At AquaFutures, the Maximum Drawdown is created so that traders create a consistency mindset. Together we build a steady and consistent trading career for you.
For Beginner, Standard, and Instant accounts (excluding Instant Pro):
The maximum drawdown limit will trail your highest end of day balance. This means your account's highest recorded end of day balance is the level that your maximum drawdown limit will be subtracted from. Once the level reaches starting balance + $100, it will lock at this level for the remainder of the account's lifetime.
For example, on a 25k Beginner account, with a $1,500 maximum drawdown allowance, if your highest end of day balance during the account's lifetime is $26,000, the maximum drawdown threshold will be set at $24,500.
If and when your max drawdown level reaches $25,100, it will lock at this level for the lifetime of the account.
For Instant Pro accounts:
The maximum drawdown limit trails your balance/equity in real time. As you record unrealized/open profits, your maximum drawdown limit will trail the highest watermark reached by the account.
For example, on a fresh 25k Instant Pro account, with a $1,000 maximum drawdown allowance, if you open a trade that runs into $250 profits, the maximum drawdown threshold will trail these profits and will set accordingly. If the trade closes at breakeven, these $250 profits that were once within your balance/equity will be recorded as losses.
If and when your max drawdown level reaches $25,100, it will lock at this level for the lifetime of the account.
Note: you can view the specific drawdown rules for giveaway accounts in our Giveaway Account Overview article