Daily Drawdown
Daily Drawdown applies uniformly to the Instant Master Account, One-Step Challenge, Two-Step Challenge, and their Master Accounts.
The only accounts without Daily Drawdown are the Two-Step Challenge PRO and its Master Account.
🔻 Daily Drawdown Limit – How It Works
Definition: The Daily Drawdown limit is calculated as a fixed percentage of your initial account balance, regardless of your current performance.
Example: If your initial balance is $100,000 and the daily drawdown is set at 4%, your fixed daily loss limit is $4,000.
This $4,000 limit is used to calculate your minimum allowed equity or balance each day.
📅 How It’s Applied Each Day
At the start of each new trading day 00:00 CE(S)T:
The system checks both your Balance and Equity.
It uses whichever is higher.
Then it subtracts the $4,000 (4% of $100,000 initial balance).
The result becomes your Daily Drawdown limit for the day.
✅ Example Breakdown
Day 1:
Initial Balance: $100,000
Daily Drawdown (4%): $4,000
Your minimum allowed equity that day is $96,000 (100,000 - 4,000)
Day 2:
Balance: $103,000
Equity: $102,000
System takes the higher value = $103,000
Daily Drawdown = $103,000 - $4,000 = $99,000
Day 3:
Balance: $103,000
Equity: $104,000
System takes the higher value = $104,000
Daily Drawdown = $104,000 - $4,000 = $100,000
🔁 Summary
The Daily Drawdown limit resets every day at 00:00 CE(S)T.
It’s always based on:
The initial account balance (fixed % like 4% or 5%)
The higher of your Balance or Equity at the reset time
If you're unsure about our rules, please reach out to our specialized support team. As experienced traders themselves, they understand the challenges you face and are ready to help.