Max Loss Limit
The max loss is the absolute floor of your account from initial capital. Once reached, the evaluation ends permanently. Here's how it works.
What is the max loss limit?
The max loss limit is the absolute loss ceiling measured from your initial capital. It never moves, never changes, and never resets throughout the evaluation. The moment your live equity drops below this floor, the account is breached and trading is permanently disabled.
How it's calculated
max_loss_floor = initial_capital − max_loss_limit
This floor is fixed for the entire life of the account.
Worked example — Sprint 50K
Account: Sprint 50K · Initial capital: $50,000 · Max loss: $5,000
Max loss floor = $50,000 − $5,000 = $45,000 (fixed forever)
Day 1: you make +$1,500. Equity = $51,500.
Day 2: you lose −$2,000. Equity = $49,500.
Day 3: you lose −$3,000. Equity = $46,500.
Day 4: you open a position that goes to −$1,800 unrealized. Live equity = $44,700.
$44,700 < $45,000 → BREACH. Position force-closed, account permanently breached.
Key differences with daily loss
| Property | Daily Loss | Max Loss |
|---|---|---|
| Reference | Daily start equity | Initial capital |
| Resets | Every day at 00:00 UTC | Never |
| Recoverable | Yes (next day) | No |
| Applies to | Classic, Discipline | All accounts |
What counts toward max loss
Both realized losses (closed trades) and unrealized losses (open position PnL) count in real time. The system uses your live equity, not just your balance.
This is the absolute boundary of the simulation. It's the maximum capital at risk for the simulated account. Without it, traders could theoretically lose unlimited amounts. The fixed ceiling protects the integrity of the evaluation framework.