When selecting a one-stage PipFarm challenge, you can choose Static Max Loss or Max Trailing Loss. The maximum loss is the maximum loss your account can incur before it is breached. Unlike the static drawdown method, which uses a fixed percentage of your starting balance, trailing drawdown tracks the high watermark of your account balance.

The max trailing drawdown is 9% of your high watermark balance. If you are Rank 2 or higher, your max trailing loss is 10% of your high watermark balance. Your account will be breached if your equity exceeds this limit.

The high watermark (HWM) is the highest value your account balance has reached. Your account balance is only affected by closed positions, not the floating equity from open positions. Each time you increase the all-time high of your account balance, the Trailing Max Loss will follow with a 9% distance.

After a payout is requested, the amount withdrawn from the account is deducted from the high watermark.

For example, if your high watermark is $110,000, your trailing max loss equity limit is $100,100. If $5,000 is withdrawn from your account, your high watermark is reduced to $105,000. Therefore, the trailing max loss equity limit falls to $95,550 and maintains a 9% distance between the adjusted high watermark and your trailing max loss equity limit.

You do not need to calculate the Max Trailing Loss limit; it is calculated in real time and displayed in your dashboard.
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The calculation for the Trailing Max Loss limit is the following:
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If your initial balance is $100,000, your initial Max Trailing Loss limit is $9,000, which trails your high watermark. If you close your first trade with a $500 profit, your high watermark becomes $100,500. Therefore, you cannot lose over 9% of $100,500; your account equity cannot fall below $91,455.

The Max Trailing Loss recalculates after every payout, allowing traders to enjoy their rewards without fear of losing their accounts. The payout is subtracted from the high watermark balance.

Yes. You can increase your Max Trailing Loss by 1% after you achieve Rank 2 in our Experience Programs.

Yes. Technically, because of the trailing nature of this rule, you can breach an account while in profit. However, we offer a payout protection feature, allowing you to keep your profits even if you breach an account.