Great question, below you will find all PRO account rules. This will all be in the contract we send you, but let's go over them here.
We have seen MILLIONS lost when retail traders try and trade on very small timeframes (hundreds of trades lasting a few seconds), so we DO NOT allow this.
To further this rule, in the Pro Accounts, we ask that you do no more than 50 executed trades per day. An executed trade is any filled trade, regardless of size of the trade.
For example: If you buy one share (or contract) or 200 shares (or contracts) in one order, it counts as one executed trade. When you sell that position, it counts as one executed trade.
However, if you buy 200 shares (or contracts) and then sell half of them, and then the other half at a later time, this would count as THREE executed trades (one execution for the buy, and two executions for the sell).
At the time of writing this, the world is going crazy. Futures markets (and other markets too) have circuit breakers built into them, to limit how far the market can go in a single day.
The CME has a list of the price limits for each particular day. They are listed here:
It is the traders responsibility to be out of all trades before these limits are hit. In the even that the market gets close to the limits, our company must "hedge" against traders who are holding positions near price limits.
If a price limit is hit, and you have not exited your position, this will cost you to lose your pro account.
Trade your Account
We care about our capital sitting on the sidelines, so we want to see you trading. In order to keep the Pro Account, you will be required to trade at least one day per calendar week (Sunday-Friday). A ''traded-day'' is defined as a day, where you hold an open position on your most traded instruments for at least one minute.
This ensures that you are actively trading your PRO Account the same that you were trading your test and not "squatting" on your Pro Account.
Please note, we understand that different things can happen in life. We are open to make exceptions for this rule in certain life circumstances that you might face. Please reach out to us if something has or will come up that prohibits you from trading for a certain period of time.
Removal of Consistency Rule
This one is more obvious, but we do not care about consistency in your pro account. We want you to make as much as possible. There is no such thing as a consistency rule in your Pro Account.
Daily Loss Limit
The daily loss limit works the same way as it did in your test account.
Intraday vs. End-of-Day Trailing Drawdown
Consistent with how the Daily Loss Limit is calculated, once in a Pro account, the Trailing Drawdown is calculated intraday based on your peak balance which includes realized and unrealized gains. The Drawdown will follow your account intraday as you experience gains, but will not exceed the starting balance.
All Pro Accounts must be out of all positions, and have no open orders, one minute before, during, and after the news events that follow:
- FOMC meeting minutes/announcements. These occur on Wednesdays at 2pm eastern time. (You are allowed to trade through FED speakers.)
- NON-Farm payroll (NFP). (These events occur on Friday’s at 8:30am eastern, once per month.)
- Consumer Price Index – CPI
In addition to these news events, the following news events are prohibited for specific instruments:
- News event: crude oil inventories. Prohibited product - crude oil
- News event: bond auctions. Prohibited products - 10 year note, 30 year bond
You can check all upcoming news events at forexfactory.com