What is the difference between a Hard Breach and Soft Breach rule?
● Soft breach means that we will close all trades that have violated the rule. However, you can continue trading in your Assessment or Funded Account.
● Hard breach means that you violated either the Daily Loss Limit or Max Drawdown rule or the Inactivity rule. Violation of these rules constitute a hard breach. In the event you have a hard breach, you will fail the Assessment or have your Funded Account taken away.
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Is there a breach for inactivity?
Yes. We will consider you inactive and your account will be breached if you do not have any trading activity on your account for 30 consecutive days.
How do you calculate the Max Drawdown (STATIC)?
Maximum drawdown is the maximum your account can drawdown before you would hard breach your account. When you open the account, your Maximum Drawdown is set at a defined % of your starting balance. This % is static and does not trail.
Can I hold positions over weekend?
We require all trades to be closed by 3:45pm EST on Friday. Any trades left open after this time will automatically be closed. Note, this is only a soft breach and you will be able to continue trading once the markets reopen.
How do you calculate the Max Drawdown (TRAILING)?
The Maximum Trailing Drawdown is initially set at a specific % and trails (using CLOSED BALANCE - NOT equity) your account until you have achieved a pre-defined % return in your account. Once you have achieved the % return, the Maximum Trailing ...
How do you calculate the Daily Loss Limit?
The Daily Loss Limit is the maximum amount an account may lose in a single trading day. This limit resets each day at 5:00 PM EST. The Daily Loss Limit is calculated using the greater of the prior day’s end of day balance, which includes closed P&L ...