Trading Rules
Master all trading rules that traders must follow to maintain their funded accounts
📈 Profit Consistency Rule (PCR)
The Profit Consistency Rule ensures traders demonstrate consistent, professional trading behavior rather than relying on a single lucky day.
A single trading day cannot contribute more than 20% of the total profit earned during the evaluation.
When It Applies
- Challenge Phase 2 — PCR is enforced
- 51010 Instant Funding — PCR applies
- 51010-NoPC — PCR does NOT apply
- 510zero — No profit target, PCR not applicable
- Challenge Phase 1 — PCR is NOT enforced
Worked Example
Total profit earned: $6,000
Best single day profit: $1,000
PCR = $1,000 ÷ $6,000 × 100 = 16.7% ✓ (within 20% limit)
If best day was $1,500:
PCR = $1,500 ÷ $6,000 × 100 = 25% ✗ (exceeds 20% limit — violation)
⚠️ Risk Consistency Rule (RCR)
The Risk Consistency Rule limits the maximum risk exposure per trade idea to protect capital and ensure professional risk management.
| Account Type | Max Risk Per Trade Idea |
|---|---|
| Challenge (Phase 1 & 2) | 2% of account balance |
| 51010 (Instant Funded) | 2% of account balance |
| 51010-NoPC (Instant Funded) | 1% of account balance |
| Funded Accounts | 1% of account balance |
A "trade idea" can span multiple positions, instruments, or accounts. If a trader opens correlated positions as part of the same directional view, the combined risk counts toward the 2% (or 1%) limit.
🛑 Max Loss Limit (MLL)
The account equity (or balance including open positions) must never fall below 90% of the initial account balance. This is a balance-based calculation.
How It's Calculated
- Based on the initial account balance (not current balance)
- Includes open floating positions in the calculation
- If account = $100,000, then equity must stay above $90,000
- Breaching this limit results in immediate account closure
Account size: $50,000 | Max Loss = 10% = $5,000
Account cannot drop below: $50,000 - $5,000 = $45,000 (including open P&L)
📅 Daily Loss Limit (DLL)
Calculated from the higher of: yesterday's closing balance OR current equity. Ensures that each day has its own risk ceiling.
Daily Pause vs. Violation
| Event | Outcome | Effect on Account |
|---|---|---|
| Daily Loss Limit Hit | Daily Pause | Trading suspended for that day only — NOT a failure |
| Max Loss Limit Hit | Account Closed | Challenge/funded account terminated |
Hitting the daily loss limit only pauses trading for that calendar day. Trading resumes the next day. The account is NOT failed for this.
Calculation Example
- Starting balance: $100,000
- Daily Loss Limit = 5% = $5,000
- If current equity is $102,000 (in profit), the daily limit is calculated from $102,000 = $5,100
- Always calculated from the HIGHER of balance or equity
⏱️ Trading Interval Restriction
After closing a losing position on a specific symbol, the trader must wait 1 hour before opening another trade on the same symbol — across ALL their accounts.
- Applies across all accounts owned by the same trader
- Only triggered by losing positions — winning trades don't activate the wait
- Symbol-specific: closing a losing EUR/USD trade triggers a 1hr wait on EUR/USD only
- Designed to prevent emotional revenge trading
🚀 Scale-Up Plan
Successful traders can scale their funded account progressively up to $1,000,000.
| Stage | Account Size |
|---|---|
| Start | 100% of initial |
| Scale 1 | 150% |
| Scale 2 | 300% |
| Scale 3 | 600% |
| Scale 4 | 1,200% |
| Scale 5 | 2,400% |
| Maximum | $1,000,000 |