A checklist before the first trade of a prop challenge

[FXS London Scalper]

Failing a challenge on day two because of a rule you knew but didn't check is a common story. A written checklist before the first trade helps.

• Daily loss limit: how is it measured, from balance or equity, at what time does the day reset, and in which time zone?
• Maximum drawdown: static or trailing?
• News rules: which events are restricted, how many minutes before and after?
• Weekend holding: allowed?
• Lot size limits per instrument?
• Minimum trading days?
• EA or copy-trading rules?
• Calendar time zone in your platform set correctly?

Then write your own stricter limits. A worked example: if the firm's daily limit is 5%, stop for the day at 3%. That leaves room for slippage on an open trade at the moment you hit your limit.

Print it, tick each line, and keep it for the length of the challenge. Firms update their rules, so recheck for each new account.

What would you add?