How the Drawdown Protection works

Industry data shows that a large portion of failed trading accounts is linked to hitting drawdown limits. In many cases, this is not caused by the strategy itself, but by loss of control during intraday trading.
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To help you prevent these situations and support your trading strategy, we introduced Drawdown Protection as an automated feature that helps you manage open losses more effectively.
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Let’s see together how Drawdown Protection works and what you can expect.
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First, we need to understand what the system is actually monitoring.

So the moment your open positions go into loss, the system is already watching.
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What happens next:
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Once your floating loss reaches -2% of your starting balance, here’s exactly what happens:
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→ All your open trades are closed immediately at the current market price
→ Your account remains active
→ Your profit split is adjusted to 50%
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After this, you can continue trading as usual. There are no restrictions on opening new trades, and the only change is that your profit split is adjusted to 50%, so let’s take it as a clear point where you reset your risk and move forward more carefully.

If later your floating loss reaches -2% again:

→ All open trades are closed
→ The account is closed as part of the defined risk limits

This step clearly defines the maximum risk boundary on the account, so you always know where the limit is and can plan your trading with full clarity.
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ℹ️ Let’s look at what this means for you in practice.

This setup gives you a clear structure for moments when your open loss starts to grow. Instead of letting a trade run further into loss without a defined limit, everything is already set in advance, so you always know what will happen.
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With the help of Drawdown Protection, your limits are clear from the beginning. You can plan your trades around them, which helps you stay more consistent, in control, and manage your risk more effectively over time.
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