Maximum Loss Limit
Your account has a Maximum Loss Limit, also called a trailing drawdown, in both Phase 1 and Funded Account stage.
This limit is based on the highest balance or equity your account has had at the end of any day so far.
It never goes down, even if your balance or equity is lower at the end of a later day.
Once the limit reaches your starting account size, it stops moving and won’t go up anymore.
The limit updates at 00:00 server time, but only if your balance or equity hits a new highest value.
How to calculate your limit
The limit starts at your initial account size minus the allowed loss, based on your account type.
When you make a profit and your balance or equity at the end of the day goes above the initial account size, the limit begins to trail upward.
It follows your highest EOD (end-of-day) balance or equity – but it never goes down.
The formula is:
Highest end-of-day balance or equity so far – allowed loss
Once the limit reaches your starting account size, it stops moving and stays there.
Allowed Loss per account size
Account Size | Allowed Loss | Starting Limit |
10k | $500 (5% of initial deposit) | $9,500 |
50k | $2,000 (4% of initial deposit) | $48,000 |
100k | $3,000 (3% of initial deposit) | $97,000 |
150k | $4,500 (3% of initial deposit) | $145,500 |
Examples
Example 1
Account Size: 10k
Loss Limit: $500
Highest balance/equity EOD: $10200
Loss Limit: $9700
Calculation: $10200 – $500 = $9700
Example 2
Account Size: 50k
Loss Limit: $2000
Highest balance/equity EOD: $50000 (No profits)
Loss Limit: $48000
Calculation: $50000 – $2000 = $48000
Example 3
Account Size: 100k
Loss Limit: $3000
Highest balance/equity EOD: $103500
Loss Limit: $100000
Calculation: $105000 – $3000 = $ 102000.
Limit CANNOT go above initial balance. Limit stays at $100000
Funded Accounts
Funded Accounts follow the same Maximum Loss Limit rules. However, after two payouts (starting from third), the MLL and the account balance will be reset at each payout.