Help Center📊 Risk Exposure & Trade Management Rule
Exposing more than 50% of your allowed daily or maximum drawdown on open positions is considered excessive and violates our risk management standards. Traders must manage position sizing and exposure carefully to preserve capital and maintain sufficient room for market fluctuations. Violations of this rule will result in a hard breach of your account.
Additionally, traders may not risk more than 50% of their allowed drawdown on a single trade idea. A trade idea is defined as trades placed in the same direction on the same instrument within 15 minutes. Re-entering after a loss to bypass limits will still be treated as one trade idea and may be flagged as gambling.
Example:
For a $100,000 freshly funded account with a 5% daily drawdown limit and 10% maximum drawdown limit:
For this case maximum exposure limit is $2500
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You open a gold long and incur a $1000 loss.
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You may still open another trade immediately where you risk up to $1500, as long as your total exposure does not exceed 50% of your allowed drawdown for a single trade idea.
This rule applies across all Earnex Prime [2-Step] funded and Earnex Ascend [3-Step] funded stages.