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What does the Profit Target mean and how is it calculated?

Updated yesterday

The Profit Target is the required amount of profit you must achieve to pass a Challenge phase and advance to the next stage.


How the Profit Target Is Calculated

  • The Profit Target is calculated only from closed trades

  • Open trades are not included

  • Profit is counted only above the initial account balance

  • All positions must be closed to complete a phase


What Happens When You Reach the Profit Target?

If you meet the Profit Target and follow all rules:

  • You advance to the next Challenge phase

  • Your current account is closed

  • You receive new trading credentials by email or can be found in dashboard


The 70% Rule Explained

The Challenge is designed to assess consistent and controlled trading, not reliance on oversized or overly concentrated positions.

Rule Definition

  • You cannot pass the Challenge using:

    • One oversized trade, or

    • Multiple highly concentrated trades based on the same trading idea

  • If one trade or several trades from the same idea account for more than 70% of the Profit Target, the rule is violated

Same trading idea means repeatedly entering the same position (for example, going long, closing, and then going long again within seconds or minutes) to effectively scale into one large position.


Detailed Example – $100,000 Account

Assume:

  • Initial balance: $100,000

  • Profit Target: $10,000

  • Maximum allowed from one trade or trading idea (70%): $7,000

  • Profit is counted only above $100,000

❌ Rule Violation Example (Same Trading Idea)

  • Long trade #1 profit: $4,000

  • Long trade #2 profit (entered seconds later): $3,500

Combined profit from the same long idea: $7,500
This exceeds 70% of the Profit Target and violates the rule—even if total profit later reaches $10,000.

✅ Acceptable Example

  • Trade 1 (long): $2,000

  • Trade 2 (short): $2,200

  • Trade 3 (long, different setup/time): $1,800

  • Trade 4 (short): $2,000

  • Trade 5 (long): $2,000

Total profit: $10,000
No single trade or single trading idea exceeds $7,000, showing proper risk distribution and consistency.


Master Account Note

  • There is no Profit Target on the Master Account

  • There is no Profit Target on Instant Master Accounts

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