Ready to dive into the details of how the trailing threshold works? Let’s break it down.
Full Accounts:
For Full accounts, your max loss (trailing threshold) starts below your initial balance. For example, on a 50k plan, the drawdown starts at $47,500 ($2,500 below the initial balance). There’s no daily max drawdown, so you’re free to trade without daily limits.
As your account grows, the drawdown will trail your highest live profit by the allowed risk (e.g., $2,500 on a 50k plan). Once your liquidation threshold hits your initial balance plus $100 (e.g., $50,100 for a 50k plan), the trailing stops.
Static Accounts:
In a Static account, the drawdown remains fixed— it does not trail. For instance, on a 100k Static account, the drawdown stays at $99,400.
Example of Full Account Trailing:
You start with $50,000. Your threshold is $47,500.
You make $500 and close the trade. Your balance is now $50,500, and your threshold adjusts to $48,000.
If your account balance peaks at $52,000 and you close at $51,000, the threshold will be $49,500.
The drawdown is based on the highest live balance, not closed profits.
Rithmic Accounts:
During the evaluation, the trailing stops once the liquidation threshold reaches the profit target (e.g., $53,000 for a 50k account).
Key Points to Remember:
The max drawdown follows the highest profit point during active trades.
In paid accounts, the trailing stops when you exceed the risk allotment by $100.
Account Size (Full) | Live Trailing Threshold |
25k | -$1500 |
50k | -$2500 |
75k | -$2750 |
100k | -$3000 |
150k | -$4500 |
250k | -$5500 |
300k | -$7000 |
With a clear understanding of how the trailing threshold works, you're all set for a smooth trading experience!
If your trading strategy is not compatible with the trailing threshold, we encourage you to explore our Static Account options and the advantages they offer > HERE < .