After 28 days, 64 trades and over $2200 in commission, I've completed the challenge phase. The best part is, over $9150 was made in the last 24 hours 😅. Now onto the verification phase

Prop Firms
21

Ali said:
@Marin
Well, for a 100,000 account, $1000 is actually 1%, right?

For a 100,000 account, you only have access to 10,000, so risking 1000 is essentially risking 10%, which is over-leveraging and why most people blow accounts.

22

@Wil
It’s just a challenge account, not yet a passed funded account.

23

Aris said:
@Wil
It’s just a challenge account, not yet a passed funded account.

What difference does this make? I have a live account and a challenge account, and I trade them the same even though one is 100k and one is 10k.

24

@Wil
What’s your risk on the 100K account?

25

Ali said:
@Wil
What’s your risk on the 100K account?

0.2%.

26

Ali said:
@Wil
What’s your risk on the 100K account?

0.2% because I trade on the low timeframe and can have multiple trades a day, so I could lose 2 trades and win 4. Since my target is 4RR minimum and more if I want, if I win 4 trades and lose 2, I’ll lose 0.4% and gain 3.2% overall, getting a 2.8% gain from 6 trades. Obviously, I could lose 4 and win 2, but since my RR is 4, I could lose 8 and win 2 and go BE, but my win rate is around 50%, so I should always be okay if I keep my rules.

27

@Marin
That’s not really how it works. It’s a 100k account. Your investor just isn’t prepared to allow you more than a 10% overall loss. What that means for you as a trader? Depends. If you have a high win rate with overall drawdown being very low… mathematically, it makes sense to risk 0.5 or even a full percent per trade. If your win rate is lower and your potential drawdown is substantial… risking a full 1% or even more is not a sustainable trading practice.

28

@Oakes
Let’s agree to disagree then. The term risk refers to the amount of money you can lose until you lose your account, aka ‘blow it up’. In a personal account, if you risk 2% on an account you can lose 50x that amount. If you do the same on a prop firm account, you can lose it only 2-2.5x. Therefore your risk is 50/2.5 = 20 times as large.

29

@Marin
There is nothing to agree or disagree upon… The math sets the rules, not me. Sorry…

30

Oakes said:
@Marin
There is nothing to agree or disagree upon… The math sets the rules, not me. Sorry…

You’re not helping this guy and influencing him to blow up his account faster. BTW, I viewed your responses on other posts, and you rely so heavily on ad hominem arguments that it’s almost impressive. It’s not about you winning an argument but rather helping people improve their trading.

31

@Marin
If you don’t understand the math behind risk structure in trading, why are you even commenting?

32

Oakes said:
@Marin
If you don’t understand the math behind risk structure in trading, why are you even commenting?

Dude you are wrong, @Lower_Situation9470 is right.

33

Aaron said:
What’s your strategy?

I’ve mentioned it in the post, SMC.