How Does Max Drawdown Works on 2Step Standard, 2step Classic, 2Step Pro & 3Step?

Overview
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The Maximum Drawdown is the overall amount a trader can lose on their account.
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​2 Step Standard, 2 Step classic & 3 Step Account
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The maximum drawdown allowed in an 2 step standard, 2 step classic & 3 Step account is 8%. The Drawdown is static.
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​Example using a $100,000 account:
Max Drawdown is 8% of your initial balance = $8,000. Your account equity including unrealized/floating positions must not hit/exceed below $92,000.
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​2Step Pro Account
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The maximum drawdown allowed on 2 step pro account is 10%. The maximum drawdown is trailing.
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​Max drawdown will remain at 10% trailing of your Highest Watermark Closing Trade made. If your account reaches 10% of your starting balance your trailing Drawdown will lock in at your starting balance.
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Once your Drawdown is locked in at your starting balance we add a fixed 1% buffer on the account. This way you cannot withdraw all the profit and breach your funded account.
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Example 1: You have a 100k account. Your Daily drawdown is a fixed 4% and your Max Trailing is 10%. Your Daily drawdown level is $96,000 and your Max trailing is $90,000. Let’s say you make $1,000 profit. This puts your account at $101,000. The next day your Daily drawdown will be $101,000- $4000 = $97,000. Your Max trailing drawdown is $101,000-$10,000 = $91,000. Your new Max trailing drawdown is $91,000 because it trails from your highest recorded balance which was $101,000. Drawdown includes profits and losses from closed positions, swap fees and commissions
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Example 2: You start out with a 100k account. Your Daily drawdown is 4% and your Max Trailing is 10%. Your Daily drawdown level is $96,000 and your Max Trailing is $90,000. Let’s say you make $5,000 profit. This puts your account at $105,000. The next day your Daily drawdown will be $105,000- $4000 = $101,000. Your Max trailing drawdown is $105,000-$10,000 = $95,000. Your new Max trailing drawdown is $95,000 because it trails from your highest recorded balance which was $105,000.
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Example 3: You start out with a 100k account. Your Daily drawdown is 4% and your Max Trailing is 10%. Your Daily drawdown level is $96,000 and your Max Trailing is $90,000. Let’s say you make $8,000 profit. This puts your account at $108,000. The next day your Daily drawdown will be $108,000- $4000 = $104,000. Your Max trailing drawdown is $108,000-$10,000 = $98,000. Your new Max trailing drawdown is $98,000 because it trails from your highest recorded balance which was $108,000.
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Daily drawdown will reset each Day at 5PM EST. Max Trailing will always be from Highest recorded balance unless you achieve 10% from your starting balance.
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