Prop firm tool

Prop firm drawdown calculator

Drawdown is the single biggest reason funded accounts get breached. Daily caps your loss in one day; overall caps your total loss before the account is killed — and on a trailing model that floor follows your profits up. Work out your exact stop-out levels, or check how close you are right now.

Your drawdown rule

Account size?Your starting account size — the daily and overall limits are a % of this.

Daily drawdown?The most you can lose in a single day, measured from your start-of-day balance.= $5,000

Overall drawdown?The most you can lose overall before the account is breached.= $10,000

Drawdown model?Static measures the overall floor from your starting balance. Trailing measures it from your highest balance, so the floor rises as you profit.

Daily limit measured from?Firms measure the daily allowance differently. Some take the % of your STARTING size and subtract it from today’s opening balance; others take the % of the higher of today’s opening balance and opening equity.

Max total loss

$10,000

You are out if your balance hits $90,000

Breach breakdown

Daily loss limit	$5,000
Daily basis	Start-of-day balance − % of starting size
Overall loss limit	$10,000
Stop-out balance	$90,000
Model	Static

Drawdown models differ by firm (start-of-day vs balance vs equity, static vs trailing). Always verify the exact rule on your firm before trading. Educational use only, not financial advice.

Every firm has a drawdown rule. Unlike the consistency or FLR caps, drawdown limits apply to every prop firm in our database — there is no “no rule” case. Pick a firm above to load its exact daily and overall limits.

FAQ

Drawdown rules — questions

What is the difference between daily and overall drawdown?

Daily drawdown caps how much you can lose in a single trading day, usually measured from your balance at the start of that day. Overall (or max) drawdown caps your total loss from the start before the account is closed for good. You can breach either one independently — a single brutal day can hit the daily limit even if your overall loss is small.

Static vs trailing — what is the catch?

A static overall limit sits at a fixed balance (your start minus the allowed loss) and never moves. A trailing limit starts there too, but rises as your balance makes new highs — so once you are up, you can give back less before breaching. Trailing is stricter: a winning run quietly raises the floor under you.

Is the limit measured on balance or equity?

It depends on the firm — some check closed-trade balance, others check live equity (including floating losses on open trades). Equity-based rules are stricter because an open drawdown can breach you before you ever close the trade. This tool uses equity for the checker; confirm which your firm uses.

How do I use the breach checker?

Enter your start-of-day balance and your current equity. The gauge shows how much of your tightest limit you have used — daily or overall, whichever is closer. At 100% you are at the breach point. It also tells you which limit is binding, so you know which one to watch.

What happens when I hit a drawdown limit?

A daily breach usually closes your trades and fails the day or the account, depending on the firm; an overall breach almost always ends the account permanently. There is no recovering a blown max drawdown — which is why sizing to stay well clear of both limits matters more than any single trade.

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How it works

How the drawdown calculator works

It turns a plan’s daily and overall loss limits into the equity levels at which the account is breached, then shows how far your current equity is from each one.

Daily floor — depends on what the firm measures from

Start-of-day basis: daily floor = balance at the start of the day − daily % × starting account size.
Higher-of basis: baseline = the higher of the day’s opening balance and opening equity; daily floor = baseline − daily % × baseline.

Overall floor

Static: overall floor = starting account size − overall % × starting account size. It never moves.
Trailing: overall floor = highest balance reached − overall % × starting account size. It rises with each new high and never falls back.

Distance to a floor = current equity − that floor. Whichever floor is nearer is the binding one; at zero distance the account is breached.

Amounts are in the account’s currency. Limits are percentages. Equity includes open trades.

Worked example

A $100,000 account with a 5% daily and 10% static limit. Today opened at $110,000 balance and $110,000 equity; equity is now $104,750. On the start-of-day basis the daily floor is $110,000 − $5,000 = $105,000, so the account is $250 below it: breached. On the higher-of basis the floor is $110,000 − $5,500 = $104,500, so the account is $250 above it. The overall floor is $90,000 either way. Same account, opposite verdicts, which is why the basis is a separate choice in the calculator.

Prop Firm Drawdown: Daily and Maximum Loss ExplainedLearn how prop firm drawdown works with formulas, six examples, balance vs equity, and clear comparisons of static and trailing loss limits.

Your drawdown rule

Account size?Your starting account size — the daily and overall limits are a % of this.

Daily drawdown?The most you can lose in a single day, measured from your start-of-day balance.= $5,000

Overall drawdown?The most you can lose overall before the account is breached.= $10,000

Drawdown model?Static measures the overall floor from your starting balance. Trailing measures it from your highest balance, so the floor rises as you profit.

Drawdown rules — questions

What is the difference between daily and overall drawdown?

Static vs trailing — what is the catch?

Is the limit measured on balance or equity?

How do I use the breach checker?

What happens when I hit a drawdown limit?

Prop firm drawdown calculator

Your drawdown rule

Breach breakdown

Drawdown rules — questions

How the drawdown calculator works

Daily floor — depends on what the firm measures from

Overall floor

Worked example

Further reading

Your drawdown rule

Breach breakdown

Drawdown rules — questions