Trading Rules
No Confusion. No Guesswork. Just Clear Rules.
We've turned complex trading rules into simple, practical examples so you can spend less time understanding and more time trading.
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1. Minimum Trading Days
To request your first payout, you need to complete 7 trading days minimum.
A trading day is counted when your account balance moves by 0.25% or more — either up or down — compared to the daily starting balance.
This is simply the balance you had in your account at the start of that trading day (2:00 AM UTC / 7:30 AM IST). Every day's profit or loss is measured against this number to decide if the day counts.
Trading days run from 2:00 AM UTC to 2:00 AM UTC (7:30 AM IST to 7:30 AM IST).
Minimum Trading Days Required: 7- • Daily starting balance = $10,000
- • End of day balance = $10,030 (a 0.30% move)
- → Since 0.30% is more than 0.25%, this day counts.
- • Daily starting balance = $10,000
- • End of day balance = $10,015 (a 0.15% move)
- → Since 0.15% is less than 0.25%, this day does not count.
2. Maximum Daily Loss
During the funded phase, your daily loss can't go above 3% of your daily starting balance.
This limit covers both closed trades and unrealized (floating/open) losses — everything counts together.
This is the balance you had in your account at the start of that day (2:00 AM UTC / 7:30 AM IST). Your daily loss is measured against this number, not your highest balance of the day.
If your total loss for the day (closed + floating) goes over 3% of this starting balance, your account breaches the maximum daily loss rule.
Maximum Daily Loss: 3%- • Daily starting balance = $10,000
- • Max allowed loss = $300 (3%)
- • Worst point of the day = $9,750 (a $250 loss, i.e. 2.5%)
- → Since the loss stayed under 3%, the account is safe.
- • Daily starting balance = $10,000
- • Max allowed loss = $300 (3%)
- • Worst point of the day = $9,650 (a $350 loss, i.e. 3.5%) — even if it was just a floating/unrealized loss before recovering
- → Since the loss went over 3% at any point during the day, the account is in breach.
3. Maximum Total Loss
Your account can't lose more than 6% of your initial account balance — this is a one-time, fixed limit for the entire life of the account, not something that resets daily.
This is the balance you started with when the account was first created. The 6% limit is always calculated from this same number — it doesn't move or get recalculated later, even as your balance changes over time.
If your account equity drops below this limit at any point, the account is immediately terminated. This rule exists to keep risk in check and protect your trading capital over the long run.
Maximum Total Loss: 6%- • Initial account balance = $10,000
- • Max allowed loss = $600 (6%)
- • Minimum allowed equity = $9,400
- • Account equity drops to = $9,500 (a $500 loss, i.e. 5%)
- → Since equity stayed above $9,400, the account is safe.
- • Initial account balance = $10,000
- • Max allowed loss = $600 (6%)
- • Minimum allowed equity = $9,400
- • Account equity drops to = $9,300 (a $700 loss, i.e. 7%)
- → Since equity fell below $9,400, the account is terminated.
4. Consistency Rule
Consistent trading is key to long-term success. To keep your trading approach balanced, no single trade or single trading day can make up more than 15% of your total accumulated profits.
This is the overall profit you've made on the account so far. Your biggest single trade and your biggest single day are both compared against this total — and whichever one is the higher percentage is the one used to check the 15% limit.
If either your best trade or your best day crosses 15% of your total profits, the consistency rule is breached.
Consistency Rule Limit: 15%- • Total accumulated profit = $10,000
- • Max allowed from one trade/day = $1,500 (15%)
- • Best single trade = $1,200 (12%)
- • Best single day = $1,400 (14%)
- → Since both are under 15%, the account is safe.
- • Total accumulated profit = $10,000
- • Max allowed from one trade/day = $1,500 (15%)
- • Best single trade = $1,200 (12%)
- • Best single day = $1,800 (18%)
- → Since the best day (18%) is higher than the limit, the consistency rule is breached.
5. Leverage by Asset Class
Leverage limits are different for each asset you trade. Before opening any position, make sure you know the max leverage allowed for that specific instrument.
- • Forex: Up to 30x
- • Commodities: Up to 10x
- • Crypto: Up to 1x
Trading within these limits is essential — going beyond them puts your account at risk of compliance issues.
- • Asset = Forex
- • Allowed leverage = 30x
- • Leverage used on trade = 20x
- → Since 20x is within the 30x cap, the trade is compliant.
- • Asset = Crypto
- • Allowed leverage = 1x
- • Leverage used on trade = 3x
- → Since 3x exceeds the 1x cap for crypto, the trade is non-compliant.
General Trading Rules
General guidelines, auditing thresholds, and compliance boundaries applying to all account programs.
News Trading
News trading is allowed during the evaluation phases — you can hold positions through news releases. Just don't open trades only to grab quick volatility around major news events; that's discouraged.
For funded accounts: profits from trades opened and closed within 3 minutes of a high-impact news event (red folder on ForexFactory) won't count for payout — unless the trade was opened at least 5 hours before the news hit.
Hedging (Same Account)
Not allowed. You can't hold a buy and a sell on the same instrument at the same time in one account.
Hedging Across Multiple Accounts
Strictly prohibited.
You can't hold opposite positions on the same instrument across different The Funded Room accounts, or accounts with other prop firms. This counts as arbitrage and leads to immediate termination.
Expert Advisors (EAs)
EAs are fine for trade management, risk management, and automating your own strategy.
Not fine: EAs built to game challenges, exploit platform conditions, or run third-party copy trading.
Weekend & Overnight Holding
No restrictions — hold positions overnight or over the weekend as you like, based on your own strategy.
High-Frequency Trading (HFT)
Placing 4 or more filled orders in the same direction, on the same instrument, within 3 minutes = HFT. This is prohibited, along with latency arbitrage or exploiting pricing/feed errors — can lead to immediate termination.
Toxic Trading Behaviour
Tick scalping and arbitrage aren't permitted.
Key Thresholds (Holding Time)
- If more than 10% of your trades close in under 1 minute, or
- More than 10% of total profits come from trades held under 1 minute
→ Payout requests get blocked until these numbers drop back under 10%. You can keep trading meanwhile. Repeated patterns may lead to suspension or termination.
Copy Trading
Not allowed. No third-party copy trading or managed accounts — all decisions must be made by you, the account holder.
Account Sharing
One account per evaluation stage, per trader. Sharing login details or letting someone else trade your account = account closure risk.
Payout requests can only be submitted between Sunday 11:59 PM IST and Monday 12:00 PM IST. Anything outside this window won't be processed.
Most payouts are completed within 2 hours of approval; if extra verification is needed, it may take up to 24 hours.
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