The Overall trailing drawdown limit is 5% of the highest recorded balance.
Example: Account Size: $100,000
Current Simulated Profit: 5% ($5,000)
Highest Recorded Balance: $105,000
Trailing Drawdown Calculation: $105,000 – $5,000= $100,000
Scenario 1: Full Withdrawal of Simulated Profits:
The overall trailing drawdown limit will completely reset. Overall limit after withdrawal: $95,000
Scenario 2: Partial Withdrawal of Simulated Profits
Withdrawal Amount: $2,000, Available Drawdown: $3,000
Result: Overall Drawdown Limit becomes $3,000 ($105,000 – $2,000 = $103,000)