Hard breaches are critical violations of our set rules. A hard breach occurs when a trader surpasses the maximum daily loss or overall drawdown threshold, leading to the immediate termination of the account. This rule applies during both the evaluation phase and funded trading.​

​Daily Drawdown (Equity-Based with Trailing on Open PnL):

The Daily Drawdown is strictly based on your account’s equity, which includes both closed and open trades (floating PnL). It is set at 3% below the highest equity at the start of each trading day (01:00AM UTC).

This means your drawdown limit trails upward with your open profits and adjusts daily to protect capital gains, but it does not reset downward if your equity falls.

Example:

You start the day with a $10,000 account.

• At 01:00AM UTC, your equity is $10,000.

• 3% Daily Drawdown = $300.

• Your stop-out level for the day = $10,000 - $300 = $9,700.

  
  

Now suppose you open trades and your equity rises to $10,500 (due to floating profit):

• Your new drawdown limit becomes $10,500 - 3% = $10,185.

• This new level trails your profits. Even if the profit is not closed, the drawdown will still move up based on your highest floating equity.

• If your equity drops below $10,185 anytime during the day, even from floating losses, you will be in breach of the Daily Drawdown rule.

At the next day’s rollover (01:00AM UTC), the drawdown is recalculated based on the new highest equity (including open PnL) at that time.