How to calculate the 5% Daily Loss Limit in 2 Step Standard?
The Daily Loss Limit is the maximum amount your account can lose in a single day. It is calculated using the balance from the previous day, which resets at 00:00 server time, which is GMT+2 or GMT+3. Unlike other firms, we base our calculations solely on the previous day’s balance, not equity. This balance-only model allows you to maximize your gains without risking your account. The daily stop adjusts as your balance increases.
Example 1:
If your balance at the end of the previous day (23:50 GMT+2 or GMT+3) was $100,000, your account would exceed the Daily Loss Limit if your equity dropped to $95,000 during the day.
Example 2:
If your floating equity is +$6,000 on a $100,000 account, your maximum loss for the new day (23:50 GMT+2 or GMT+3) is still based on the previous day’s balance of $100,000. Therefore, your Daily Loss Limit remains at $95,000.
Example 3:
If you make a $5,000 profit on a $100,000 account, your maximum daily loss for the new day (23:50 GMT+2 or GMT+3) will be based on the updated balance of $105,000 from the previous day. Consequently, your Daily Loss Limit would be $99,750.
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