Help CenterThe Position Sizing Consistency Rule ensures traders maintain a steady risk level for each trade idea. Under this rule, the maximum risk (including any floating losses) per trade idea is limited to 3% of the initial account balance.
A trade idea includes:
– Multiple positions opened on the same instrument in the same direction within 2 hours between the closing of the previous trade and the opening of a new trade. The outcome of the trade does not affect its inclusion in the trade idea.
- Positions across multiple accounts if they represent the same market direction, instrument group, or correlated exposure.
Risk is assessed based on effective combined exposure, not per-account isolation. Trading activity across multiple accounts under the same user may be aggregated and evaluated as a single combined exposure. Splitting a trading strategy or trade idea across multiple accounts to increase total exposure or bypass risk limits is not permitted.
The firm reserves the right to evaluate trading behavior holistically across accounts, instruments, and timeframes to identify risk concentration or rule circumvention.
This rule helps prevent large equity swings that could arise from over-leveraging or sudden increases in position size on a single trade.
For example, if a trader opens multiple BUY positions on EURUSD at the same time, the total risk across all these positions should not exceed 3% of the initial account balance.
Positions across correlated instruments (e.g., AUDUSD, USDCHF, AUDCHF, or BTCUSD, BTCEUR, ETHDTC, etc.) may be considered a single trade idea if they express the same underlying market view and should not exceed 3% of the initial account balance.
Traders can use up to the full daily drawdown limit, but it should be spread across different trade ideas rather than concentrated on one. This approach supports sustainable, disciplined trading and minimizes the risk of significant account losses.