What is it?
The Daily Loss Limit (DLL) is the maximum amount a trader can lose in a single day before trading is restricted until the next session. All our DLLs are soft breaches, which means your account is still valid even if you hit it so long as you haven’t hit your Max Loss Limit.
How does it work in LucidTest?
Our LucidTest Accounts have a Static DLL which never changes. See the table below:
Account Size | Static DLL Amount |
$50,000 | $1,200 |
$100,000 | $1,800 |
$150,000 | $2,700 |
If you hit the DLL amount listed in the above table, you will be restricted from trading until the next day so long as you have not reached your Max Loss Limit.
How does it work in LucidPro?
The DLL in our LucidPro accounts start out with the same Static DLL as in LucidTest while the account balances are below the initial trail balance. See the table below:
Account Size | Static DLL | Initial Trail Balance |
$50,000 | $1,200 | $52,100 |
$100,000 | $1,800 | $103,100 |
$150,000 | $2,700 | $154,600 |
Once the account balance has an end of day close over the initial trail, the Static DLL drops off and the LucidScale kicks in. The LucidScale increases your DLL as your account grows. The LucidScale is calculated the same way for all account sizes: 60% of your highest end of day account profit.The LucidScale DLL never goes down, it only grows with your account providing maximum flexibility. Use the following formula to calculate it:
Highest end of day account profit X 60% = LucidScale DLL
Example
You start the day with $52,000 in a LucidPro Account. You make $2,000 to end the day with $4,000 in total profit. This is the highest profit amount you have ever had in this LucidPro Account.
$4000 X .6 = $2,400
Your new LucidScale DLL will be $2,400 until you have an end of day profit over $4,000 at which point the calculation will be made again.
How does it work in LucidDirect?
LucidDirect accounts start out with a Static DLL while the account balances are below the initial trail balance. See the table below:
Account Size | Static DLL | Initial Trail Balance |
$50,000 | $1,200 | $52,100 |
$150,000 | $3,600 | $156,100 |
Once the account balance has an end of day close over the initial trail, the Static DLL drops off and the LucidScale kicks in. The LucidScale is calculated the same way as in LucidPro: 60% of your highest end of day account profit, it never goes down, it only grows with your account. Use the same formula to calculate it:
Highest end of day account profit X 60% = LucidScale DLL
Why do we have it?
Daily Loss Limits protect both traders and the firm from excessive risk. Our DLLs promote long-term success by preventing major setbacks and offering flexibility for traders focused on growing their LucidPro Accounts.
