Trading Rules
Essential guidelines and rules for successful trading with PropaTrade. Follow these rules to pass your evaluation.
Profit Target
Achieve the required profit target in each phase to progress
- Phase 1: 8% profit target
- Phase 2: 5% profit target
- No time limit on achieving targets
- Profits calculated on initial account balance
Maximum Loss Limit
Never exceed the maximum loss threshold
- Maximum loss: 10% of initial account balance
- This is a hard stop - account gets reset if breached
- Calculated from the highest balance reached
- Includes both realized and unrealized losses
Daily Loss Limit
Manage your daily risk exposure
- Daily loss limit: 5% of account balance
- Resets at midnight IST
- Calculated from the previous day's closing balance
- Includes both realized and unrealized losses
Minimum Trading Days
Demonstrate consistency over time
- Phase 1: Minimum 5 trading days
- Phase 2: Minimum 5 trading days
- Must have at least one trade per day
- Weekends and holidays don't count
Consistency Rule
Avoid excessive risk-taking
- No single day profit should exceed 3% of account balance
- Promotes steady, sustainable trading
- Prevents gambling-style trading
- Encourages proper risk management
Risk Management
Essential guidelines for successful trading
- Maximum 2% risk per trade recommended
- Use stop losses on all positions
- Position sizing based on account balance
- Diversify across different instruments
Important Notes
Rule Violations: Any violation of the above rules will result in immediate account reset. Make sure you understand all rules before starting your evaluation.
Account Types: Different account sizes may have slightly different rules. Always check your specific account rules in your dashboard.
Weekend Positions: You can hold positions over weekends, but be aware of gap risk. Ensure your positions don't violate loss limits if markets gap.
News Trading: Trading during major news events is allowed but use extra caution due to increased volatility.
Questions about Trading Rules?
If you have any questions about our trading rules, don't hesitate to reach out to our support team.