At MILTRADERS, rule violations fall into two categories:
Soft Breach (Flag for Review): A soft breach triggers an automatic flag on your account. It does not result in immediate closure but does prompt a review by our risk team.
Examples of soft breaches: Micro-scalping (trades held under 10 seconds), news gambling patterns (single oversized trades right before a major release with no other activity), suspicious login activity (potentially flagged for VPN documentation review), identical trade patterns across multiple accounts (potential copy trading flag).
If your trading reflects a legitimate, consistent strategy, a flag will typically not affect your account standing.
Hard Breach (Immediate Account Closure): A hard breach results in immediate account closure and forfeiture of all profits, with no warnings or second chances.
Examples of hard breaches: Hedging (across accounts or across instruments), account sharing or copy trading (verified), use of bots, EAs, or automated trading systems, exceeding the EOD Trailing Drawdown, confirmed gambling behavior, chargebacks or payment fraud.
Trading with discipline and a clear strategy is the best way to stay clear of both types of breach.