For 1 Phase Auditions Only:
Our Virtal Maximum Trailing Drawdown is the maximum your account can virtually drawdown before breaching your account. The initial level is set at 8% from the starting balance of your account. As your account balance increases, the virtual trailing maximum drawdown follows you until you achieve a virtual profit target of 8% in your account. Once you have achieved an 8% virtual profit target in your account, we remove the virtual trailing drawdown and allow our traders to virtually drawback down to their initial starting balance before breaching the account. This means the virtual maximum trailing drawdown for successful traders can be greater than 8%.
For example, if you have a $100,000 account, you can go down to $92,000 before being disqualified. Let's say you are a positive trader and make $4,000 in your account. Your High-Water Mark is now $104,000 (balance, so just closed trades). Your virtual max drawdown limit will be $96,000. Next, you make an additional $4,000 in your account. So, your new High-Water Mark is $108,000. Here is where it will lock in, so as your High-Water Mark rises your virtual max drawdown limit will stay at $100,000, which means your virtual maximum drawdown increases beyond 8%. Let's say you have grown your account to $120,000. Your effective virtual maximum drawdown level is now 20% (2.5x greater).
Please Note: All accounts are subject to the rules regarding daily loss limits and virtual max trailing drawdowns that were in effect at the time of purchase. Any changes to those rules made after the time of purchase will not apply retroactively.
For Lightning Round Auditions Only:
Our Virtual Maximum Trailing Drawdown is the maximum your account can virtually drawdown before breaching your account. The initial level is set at 4% from the starting balance of your account. As your account balance increases, the virtual trailing maximum drawdown follows you up until you achieve a virtual profit target of 5% in your account. Once you have achieved a 5% virtual profit target in your account, we remove the virtual trailing drawdown and allow our traders to virtually drawback down to their initial starting balance before breaching the account. This means for successful traders the virtually maximum trailing drawdown can be greater than 4%.
For example, if you have a $100,000 account, you can go down to $96,000 before being disqualified. Let's say you are a positive trader and make $4,000 in your account. Your High-Water Mark is now $104,000 (balance, so just closed trades). Your virtual max drawdown limit will be $99,840. Next, you make an additional $4,000 in your account. So, your new High-Water Mark is $108,000. Here is where it will lock in, so as your High-Water Mark rises your virtual max drawdown limit will stay at $100,000, which means your virtual maximum drawdown increases beyond 4%. Let's say you have grown your account to $120,000. Your effective virtual maximum drawdown level is now 20% (5x greater).
Please Note: All accounts are subject to the rules regarding daily loss limits and virtual max trailing drawdowns that were in effect at the time of purchase. Any changes to those rules made after the time of purchase will not apply retroactively.