Strictly Prohibited Trading Practices
Certain trading practices that exploit our system and programs are strictly forbidden, as they violate our Terms and Conditions. These restrictions apply to both evaluation phases and funded accounts.
Prohibited Trading Practices:
Arbitrage Trading:
Exploiting price discrepancies or glitches. A trader notices a price difference for the same asset on two different exchanges and profits by buying/selling on the exchange with the different price.
High-Frequency Trading (HFT):
Using sophisticated algorithms to execute thousands of trades within milliseconds to capitalize on small market price movements for profit.
Bracketing Strategy Around High-Impact News:
Placing both buy and sell pending orders just above and below the current market price before a major economic announcement. One order is executed after the news release, allowing profit from the price swing.
Exploiting System Errors:
Taking advantage of technical glitches causing incorrect price quotes on the trading platform to profit before the error is fixed.
Trade Coordination or Copy Trading:
A group of traders collaborates to execute coordinated trades across multiple accounts, sharing signals and strategies to amplify their collective profits.
One-Sided Bets:
Consistently entering long positions on a particular currency pair without proper analysis, believing it will rise indefinitely regardless of market conditions.
Using Expert Advisors (EAs):
Any use of EAs on a funded account is forbidden.
Tick Scalping:
Engaging in rapid-fire trading, entering and exiting positions within seconds based on minor price fluctuations with each market tick.
Hedge Arbitrage Trading:
Simultaneously buying and selling the same currency pair on different accounts to exploit temporary pricing inefficiencies.
Reverse Arbitrage Trading:
Behaviour includes risking the full daily loss on one trade, often indicating reverse trading between firms.
Account Sharing or Reselling:
Selling access to a funded trading account to another individual or entity, allowing them to trade on their behalf in exchange for a fee or profit share.
Consistency Rule:
If a trader typically trades lots of 0.5 and then starts trading 5 lots, it is considered “gambling.” The firm will review the average lot size traded, and any increase over 100% may lead to the removal of profits. The firm will also review trade times to prevent manipulation (e.g., opening multiple lots quickly).
Consequences
Traders suspected of engaging in these prohibited practices may face various restrictions, such as reducing leverage, limiting the number of trades per day, lot size limits per day, lowering daily/max loss limits, imposing a maximum 1% risk limit rule, accounts breached, or even being banned from the firm without refund.
