1. Hedging & One Direction
No Hedging
Holding both long and short positions simultaneously on the same or correlated instrument is strictly prohibited.
For example, the trader cannot be short NQ and Long ES under any circumstance.
One Direction
Traders are only allowed to hold a position in one direction at any time—either long or short. No Hedging: Holding both long and short positionsimultaneously on the same or correlated instrument.
4-Minute Direction Rule
After entering a position, the trader must maintain the same directional bias (long or short) for a minimum of four minutes before initiating a trade in the opposite direction.
Closing a position is permitted at any time; however, opening a new position in the opposite direction within the four-minute window constitutes a direction-flip violation.
Scaling in or out is allowed as long as the trader maintains the original direction. See also Prohibited Activities.
2. Contract Scaling Rule
PRO Accounts use starting limits at activation. Higher limits unlock from end-of-day balance scaling steps — see the PRO plan picker or plan rules for fees and full schedules.
- Starting limits: Applied when your PRO Account is activated (e.g. $50,000: 2 mini contracts, $1,000 daily loss limit).
- scaling steps: After each EOD sync, profit above starting balance may move you to a higher contract and daily loss limit step for the next session.
- Trailing drawdown: Remains in effect; it is not removed when limits increase.
Example:
A $50,000 PRO Account starts at 2 contracts. When EOD profit above $50,000 is $1,500–$2,999, limits may increase to 3 contracts. At $3,000–$5,999 profit, up to 4 contracts. Full schedule: plan rules.
Violation:
Trade only within your current Rithmic contract limit. Oversized orders are rejected; repeated violations may affect payout eligibility.
Consistent Violation Penalty:
Blatant or repeated violations of the scaling rule will result in account closure and forfeiture of all balances.
3. Payout Requirements
Payout rules are separate for Intraday Trailing and EOD Drawdown PRO Accounts. Both require a $500 minimum request, 5 qualifying days, 50% consistency, and the safety-net minimum balance. Maximum 6 paid payouts per PRO Account.
4. Prohibited Activities
- Trading Without Risk Management: All trades must have either pending or mental stop losses and a well-defined risk management strategy.
- High-Risk Strategies: Strategies that involve small profit targets while risking disproportionately large amounts are not allowed.
- Using the Trailing Threshold as a Stop Loss: Traders are prohibited from using the account's full threshold as a stop-loss.
- Account Cycling: Purchasing multiple discounted evaluation accounts to cycle through and intentionally "blow up" accounts in pursuit of windfall profits is not permitted.
- Unsustainable Strategies: Any trading, risk management, or implementation that fails to demonstrate consistent growth and sustainability.
- Deviating from Professional Standards: Traders must employ strategies and risk management techniques consistent with those they would use in a personally funded account.
- Manipulation of the simulated trading environment: In any way, including High Frequency Trading (HFT) or any other exploitative strategies.
- Unauthorized Users: Allowing anyone other than the registered owner to access or perform account verification is strictly prohibited. WE reserves the right to request additional information, including audits and verification procedures, from the account owner to ensure that only the authorized user is trading.
- Account and Resource Sharing: Sharing MAC addresses, computers, IPs, credit cards, or trade copying with other traders is strictly forbidden. Violations will result in account closure, forfeiture of funds, and potential additional verification or audits to ensure compliance.
- Multiple Account Creation: Creating multiple user accounts is prohibited. You are allowed to create ONE, and only ONE, user account.
- 4-Minute Direction Rule: After entering a position, maintain the same directional bias (long or short) for at least four minutes before opening a trade in the opposite direction. Closing anytime is fine; flipping direction inside the four-minute window is a violation. Scaling in/out in the same direction is allowed.
Technical issues on websites, platforms, data etc can void trades.