@traderdock, can you explain what below means please? "Virtual balance signaling is misleading. Your live trading account balance will start at zero. No BS."
Futures trading is backed by margin as you know and we at TraderDock don't feel comfortable saying, "trade this SIM account with a starting balance of 50k or 150k". It gives a false impression. The idea that there's 150k in an account for a new trader to start trading is a misnomer. If the live account starts with a trading balance of zero, then why shouldn't the SIM account reflect this reality. New traders are backed to trade small size initially which grows over time commensurate with their account performance and ability to handle risk. This is true of all firms that back/fund/finance/capitalise new traders. Spikes in the market can happen and significantly more than expected can be lost on occasion but the realistic potential loss for a firm is the max drawdown. Some firms use a trailing max drawdown to limit this potential loss. Using TraderDock to get live and back you in the markets is like hiring a risk manager to watch over you because humans are susceptible to temptation and lack of discipline and so apart from the backing, the biggest benefit is accountability.
Where does it go? Where do the big successful hedge funds earn their money from? They cannibalize on each other if they can but it's much easier to go after retail.
I'm afraid not. It is a clearing bank restriction that we have to adhere to. We are constantly working to add new countries so I will let you know if we add India. Thanks for your interest.
Hi @lukas, In all accounts the daily loss limit is $1,000. When a trader who is trading 1 to 5 lots hits $1,000 downside in one trading day, its time to say- OK, it's not working. Time to stop. I'm doing something wrong. In fact... we would argue, the time to stop should be $400, $500. Your target is $4,500 in Stage 2... If your average daily profit is $250, then this feat will take you 18 trading days. But to allow yourself to lose $1,000 in any one day sets you a long way back, mentally as well as in terms of p&l. So I always recommend to traders, set a self-imposed stop limit within the confines of the Challenge Risk Rules. $1,000 is too much downside to allow yourself in the pursuit of these profit targets.
@traderdock But your website says it is $1,500 in Gold account: https://www.traderdock.com/faq/view?subcatid=4&&catid=15 under "Stage 2 Target & Rules" What happens if a rule is broken in Live Account? Does a trader go back to Stage 1 or Stage 2?
You are correct, that is a typo in our FAQ. We will change that right away. Anyone currently in Stage 2 will have the benefit of the doubt here and will be able to avail of the $1,500 daily downside. If a rule is broken in the live account, then the trader loses access to live trading. And to get a live trading account again, they must pass the full TraderDock Challenge again. Just the same as someone that has just gone live on the live trading floor in Dublin...if they are found to have broken the risk rules, then they go back to simulate and prove they care enough to be disciplined and not break the risk rules.