Disliked{quote} Already stated above, it is fact after 18-24 months, a personal account will outpace even a challenge account with 25-30% scaling every time you flip it in 3-4 months. I always factor the 100% and 50% requirements on challenges into the numbers. Rounding for ease .....$1,000 flipped gives you 2K another 50% for phase 2 gives you $3,000. The 2 step challenge gives you 20-24K MAX LOSS and fee refunded. So 20-24 times your investment and now risk free, house money. Factor in the targets you needed, it is still almost 7X (20K vs. the 3000 you'd...Ignored
On own account we then have $150 in funds and $200 tradable for max loss with the prop. On the own account we can risk max $75 until we run out or margin and start to hit stop-out levels.
We run a limited martingale which adds 0.01 every 10 pips. Let's presume that the market goes 100 pips against us. At that point our situation on the own account side would be this:
0.01 trade in loss $10
0.02 trade in loss $18
0.03 trade in loss $24
0.04 trade in loss $28
0.05 trade in loss $30 total DD $110, this means that trades 4 and 5 would not have been opened due to margin limits.
On prop side we still have $90 to go until max loss. Lets say that the price moves another 10p against us and then reverses some 40 pips, at that point the max DD on the prop side would have been around $130 until closed in profit later on. At that point we would still have the trades on own side active and now we get another 100 pips move against which results in stop out on our own funds and most of our own funds depleted.
