MAX DAILY LOSS
Our Instant Funded Accounts do not have a Max Daily Loss Limit and therefore the below only applies for 2- Step Evaluation & Funded Accounts.
The Maximum Daily Loss is the maximum amount you are allowed to lose in a single day, calculated using the initial balance.
Max Daily Loss = 4% x (Initial Balance)
Your Daily Stop Out Level is the level that your daily equity, which includes your floating Profit and Loss (PnL) plus all closed positions for that day, must not go below. The Daily Stop Out Level is calculated using the higher value between your account's equity and balance at the start of the day.
Daily Stop Out Level = Max (Start of Day Balance or Equity) - (Max Daily Loss)
This rule ensures that your daily losses remain within a manageable limit, protecting both your capital and the overall stability of your trading account. The Maximum Daily Loss and Stop Out Level resets every day at 00:00 UTC +0 /server time.
EXAMPLE
You hold a $120,000 funded account, and at the start of day 21, your account balance is $124,000, and your equity is $126,000.
Daily Loss = 4% x $120,000 = $4,800
The Equity is used since the equity is higher than the balance at the start of Day 21.
Daily Stop Out Level = $126,000 - $4800 = $121,200
Should your equity drop below $121,200 at any moment on day 21, your account will be closed.
EXAMPLE
You hold a $120,000 funded account, and at the start of day 11, your account balance is $124,000, and your equity is $121,000.
Daily Loss = 4% x $120,000 = $4,800
Since the equity is lower than the balance at the start of Day 11, the balance is used.
Daily Stop Out Level = $121,000 - $4800 = $116,200
Should your equity drop below $116,200 at any moment on day 11 your account will be closed.
MAX OVERALL LOSS
The Maximum Overall Loss is the amount your balance or equity can not go below overall. The Max Overall Loss is based on the Initial Account Balance. So if you acquired an $80,000 Instant Funding Account and you lose more than 6% ($4,800) your account will be closed. This means your Balance or Equity can never drop below $75,200. If you acquire one of our 2 Step Evaluation Programs, your Max Overall Loss is set at 8%. So if you hold a $120,000 Funded Account, your Overall Loss can never exceed ($9,600). This means your Balance or Equity on a $120,000 account can never drop below $110,400.