INFO: This rule only applies to Advanced and Master accounts, not Experienced.
The Consistency Rule is a requirement that ensures a balanced distribution of your profits in relation to your winning trades. It states that no more than 2/3 of your net profits can come from only 1/3 of your winning trades. Its purpose is to prevent withdrawals from being based on a few highly profitable trades, thus encouraging a more stable and sustainable performance.
If you do not comply with this rule, your trading account will remain active, allowing you to continue trading until you reach the necessary requirement to request a withdrawal.
A minimum of 10 trades is required to calculate the consistency rule.
Steps to calculate the Consistency Rule:
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Identify the number of winning trades (Net $ positive).
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Calculate 1/3 of the winning trades (rounding up if decimal).
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Add the profits of the most profitable winning trades that make up the 1/3.
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Verify if the profit of these trades represent more than 2/3 of the net profit.
Is there a Consistency Rule in the testing phase?
No, the Consistency Rule does not apply in the testing phase.
However, it is not allowed to reduce the risk in an exaggerated way or to make trades with opening and closing in significantly less time than usual.
If you make hasty trades or drastically reduce risk just to meet the minimum trading days, your challenge will be invalidated and it will be restarted.