Account Rules and Drawdown Type
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Daily Loss Limit (Soft Breach)
The Daily Loss Limit sets how much your equity may fall within a single trading day before your account is reviewed for compliance.
- Breaching this limit does not immediately close the account. It is a soft breach; the account reopens the next trading day.
- The Daily Loss Limit resets at market close.
- The Max Drawdown is static; it never moves upward with profits.
- If equity ever drops below the Max Drawdown threshold, the account is permanently closed.
| Tier | Daily Loss Limit | Max Drawdown |
|---|---|---|
| Express | $400 | $500 |
| Premium | $750 | $1,000 |
| Elite | $1,500 | $2,000 |
| Gold | $3,000 | $4,000 |
| Platinum | $4,500 | $7,500 |
| Ultimate | $10,000 | $14,000 |
Overnight and Position Closing Rules
- Positions must be reduced or fully closed by 3:58 PM EST.
- Stocks reporting earnings after-market or pre-market are not permitted for overnight holds.
- There is no auto-liquidation; the trader is responsible for reducing position size.
Static Drawdown Explained
A static drawdown is a fixed maximum loss limit that never changes after account activation.
Example: If you have a $100,000 account with a $4,000 static drawdown, your minimum allowable equity is $96,000. Even if your account grows to $120,000, your minimum threshold remains $96,000.
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