The phases explained:
The challenge phase is where the rubber meets the road and you really get to test your trading skills and figure out what kind of trader you are. To get out of the challenge phase and move on, you gotta hit a profit target of 8% within 21 calendar days without breaking any other rules.
The Funded phase:
After successfully completing the challenge phase, you will be offered the opportunity to trade on the funded stage, demonstrating that you have mastered your trading skills.
The Daily and Max Trailing Drawdown:
4% Maximum Daily Loss Limit
The Maximum Daily Loss is the amount the trader is allowed to lose every day. For the purpose of this rule, the higher value between equity and balance will be used. This rule is set to 4% of the initial balance. The rule states that the equity of the day, which is the result of the currently floating PnL (Profit and Loss) in sum with all closed positions of that day, must not hit the Maximum Daily Loss Limit. You can calculate your daily loss limit; the higher value from either the account equity or balance at 5pm from the day prior minus 4% from the initial balance.
More information on the Daily Loss Limit here
7% Maximum Trailing Drawdown
The Maximum Loss Limit, which prevents the account equity or balance from dropping below a certain level, is set at 7% of the initial account size. For instance, a trader with a $100,000 account and a 7% Maximum Loss Limit cannot have an equity or balance below $93,000 at any point. The drawdown increases as the account grows until it is locked at a 7% gain. Once locked, the drawdown remains at the initial balance and no longer trails.
More information on the Maximum Trailing Drawdown Limit here
Holding trades during news and over the weekend
Challenge Phase Rules
Holding trades over the weekend is allowed.
Trading during news is allowed.
Funded Phase Rules
Holding trades over the weekend is allowed.
Holding or opening a position 5 minutes before and after a high-impact news event (10 minutes total) on the affected currency is not allowed.
An open trade during this window on the affected currency will lead to a soft breach on the first violation. Profits made from this trade may be deducted.
Multiple violations will result in a hard breach.
Consistency Rule
A 40% consistency score is required during both the evaluation and Master stages. This means your largest winning day's profit cannot exceed 40% of your total profit.
40% Consistency Score During Evaluation:
If you reach the profit target during the challenge phase but haven't reached a 40% consistency score, you can keep trading until you meet the consistency score.
40% Consistency Score on the Funded Stage:
You can request a payout when you have a 40% consistency score on the Funded Stage. If you don't meet the 40% consistency score, you can continue trading until you do in order to request a reward.
Note: Consistency score is calculated as follows: (Biggest winning day / Current account Profit) * 100%
Max lot size on the funded stage:
Challenge phase:
There are no lot size restrictions on challenge accounts.
Funded stage:.
Maximum Lot Exposure:
The total combined size of all open lots/positions allowed at any one time.
Examples
$10,000 account = Max 2 lots
$25,000 account = Max 5 lots
$50,000 account = Max 10 lots
$100,000 account = Max 20 lots
Leverage and Lot Size Calculation
The amount of leverage available will depend on the step of the 1-Step Lightning Challenge and whether your account is funded.
1-Step "LIGHTNING" Challenge
FX, Metals, Indices: 10:1
Cryptos: 2:1
1-Step "LIGHTNING" Funded
FX: 10:1
Indices & Metals: 5:1
Cryptos: 0.3:1
Lot Size
The following formula is used to calculate the available lot size:
(Account Balance * Leverage) / Contract Size
Payout Cycle for the 1-step-Lightning Funded Stage
Traders can request a payout after 14 calendar days if they have reached a 40% consistency score. The profit split for this payout is 75% / 25%.
Add-On Options:
Anytime Payout: Purchase this add-on to request a payout anytime after reaching the 40% consistency score.
90/10 Profit Split: Purchase this add-on to increase the profit split from 75% to 90%.
Important Note: If the 40% consistency score is not met on the available payout date, traders can continue trading until they reach the required consistency score to request a payout. The minimum payout amount is $100.
Lock Upon Payout
In the 1-Step-Lighthing funded stage, requesting a payout locks your maximum trailing drawdown at your starting balance. This fixed risk level remains for the rest of your trading, as the drawdown no longer trails your account growth.
More information on the Lock Upon Payout feature can be found here
TradeLocker Exclusive:
The Lightning Plan is only available on the TradeLocker platform.
The Activation Fee
Risk Review: Once a trader passes the challenge, our risk team conducts a comprehensive review of the account. This step ensures that all trading rules were followed, and no violations occurred during the challenge.
Email Notification: When the account passes the risk review, the trader will receive an email with a link to a checkout page to pay the activation fee.
Account Activation: After the activation fee is paid, the funded account will be activated within 12-24 hours. The trader can then begin live trading with their funded account.
No Refund Policy:
The challenge fee is a one-time, non-refundable payment.
Prohibited Strategies;
We have an entire specific article regarding all the prohibited strategies we follow here at Top One Trader, they are all available on the button below;