Read the prop firm check
A prop firm check gives one of five results. Each says how the tested strategy stood against one set of a firm's rules, on the price history it was tested on.
The five results#
- Passed The target was reached, the trading days were met, and no rule was hit.
- Passing so far The profile has no target and nothing was hit.
- Failed A loss or drawdown rule was hit on a profile that has a profit target.
- Breached A loss rule was hit on a profile with no target, or a softer rule such as consistency was broken.
- Incomplete The test could not settle it.
What the check reads#
The loss, drawdown, target and day rules of the rules you picked, consistency, inactivity and weekend holding.
It flags for you to see, where the rules ban them: hedging, martingale, a grid, trades with no stop, holding through the close, too many orders in a day.
What it cannot read#
News-time limits, copy-trading bans, a rule your firm changes tomorrow, your live fills.
The check counts a day by the clock of the rules you picked. If your firm resets at another hour, the daily loss can fall on a different day.
Read more#
The prop firm check