Tradecopia's Risk Management feature automatically closes positions and halts trading when a configured threshold is reached — protecting your prop firm account from breaches without requiring manual monitoring.

You might need this article if:

You want to understand what the risk management feature does before setting it up
You're not sure whether your risk rules are active or just saved
You want to know what happens on your account when a limit is reached
You're managing a funded prop firm account and want automated breach protection
You're trying to understand the difference between enabling and locking your risk settings

What you can configure

The Risk Management panel lets you set the following parameters per account:

Parameter	What it controls	Availability
Daily loss limit	Maximum loss allowed in a single trading day	All brokers
Daily profit limit	Maximum profit allowed in a single trading day	All brokers
Weekly loss limit	Maximum loss allowed across a full trading week	Tradovate only
Weekly profit limit	Maximum profit allowed across a full trading week	Tradovate only
Trailing drawdown	Dynamic drawdown limit that follows your account's peak balance	Coming soon — not yet active
Trades limit	Maximum number of trades allowed in the configured period	All brokers

Note: Trailing drawdown is visible in the Risk Management UI but is not yet active. It will be enabled in a future release. Do not configure or rely on this parameter for active risk protection.

For step-by-step instructions on configuring these parameters, see How do I configure risk management parameters?.

What happens when a limit is reached

When any enabled parameter threshold is hit, the risk manager responds immediately:

Sends a market close instruction to the affected account
Halts replication for that account
Blocks new trades from opening
Displays a pause icon beside the affected account in the Risk Management panel

The pause icon is specific to risk manager events. It is distinct from the Position Reconciler breach indicator and from a manually disabled replication toggle — if you see it, a risk limit was reached, not a connection or configuration issue.

Slippage on exits: The market close is executed at the broker level at market price. In fast-moving markets, the final exit price may differ from your configured threshold — this is broker-side execution slippage, not a risk manager failure. See Why do follower orders fill at a different price than the leader? for a full explanation.

Enabling vs locking — a critical distinction

These are two separate actions and the most important thing to understand about this feature:

Enabling activates the rule. A parameter that is configured but not enabled will not trigger — the limit is saved but not being enforced. This is the most common reason risk management does not work as expected.

Locking protects the configuration from being changed. When you set a configuration lock, you cannot modify your risk parameters for that duration. This protects you from making impulsive changes during a losing streak.

You can lock your configuration without enabling your rules. Locking alone does not enforce your limits — it only prevents editing. For full protection: enable to enforce, lock to stay protected.

Broker-specific behaviour

Broker	How risk management is handled
Tradovate	Parameters are pushed to Tradovate's own engine for broker-level execution. You must push your settings after configuration for the parameters to take effect — saving in Tradecopia is not enough on its own
Rithmic	Tradecopia's engine manages execution directly. Weekly loss and weekly profit limits are not currently supported on Rithmic
NinjaTrader	Parameters are pushed to NinjaTrader's own engine for broker-level execution. You must push your settings after configuration for the parameters to take effect
TopStepX	Not yet fully supported in Tradecopia. Configure risk settings directly on the TopStepX platform

When the risk engine is active

How continuously the risk engine runs depends on your plan:

Pro desktop: Risk management only functions while the Tradecopia app is open and connected to the internet. If the app is closed or loses connection, your risk rules are not active and thresholds cannot be enforced. Keep the app running during your trading session.

Pro+ Lite and Pro+ (cloud plans): Risk management runs continuously on Tradecopia's infrastructure. The risk engine remains active regardless of whether your device is on or your browser is open. No app needs to stay running.

Configuration lock vs Hard Lock

These are two separate features — do not confuse them:

Configuration lock (the lock in Risk Management) prevents you from editing your risk parameters for a set duration. It does not stop trading — it only locks the settings. Available on all three plans: Pro desktop, Pro+, and Pro+ Lite.

Hard Lock prevents all trading on an account for a set duration. Any trade attempt is cancelled or flattened. Hard Lock is available on Pro+ Lite and Pro+ only — it does not appear on Pro desktop. See What is Hard Lock and how does it work? for full details.

How do I configure risk management parameters? — step-by-step setup guide for each parameter
Why didn't my risk management settings trigger? — most common issue: enabled toggle not active
Why can't I change my risk management settings? — when a configuration lock is active
Why aren't my Tradovate risk settings taking effect? — Tradovate push requirement
What is Hard Lock and how does it work? — separate trading prevention feature, cloud plans only

How does Tradecopia's risk management feature work?