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Forex Journal Team

June 8, 20261 min read

Prop Firm Challenges: What Every Trader Should Know

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Prop Firm Challenges

Key Rules

  • Daily Drawdown — 5% max daily loss
  • Max Drawdown — 8-12% of starting balance
  • Profit Target — 8-10% (two-phase), 5-8% (one-phase)
  • Min Trading Days — typically 5-10
  • Consistency Rule — no single trade over 20-30% of profit

Tips for Passing

  • Risk 0.2-0.5% per trade
  • Focus on consistency, not speed
  • Track progress daily
  • Stop at 50% of daily drawdown limit
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