Understand the rules and restrictions before choosing a prop firm. Knowledge is your best tool.
Always read the full rules before purchasing a challenge
Balance-based drawdown is more trader-friendly than equity-based
Check if profit targets are cumulative or reset daily
Understand the difference between hard and soft breaches
Verify if there are restrictions on overnight positions
Ask about lot size limits relative to your trading style
Only considers closed positions. More flexible for traders who hold positions with unrealized losses.
$100k account with 10% max DD ($90k threshold). You can have open positions at -$15k unrealized loss as long as your closed balance stays above $90k.
Includes both open and closed positions. Stricter rules that require careful position management.
$100k account with 10% max DD ($90k threshold). If your equity (balance + floating P/L) drops to $89.9k even with open trades, you breach immediately.
Use our comparison tool to see how different firms' rules match your trading style.
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