Understanding our loss limits is crucial for successful risk management. Let's start with how a trading day flows in futures markets:
Trading Day Structure
Your trading day on our CQG platform runs from approximately 7:00-7:30 PM ET to the same time the following day. This is when:
Your daily P&L resets
New positions start counting toward the next day's metrics
Risk limits refresh
Please note this timing when planning your trading schedule and managing your daily risk limits. The exact reset time may vary slightly, so it's best to allow a brief buffer around this window if you're approaching any daily limits.
Our Approach to Account Resets
We understand that even skilled traders occasionally face challenging market conditions or unexpected moves. That's why we include free resets as part of your $389 monthly subscription—no hidden fees, no reset charges.
A reset or two, when warranted, doesn't diminish your potential as a trader.
Important reset guidelines:
After each reset, your account will be locked from additional resets for 72 hours. This mandatory cooling off period exists for good reason: if you need multiple resets within a few days, it signals a fundamental breakdown in risk management that wouldn't be sustainable on an institutional desk. Use this time to step back, analyze what happened, and adjust your approach
Document specific circumstances leading to the reset while they're fresh in your mind
Prepare to discuss your reset rationale during Phase Two evaluation
Here's something to understand:
While resets give you a fresh account balance, they don't erase your trading history.
Every trade you make—whether before or after a reset—contributes to your overall trading profile.
Here's why this matters:
We're not simply measuring your ability to hit a profit target once. Instead, we're building a comprehensive profile of your trading edge and risk management efficiency. When evaluating traders for Phase Two, we look at:
Your complete trading history across all resets
Risk-adjusted returns, not just raw profits
Patterns in your decision-making and risk management
How you learn and adapt from challenging periods
Think of Phase One as building your trading resume. Each reset tells part of your story—not just the final profitable stretch.
While we evaluate each trader's journey individually, consistent reset patterns might signal areas where your risk management strategy needs refinement.
If we notice patterns suggesting resets are becoming a substitute for proper risk management, we'll have a conversation about your development as a trader. Our goal is to help you build sustainable trading practices that will serve you well in an institutional environment.
Daily Loss Limit ($2,000)
This is a hard limit, not a soft guideline
The $2,000 daily loss limit aligns with standard exchange trading sessions
Your daily PnL resets with each new trading session around 7:30 PM ET
A violation requires an account reset, regardless of whether your account is profitable overall. For example, even if your account is at $105,000 and you hit the $2,000 daily loss limit, this is still a hard violation
Maximum Drawdown Limit ($8,000)
Your account has an absolute floor at $92,000 (starting from $100,000)
This represents a maximum drawdown of $8,000 from your starting balance
Breaching this floor at any point is a violation, even if you're managing smaller daily losses
Important Notes About Violations:
Either limit can trigger a violation independently
You can have multiple days of smaller losses (e.g., $1,000) and still be within parameters
However, exceeding either the daily loss or max drawdown limit at any point requires a reset
Documentation Requirements: If you need to reset your account, you'll need to:
Document the circumstances that led to the violation
Keep detailed notes about your decision-making process
Be prepared to explain this during Phase Two of your assessment
This documentation requirement is designed to help you learn from the experience and demonstrate your growth as a trader. We view these moments as valuable learning opportunities that can strengthen your risk management approach.