 2. There is no restricted window, and you can open new trades freely around news events.
Is news trading allowed on Evaluation Funded accounts?
No. Opening new trades is not allowed during the restricted window around news on Evaluation Funded accounts.
Am I allowed to hold trades during news?
Yes, holding trades during news is allowed at all times, on both Evaluation and Evaluation Funded accounts. Only opening new trades during the restricted window is not allowed.
Are All Day News events and tentative news trading allowed?
Yes, on both Evaluation and Evaluation Funded accounts. You're free to trade during these periods. However, manage your positions carefully FundedSquad is not responsible for losses caused by market volatility during news events.
Restricted Window (Evaluation Funded)
What is the restricted window?
You may not open new trades 4 minutes before and 4 minutes after a news event (8 minutes total). Evaluation accounts have no such restriction.
What happens to trades opened before the restricted window?
- Trades opened 2+ hours before news are fully safe both profits and account status are unaffected.
- Trades opened before the restricted window are safe to hold. - If closed during news in profit, the profit is removed but the account remains safe.
- If closed at a loss, it's treated as a normal loss with no issue.
What happens if I open a trade inside the restricted window?
This is a violation and will result in payout rejection.
What if a pending order was placed before the window but executes during news window?
This is also a violation, even though the order itself was placed before the restricted window began.
Can you give an example of the restricted window?
If news is scheduled for 2:00 PM, the restricted window is 1:56 PM – 2:04 PM. New trades cannot be opened in this period holding existing trades is allowed.
Scenarios
- Evaluation: A trade opened before, during, or around news and closed by SL/TP or manually: no violation, P/L stands as normal.
- Evaluation Funded: A trade opened 2+ hours before news and closed by SL/TP or manually: no violation, account safe, P/L stands as normal.
- Evaluation Funded: A trade opened before the restricted window that closes in profit during news: no violation, account safe, but the profit is removed during review. Losses remain your responsibility.
- Evaluation Funded: A trade opened inside the restricted window that closes during or after news: violation, results in payout rejection.
- Evaluation Funded: A pending (limit) order placed before the restricted window but triggered during it: violation.
- Both: Holding trades during news under any condition: not a violation.
What is the minimum trade duration rule, and how does the add-on work?
What is the minimum trade duration rule?
For all 2 Step and 1 Step Evaluation Accounts, all trades must be held for a minimum of 2 minutes, across all phases (Phase 1, Phase 2, and Funded). Any trade closed before 2 minutes will be considered a violation of FundedSquad's rules.
Is there a way to bypass the minimum trade duration rule?
Yes. FundedSquad offers a 2-Minute Add-On. If you purchase this add-on along with your account, trades closed before 2 minutes will not be counted as a violation.
Which accounts is the 2-Minute Add-On available for?
The add-on is available for account sizes up to $10,000, across all models, including Instant accounts.
Does the add-on remove the minimum trade duration rule entirely?
No. It removes the violation consequence for trades closed early the standard rule still applies to accounts without the add-on.
Max Risk Rule
This rule applies only to floating losses from open trades.
If your floating loss reaches 1.5% of your initial account balance at any time, it is considered a violation.
Breach Handling
First violation: This is a soft breach, and your profit split will be reduced to 40%.
Second violation: This is a hard breach, and your account will be terminated.
When Does the Rule Apply?
The 1.5% Max Risk limit can be reached through:
One open trade reaching a floating loss of 1.5%.
Multiple open trades together reaching a total floating loss of 1.5%.
Example
For a $50,000 account:
1.5% Max Risk = $750
If one open trade reaches -$750 floating loss, the Max Risk Rule is violated.
If multiple open trades together reach -$750 floating loss, the rule is also violated.
The rule applies even if the trade later recovers or is closed in profit.
Important Note
The 1.5% Max Risk limit does not decrease because of previous closed losses.
For example, if you lose 1% on one trade and close it, you can still have up to 1.5% floating loss on your next trade.
Daily Drawdown and Maximum Drawdown work differently. Previous losses reduce the remaining room available under these drawdown limits.
Risk Management
Please manage your risk carefully and keep your floating loss within the 1.5% Max Risk limit. Repeated violations of this rule can lead to account termination.
Risk Review and Rule Violations
If FundedSquad detects a rule breach or prohibited trading activity on your account, the Risk Team will conduct a full review. This review may take place when you request a payout or after you successfully complete the challenge phases.
If a violation is confirmed, your account will be terminated, and your payout will be rejected.
FundedSquad reserves the right to take appropriate action to maintain fair and consistent trading conditions across the platform.