Ftmo drawdown rules reddit
Ftmo drawdown rules reddit. Holding existing trades is allowed. etc. 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. Lowering your risk may help your emotional since 10 trades may not be enough for a drawdown period. How is the daily drawdown calculated? I only have experience with ftmo, the funded trader and my forex funds. FTMO is legit, and I assume they have a lot of very successful traders. With appropriate risk management the drawdown rules shouldn’t be an obstacle. -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. Factoring in trailing drawdown, this would still require me to lose about ~15 trades in a row. must not hit the determined daily loss limit. Another part of FTMO is seeing if you can keep your account steady for 10 days. You got greedy. Your daily drawdown got reset and you didnt think about it. Clearly this rule are set up by themselves purposely to minimize higher lost. I've done challenges on both and I personally prefer FTMO. But it is good for good traders with 0 capital (minus the $400-$600 you might have to pay 1-4+ times). No "gotcha" moments or stupid fine print rules. It's a huge improvement for day traders at least. If you can manage 30:1 go with the swing account. Honestly for me its not worth all the rules they have, I’d rather just use my $7k+. You will never have worry about a "MyForexFunds" moment w/ FTMO. If you can make 10% on FTMO for 5 months, on your private account you will have: Month 0: 100$ 1: 200$ 2. FTMO 's rules on news trading: Challenge and Verification: Trade freely during any news release. 800$ 4. Do my statements make sense? If yes, why would anyone not go for a swing account? FTMO is awesome. Essentially, if you have a trailing drawdown of 2. FTMO's 70/30. It applies to the balance. 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. TL;DR: Your FTMO app shows your daily allowed DD after every new trade. Reasons for that always go back to psychology. That number will be your risk. I keep losing to the relative drawdown rule. 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. I don't know if that makes sense. What happens to FTMO profits after violating Max Daily Loss. For swing traders, it's a great improvement too once they actually get the funded account. Based on this info, you need to decide how much drawdown are you willing to risk on your personal account. 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. and didnt limit losses. I trade on a funded account (5k trailing drawdown) with 2 ES contracts. I can’t seem to follow my rules and I always just want to pass as fast as possible. 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. 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. in reality people will say ftmo is superior, i think u dont have to leave ftmo and can have both of them at once. 1600$ 5. Doesn't matter who you choose, FTMO, MFF, The Funded Trader, 5%ers, Topstep. Real fuking hard. Then you have to complete the challenge where you have to make 10% in one month while adhering to their drawdown conditions. So im doing a Ftmo challenge and im at phase 1 atm, in Two days I managed to rack up a 9,32% drawdown. But for the challenge, they're faced with the same problem as before. the initial account balance. 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. 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. Constantly have to jump in and out of trades due to news or the weekend. 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. This is how FTMO currently works, where you lose your funded account if you ever lose 10% of your starting balance. The leverage is only 1:30 instead of the usual 1:100 however it is easily compensated by trippling your lot size. 5k and a profit target of 3k, you can never lose 2. 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. 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 $625. Especially when you are around 7% drawdown. You get the most datapoints in shortest amount of time and can watch consistency of the traders real time basically. The real question is do YOU have a consistent and profitable method? That is the real question. FTMO helped me to make that last step with strict drawdown limits. Once i blow this one i will go to myforexfunds. true. The rule says that at any moment of the. I have been researching online prop firms for 3 months and trying to develop a strategy that would meet their constraints (based on FTMO normal account), namely: Max Daily Drawdown (MDD) of less than 5%; account max drawdown of less than 10%; profit target of 10% with 30 trading days (one calendar month + extension of two calendar weeks). 3200$ OP keeps losing the challenge due to the 5% drawdown rule, so he now deems it unfair. 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. Customer Service SUPER fast and responsive. The drawdown will be tracked much more accurately on your eval and paid account. 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. I feel like a huge huge failure. Funding Talent's challenge requirements are 8% for the first phase then 4% for verification whereas FTMO is 10% then 5%. The $400 discrepancy you’re explaining could just be slippage that wasn’t picked up on your trial. 23 votes, 93 comments. This rule can also be called “trader’s daily stop-loss”. If you are as well, you have your FTMO app that shows your daily allowed drawdown. I passed, focusing on my risk management, not profit. Now let me flame the f out of your cocky ass. 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. I betcha they do, but they will copy only miniscule number of people. No strategy I have can make 10% in a month without the breathing room. First time i perform this bad. FTMO normal account is trash. 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. Thats why they also focus on daytrading and have such strict drawdown rules. Because it seems easier. So guys, be aware. My strategy works over time but without a dumb luck streak it won’t do +10%. The combination of bigger drawdown and lower profit target might lure in people who are not ready yet to trade live. What most FTMO traders don't realize that non realized losses also count as ''actual loss'' in the FTMO dashboard. 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%. Let's say you've been trading with FTMO for a year. 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. Deleted all his recent posts. If you're not careful , you might lose the account because you broke a rule you forgot about. One week goes by and you've lost 8K and have made $0 profit. Instead of a fixed equity level below your starting balance, you're There are some that have trailing drawdown until a certain point. Basically it is 5%, or 5000 on a 100k challenge, a day and increases with your profits ON THAT DAY ONLY. 5R trade. Locked post. edit: Looks like he took his ball and ran off. New comments cannot be posted. 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. They are all the same with different rules, just whatever suits you best. The Funded Trader, My Forex Funds, & Ment Funding. 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. Well this is what happens when I don’t follow rules. According to. . 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. 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. How does your risk management plan look like? 0. Your starting account of $100k now sits at $400k as you've chosen to keep most of your profits in the account. There are others like TopStepFX and Fivers. 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. Now we can trade through high impact news and hold runners over the weekend if we want. I got unlimited days to trade left. The Max Loss is not a current threat since you're sitting well clear of $90k. 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 $88k, does that mean your account gets suspended / terminated, and you 38k profit goes?! Passing the challenge is easy with a bit of luck but 99% of those who pass the challenge can’t manage to keep the account for more than a month since they would break the rules because they simply don’t know how to trade. the list goes on and on. 400$ 3. . You don't get his logic, because you apply the same rules to a private account. 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. 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. There are 4 different challenge accounts you can pay for: $10,000, $25,000, $50,000, and $100,000. I’m very curious about this phenomeno, never took an ftmo challenge, would like to hear your thoughts and experiences. Plus they don't have the FTMO restrictions of trading during news or holding over the weekend which will benefit swing traders. 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. Always payout, every time. Greed, FOMO, impatience, revenge, etc. Im currently doing the challenge myself. Before I insulte you I will let you know I’m from Switzerland so not native English speaker. Also rules can change with time. it goes nicely into profit for a few days, then price just comes straight back up and hits your sl at breakeven. You can lose 10% on FTMO with 10% target, so you have to double your account. I lost accounts on tft and mff because of their stupid drawdown rules (and myself for not taking profit when I should have). 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. Equity bro. Example: Max drawdown is 10%, you start a 100K account so you can only lose 10K total or you fail. I recently broke these rules and they withdrew more than i had made off the trades no idea how they worked it out. If you go over the 5% then your trades recover, you still get hit with the violation. I only trade with ftmo because the other ones are build to make u lose if the market is against you. There is no profit due for your Profit Split. And this is close to impossible in most occasions. 5k from the top of your open balance. Sep 8, 2024 · Get 100% Refund when you pass. Beeing happy about the possibility to have bigger drawdown is asking for trouble. You need to demonstrate your experience by sticking to Maximum Loss Rules while making the necessary simulated profits of 10% of initial balance. You have to be profitable to be able to make money on their So even when you drawdown in equity you breached the rule. (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. That doesn't mean passing the eval isn't more cumbersome than other prop firms. 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. There is no time limit within which you need to pass the Profit Target, the Trading Period is indefinite. 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. The max drawdown rule applies to open positions as well. No "silly discounts". Relative Drawdown is more complicated, and more beneficial for the firm. One of the reasons why FTMO has gotten so popular is because of their drawdown policy. I am getting ready for the challange myselfrisk managament for the rules is simple and you can risk more that 1% per trade. So I heard you get a free re-try if you fail the challenge but still end in profit without breaking the drawdown rules. You initially pay for a challenge account. No issues. 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. 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. No funky gimmicks. Consider this as a crippled state, when trading with a prop firm. 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. That's about as far as his "logic" went. Sorry OP but that's a dumb question. They've been around the longest, have the most experience, and it shows. However, Max Daily Loss of $5k is always a See full list on ftmo. The issue here is that you see all the 'success' stories and no failure stories. I guess I have to learn the hard way. And crucially the most competitive aspect is Funding Talent's 80/20 profit split vs. Thus you can manage risk better while copying them. i like that maximum drawdown is 12 percent on mff and cheaper too. 9% with all trades open Open 1-2 trades per time. Then size the lots to risk 30% of your account every trade. You cannot open or close new trades (including pending orders) on affected instruments within 2 minutes before and after the news release. Dont blame anyone but yourself. It's really easy to break this rule. You don't keep your full profit. 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. 83% risk per trade. 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%). We call these rules Trading Objectives . I'm by no means bragging, I'm simply stating that FTMO is worth it and anything worth doing is hard. The maximum daily loss resets at midnight daily and does include both open and closed positions. It took only a 1. Sigh. 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. The FTMO Challenge is the first step of Evaluation Process and educates you to master your trading habits. These are the sorts of people who can't be reasoned with. However, after all the euphoria resided I checked my FTMO dashboard to found out that I broke the Daily drawdown limit with only $20🤦. If you would like to combine your individual FTMO Account into a single master FTMO Account, we can do so upon request. FTMO Account (Standard): Restrictions apply during specific news releases. 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. qqntqens sbdeh aqphhgqzq omcph xprcbjv cii zuet zfanf hjuefsv abgsmf