Trading competitions are a fantastic way to get hold of some free trading capital as well as to hone your trading skills. In this guide, we are going to explore what this particular competition offers, how it’s run and what you can win.
We will also look at some methods to improve your chances of making it to the top of the leader board. Firstly, let’s take a quick look at the firm running the competition, The Funded Trader.
About The Funded Trader
The Funded Trader are an exciting and innovative prop firm with a vibrant community and multiple funding models on offer.
On top of some great funding options, this firm has a slick, feature rich dashboard and a buzzing Discord channel.
The Funded Trader was formed in 2019 when two CEOs of forex educational companies came together Blake Olsen and Angelo Ciaramello. They have a great reputation in the industry for innovation and continuously improving their service.
Here are some reasons many traders opt to trade with this firm:
- Three different challenge options, Standard, Rapid and Royal.
- High Profit Share of up to 90%.
- Scale to manage up to $1,500,000 of capital.
- Only 0 to 5 minimum trading days.
- Fair and Competitive Prices.
The Competition Rules
As with any competition, there are a set of rules which must be followed. Should the trader break the rules, they will be disqualified from the competition.
Here are the rules of the competition:
5% Max Daily Drawdown
10% Max Total Drawdown
5 Minimum Trading Days
EA’s are not allowed
No taking advantage of unrealistic fills in the demo environment
Daily Drawdown will now be calculated based on Balance or Equity whichever is higher at the end of the day
There will be a lot size rule of 5 max across all positions. It will be a soft breach where if someone goes above the lot size limit we close all trades and send an email.
There is a 2 lot size limitation on Indices & Commodities at a broker level
Only 1 account per person is permitted
The competition starts on the first of the month and ends on the last day of the month
What are the Prizes in The Funded Trader Competition?
The prizes for the competition change month to month. The prizes in the December compeition are particularly amazing with the top three traders receiving large cash pay-outs on top of large free challenges.
In total, there are 50 prizes awarded.
How to Improve Your Chances of Winning
In order to be in with a chance of winning this competition, you will likely need to make some adjustments to your normal trading strategy.
Small consistent gains while extremely sought after on standard funded accounts, will be unlikely to cut it in a competition environment.
Consequently, some calculated risks will need to be taken. Here are some ideas:
- Try to increase your risk-per-trade to between 1% and 2%.
- Focus on high volatility markets, such as gold, oil or natural gas.
- Increase the risk as the competition goes on (If you are behind).
- Don’t be afraid of losing – Be Bold and fearless.
At the end of the day, a good level of skill is required to make the top of the charts. Additionally, a certain degree of luck will be required as there are thousands of traders competing.