Maximum Loss Limit
Traders have a Maximum Loss Limit on their account. This threshold is set as a percentage of your initial account size. Your account equity, including both closed and open trades, must not drop below the Maximum Loss Limit at any time during the account’s duration. This calculation includes commissions and swaps.
Example for a $100,000 2-Step "Pro" Account:
In a 2-Step "Pro" Account, the drawdown is static with a Max Total Loss of 10% of your initial balance.
For a $100,000 account, you would breach the account if your equity falls below $90,000, regardless of how much your account grows.
Example for a $100,000 1-Step "Flash" Account:
For 1-Step "Flash" Accounts, the Maximum Trailing Drawdown moves with your profits until it locks in at your starting balance once you achieve a 7% gain.
If you start with $100,000, your trailing drawdown is initially set at 7%, meaning your account would breach if equity drops below $93,000.
As your account grows, for example, to $105,000, your drawdown moves up to $98,000.
Once your account reaches $107,000, the drawdown locks in at $100,000. From that point, no matter how much your account grows (even to $170,000), the drawdown remains at $100,000, and you'd only breach the account if your equity falls below that threshold.