Overview
Prime Funded accounts use an End-of-Day Trailing Maximum Drawdown model.
This rule protects total account risk and functions independently from the Daily Loss Limit. If the trailing threshold is breached at any time, the account fails.
Trailing Drawdown Amounts
Account Size | Trailing Max Drawdown | Drawdown Mode |
25K | $1,000 | End of Day |
50K | $2,000 | End of Day |
100K | $3,500 | End of Day |
150K | $5,000 | End of Day |
How End-of-Day Trailing Works
The trailing drawdown adjusts based on the highest end-of-day account balance.
It does not trail intraday.
The threshold updates only after the trading day closes.
The trailing level moves up, never down.
Example (50K Account)
Trailing Drawdown: $2,000
Starting Balance: $50,000
Initial Max Loss Level: $48,000
If the account closes at $52,000:
New trailing threshold = $50,000
If the account closes at $54,000:
New trailing threshold = $52,000
The threshold locks in gains and continues trailing upward.
What Causes a Drawdown Breach?
An account fails if:
Account balance reaches or falls below the trailing threshold
Intraday equity drops to the trailing threshold
The maximum loss level is touched or exceeded
Once breached, the account cannot be restored.
Important Clarifications
The trailing drawdown is separate from the Daily Loss Limit
The trailing rule protects total account risk
It applies at all times, including during open trades
It does not reset after payouts
Key Takeaways
Prime Funded uses End-of-Day trailing drawdown
The threshold adjusts upward only
It does not trail intraday
Breaching the level results in account failure
The rule applies continuously
