Ftmo drawdown rules reddit

Ftmo drawdown rules reddit. No funky gimmicks. Well this is what happens when I don’t follow rules. This rule can also be called “trader’s daily stop-loss”. I've done challenges on both and I personally prefer FTMO. edit: Looks like he took his ball and ran off. So guys, be aware. That number will be your risk. I guess I have to learn the hard way. You cannot open or close new trades (including pending orders) on affected instruments within 2 minutes before and after the news release. The 2 main rules that I hear traders mess up on the most: *Floating* Maximum drawdown - FTMO not only counts closed positions into the drawdown rule but also open positions. Because it seems easier. And this is close to impossible in most occasions. So if you are up 30k TODAY you can drawdown All information provided on this site is intended solely for educational purposes related to trading on financial markets and does not serve in any way as a specific investment recommendation, business recommendation, investment opportunity analysis or similar general recommendation regarding the trading of investment instruments. the list goes on and on. I recently broke these rules and they withdrew more than i had made off the trades no idea how they worked it out. Imagine on the last day of the trading period, if you are on real challenge with real money and you profit at this level, but suddenly you hit over the daily loss limit $10+ or whatever. Beeing happy about the possibility to have bigger drawdown is asking for trouble. Trading Funder’s team has found that these rules are designed to instill discipline in traders, ensuring they adopt a methodical The FTMO Challenge stage has reasonable rules, where the Profit Target is in balance with the drawdown we allow you to take. Are you willing to let the drawdown all the way to 50% of your account? or perhaps only 30% before you close the trade? Lets say your tolerance is 30%. Thus you can manage risk better while copying them. Always payout, every time. 5R trade. FTMO normal account is trash. Apex does offer a static account where they don't trail your drawdown but it's a $100k account with a drawdown limit of only $625. Let's say you've been trading with FTMO for a year. Clearly this rule are set up by themselves purposely to minimize higher lost. . Plus they don't have the FTMO restrictions of trading during news or holding over the weekend which will benefit swing traders. 9% with all trades open Open 1-2 trades per time. That's about as far as his "logic" went. true. The combination of bigger drawdown and lower profit target might lure in people who are not ready yet to trade live. If you can make 10% on FTMO for 5 months, on your private account you will have: Month 0: 100$ 1: 200$ 2. The rule says that at any moment of the. Equity bro. You don't keep your full profit. Reply reply Crypto2Forex2022 The difference between FTMO Account and FTMO Account Swing is that, in the second one, you can trade through news and hold trades over weekends. I feel like a huge huge failure. You got greedy. There is no profit due for your Profit Split. For example, at 7% total drawdown you are forced to make 7% back with just breathing room of 3%, just to not loose the subscription money. As a general rule, i risk 1% for each trade on my ftmo account, but i only do it when i have a significant buffer on my account (at least 5%). The maximum daily loss resets at midnight daily and does include both open and closed positions. That doesn't mean passing the eval isn't more cumbersome than other prop firms. Basically it is 5%, or 5000 on a 100k challenge, a day and increases with your profits ON THAT DAY ONLY. It's really easy to break this rule. It's a huge improvement for day traders at least. The FTMO Challenge is the first step of Evaluation Process and educates you to master your trading habits. But it is good for good traders with 0 capital (minus the $400-$600 you might have to pay 1-4+ times). (1% of risk per trade with 66% win rate) FTMO rules are far laxed compared to the firm I work for now but l manage a far bigger book and obtain bonuses and payouts. it goes nicely into profit for a few days, then price just comes straight back up and hits your sl at breakeven. Swing traders can go through a multi-month drawdown even with a profitable strategy, b As I'm wrapping up with my FTMO challenge, one thing I would like to know but cannot find any information on is once you become an FTMO trader, what happens at your monthly profit split if your account is in a slight loss but you haven't breached any of the drawdown rules during that month? Say you end the month at $199,000 on a $200k account. As ftmo don't care about how much ir less you trade, you can choose: You can open more trades so that means you can risk 1% or less for each one, but no more than 4. If you would like to combine your individual FTMO Account into a single master FTMO Account, we can do so upon request. For swing traders, it's a great improvement too once they actually get the funded account. So I heard you get a free re-try if you fail the challenge but still end in profit without breaking the drawdown rules. There are others like TopStepFX and Fivers. New comments cannot be posted. Another part of FTMO is seeing if you can keep your account steady for 10 days. I only trade with ftmo because the other ones are build to make u lose if the market is against you. Once i blow this one i will go to myforexfunds. Especially when you are around 7% drawdown. I'm a little biased though because I also trade bitcoin in addition to forex and the MFF's crypto spreads are horrendously garbage imo. If your max daily drawdown is $500 and you have an open position that is $1000 in profit, then if must close the trade before that profitable position runs back to only a $500 profit or else its still a violation of their rule. MFF is bad imo, If you’re in profit of 10k and you lose 7k profit ( 3k net ) You will fail the challenge due to drawdown even though you’re in profit Reply reply OtherwiseSomewhere19 All information provided on this site is intended solely for educational purposes related to trading on financial markets and does not serve in any way as a specific investment recommendation, business recommendation, investment opportunity analysis or similar general recommendation regarding the trading of investment instruments. The least number of days required for traders to successfully pass the FTMO trading challenge is 10 trading days while the maximum is 30 days. However, Max Daily Loss of $5k is always a See full list on ftmo. Locked post. Reasons for that always go back to psychology. . I can’t seem to follow my rules and I always just want to pass as fast as possible. But for the challenge, they're faced with the same problem as before. My question is does this apply to both the first and second stage? Also do I get the re-try if I'm just $1 in profit without breaking drawdown rules? If profit goes up by the drawdown then back down by the drawdown, you've failed by sizing way too big and not taking profits prior to the drawdown Question B: Yes, at least on the evaluation account. the initial account balance. in reality people will say ftmo is superior, i think u dont have to leave ftmo and can have both of them at once. Constantly have to jump in and out of trades due to news or the weekend. 23 votes, 93 comments. 3200$ OP keeps losing the challenge due to the 5% drawdown rule, so he now deems it unfair. These are the sorts of people who can't be reasoned with. For example, if the account is 10k and the drawdown is until 9,900, then they trail the drawdown until you have enough profit to cover the drawdown. You will never have worry about a "MyForexFunds" moment w/ FTMO. Im currently doing the challenge myself. My strategy works over time but without a dumb luck streak it won’t do +10%. What happens to FTMO profits after violating Max Daily Loss. If you are as well, you have your FTMO app that shows your daily allowed drawdown. I'm by no means bragging, I'm simply stating that FTMO is worth it and anything worth doing is hard. How is the daily drawdown calculated? I only have experience with ftmo, the funded trader and my forex funds. Greed, FOMO, impatience, revenge, etc. One week goes by and you've lost 8K and have made $0 profit. Customer Service SUPER fast and responsive. What most FTMO traders don't realize that non realized losses also count as ''actual loss'' in the FTMO dashboard. The drawdown will be tracked much more accurately on your eval and paid account. And crucially the most competitive aspect is Funding Talent's 80/20 profit split vs. 400$ 3. Thats why they also focus on daytrading and have such strict drawdown rules. And even so a good trader can break a drawdown rule very easily if he/she has a series of losing trades with good risk mgmt. Doesn't matter who you choose, FTMO, MFF, The Funded Trader, 5%ers, Topstep. There are 4 different challenge accounts you can pay for: $10,000, $25,000, $50,000, and $100,000. Posted by u/sochineez - 4 votes and 18 comments i think ftmo has better spreads, i like mff due to being bias as my first prop firm. They've been around the longest, have the most experience, and it shows. Deleted all his recent posts. Because if you get a funded account, 50k, and traded it up to 100k, that means you have made 50k, but if the 10-12% overall drawdown applies, then when you lose 12% and are down to $88k, does that mean your account gets suspended / terminated, and you 38k profit goes?! Passing the challenge is easy with a bit of luck but 99% of those who pass the challenge can’t manage to keep the account for more than a month since they would break the rules because they simply don’t know how to trade. Edit: I read his comment again, he opened 2 trades in his example, 1 trade -510 the other +850 so closing the +850 first then the -510 won't violate the rule. 83% risk per trade. The real question is do YOU have a consistent and profitable method? That is the real question. 5k and a profit target of 3k, you can never lose 2. Funding Talent's challenge requirements are 8% for the first phase then 4% for verification whereas FTMO is 10% then 5%. They are all the same with different rules, just whatever suits you best. However, after all the euphoria resided I checked my FTMO dashboard to found out that I broke the Daily drawdown limit with only $20🤦. Now let me flame the f out of your cocky ass. Honestly for me its not worth all the rules they have, I’d rather just use my $7k+. TL;DR: Your FTMO app shows your daily allowed DD after every new trade. You can lose 10% on FTMO with 10% target, so you have to double your account. The Funded Trader, My Forex Funds, & Ment Funding. According to. The max drawdown rule applies to open positions as well. and didnt limit losses. Factoring in trailing drawdown, this would still require me to lose about ~15 trades in a row. Also rules can change with time. It took only a 1. All information provided on this site is intended solely for educational purposes related to trading on financial markets and does not serve in any way as a specific investment recommendation, business recommendation, investment opportunity analysis or similar general recommendation regarding the trading of investment instruments. None of the people that fail post anything up on reddit because there is no point, while the people that succeed (which is a tiny %) are on here having their 15 mins of fame before 99% of them inevitably lose the account which they attained through luck rather than actual trading skill. The Max Loss is not a current threat since you're sitting well clear of $90k. First time i perform this bad. com Jun 1, 2023 · FTMO has established itself as a leading platform in the trading industry, offering traders the opportunity to prove their skills and potentially secure fund Over the years there have been plenty of occasions when I violated my own plan. So im doing a Ftmo challenge and im at phase 1 atm, in Two days I managed to rack up a 9,32% drawdown. No "silly discounts". You initially pay for a challenge account. Real fuking hard. You don't get his logic, because you apply the same rules to a private account. I trade on a funded account (5k trailing drawdown) with 2 ES contracts. No issues. If you can manage 30:1 go with the swing account. Example: Max drawdown is 10%, you start a 100K account so you can only lose 10K total or you fail. Holding existing trades is allowed. I don't know if that makes sense. This is how FTMO currently works, where you lose your funded account if you ever lose 10% of your starting balance. I betcha they do, but they will copy only miniscule number of people. The combined FTMO Accounts need to be at least at their initial account balance to be merged and meet the following conditions: The FTMO Account is not in drawdown. Essentially, if you have a trailing drawdown of 2. Then size the lots to risk 30% of your account every trade. If you read what op said in other comments you would know he didn’t request a withdrawal but FTMO still send this to everybody who reach the date of their profit split but didn’t made money. Now we can trade through high impact news and hold runners over the weekend if we want. I'm aware that Apex's drawdown rules go away once you pass the eval, get a funded account, and get above the drawdown limit. Instead of a fixed equity level below your starting balance, you're There are some that have trailing drawdown until a certain point. If <10% of people complete the FTMO challenge, my guess is over half of those challange winners will break their drawdown rule due to not leaving enough drawdown cushion from previous profits, or just bad trading because they got somewhat lucky with the challenge results and time will reveal the true profitability. Sorry OP but that's a dumb question. Your daily drawdown got reset and you didnt think about it. It applies to the balance. however i dont do funded accounts anymore due to the drawdown rule on your equity; lets say you have a 50K account and you place a sell as a swing trade. With appropriate risk management the drawdown rules shouldn’t be an obstacle. I lost accounts on tft and mff because of their stupid drawdown rules (and myself for not taking profit when I should have). If you're not careful , you might lose the account because you broke a rule you forgot about. The leverage is only 1:30 instead of the usual 1:100 however it is easily compensated by trippling your lot size. You get the most datapoints in shortest amount of time and can watch consistency of the traders real time basically. FTMO's 70/30. One of the reasons why FTMO has gotten so popular is because of their drawdown policy. The $400 discrepancy you’re explaining could just be slippage that wasn’t picked up on your trial. FTMO is legit, and I assume they have a lot of very successful traders. In this stage, the major rule is for the trader to meet the profit target which has been set in such a way that it is balanced with the drawdown that the company allows. etc. There is no time limit within which you need to pass the Profit Target, the Trading Period is indefinite. I have been researching online prop firms for 3 months and trying to develop a strategy that would meet their constraints (based on FTMO normal account), namely: Max Daily Drawdown (MDD) of less than 5%; account max drawdown of less than 10%; profit target of 10% with 30 trading days (one calendar month + extension of two calendar weeks). 800$ 4. FTMO helped me to make that last step with strict drawdown limits. Do my statements make sense? If yes, why would anyone not go for a swing account? FTMO is awesome. Sigh. Before I insulte you I will let you know I’m from Switzerland so not native English speaker. FTMO Account (Standard): Restrictions apply during specific news releases. must not hit the determined daily loss limit. Your starting account of $100k now sits at $400k as you've chosen to keep most of your profits in the account. i like that maximum drawdown is 12 percent on mff and cheaper too. We call these rules Trading Objectives . Lowering your risk may help your emotional since 10 trades may not be enough for a drawdown period. If you go over the 5% then your trades recover, you still get hit with the violation. You have to be profitable to be able to make money on their So even when you drawdown in equity you breached the rule. I keep losing to the relative drawdown rule. Edit: the rule breach is that cpi was a restricted event and i should have waited 2 mins after to close the position but stop loss was taken 30 seconds after the news. Relative Drawdown is more complicated, and more beneficial for the firm. Then you have to complete the challenge where you have to make 10% in one month while adhering to their drawdown conditions. No strategy I have can make 10% in a month without the breathing room. The issue here is that you see all the 'success' stories and no failure stories. You need to demonstrate your experience by sticking to Maximum Loss Rules while making the necessary simulated profits of 10% of initial balance. Sep 8, 2024 · Get 100% Refund when you pass. Based on this info, you need to decide how much drawdown are you willing to risk on your personal account. I am getting ready for the challange myselfrisk managament for the rules is simple and you can risk more that 1% per trade. TFT has the 400k challenge from 1 buy, MFF is the cheapest, Ment Funding has its own rules with up to 2 million in direct challenge funding and only 1 phase to pass the challenge, max drawdown 5%, target 10% and you pass. How does your risk management plan look like? 0. -Cons: You have trading rules to follow, depending on the firm: trading close to news events, DD on open positions, instruments, risk, EAs, copy trading. The FTMO funded trading program is governed by specific rules that outline trader conduct, expectations, and the targets required to progress through each stage of the program. Consider this as a crippled state, when trading with a prop firm. FTMO 's rules on news trading: Challenge and Verification: Trade freely during any news release. I think so, but not all of them, people say why wouldn't they do it themselves, lest they forget max amount you can have is 400k on ftmo for example, so if he can consistently make profit on his/her own, they can do it on other accounts, and if they manage it after the challenge, take a % of what they make on the account, if they lose the challenge, they may only refund the service fee or It's been around longer, doesn't have the same controversy around slippage, doesn't have a bizarre equity drawdown rule and it has more tradeable instruments. I am not going to blow this account, I blew too many! I just can’t believe myself sometimes, when I am trading my mind just switches off. I passed, focusing on my risk management, not profit. Dont blame anyone but yourself. 5k from the top of your open balance. No "gotcha" moments or stupid fine print rules. I’m very curious about this phenomeno, never took an ftmo challenge, would like to hear your thoughts and experiences. The only Trading Objectives we require you to respect are the drawdown rules (Maximum Daily Loss and Maximum Loss), which are the most important rules we care about as these are the fundamentals of trading and we may use data on your simulated trades to perform our own trades in real financial markets. 1600$ 5. I got unlimited days to trade left. ocmaghmd qjip evtl xuabua eeouglq ntlenpg kmro dcvbua mjp qter