Passing and Getting to payout

 Passing and Getting to Payout

Phase 1: Passing the Trading Challenge

Week 1-2: Strategy Testing and Adaptation

  • Establish a baseline trading strategy focusing on the E-mini S&P 500 futures (ES) using micro contracts. Start with trading 2 micro ES contracts.
Daily Goal
  • Aim for a net gain of 15 points ($150 with 2 micros at $5 per point). Weekly Target $750 (assuming a 50% win rate across 5 trading days).
Risk Management
  • Set a maximum daily loss limit of $100 (equivalent to a 10-point loss on 2 micros) and a weekly loss limit of $300 to prevent deep drawdowns early on.
Adjustment Criteria
  • Review trade outcomes daily. If a particular setup or strategy underperforms consistently over a week, refine or replace it.

Week 3-4: Scaling and Refinement


  • Accumulate $1,000 in profit by the end of Week 4, adjusting position size as confidence in the strategy increases.

Position Size Adjustment

  • Increase to 3 micro ES contracts once $500 in profits is secured, aiming for $225 daily (15 points).

Weekly Target

  • Adjust based on increased position size; aim for $1,125 if trading 3 micros with a 50% success rate.

Risk Management

  • Adjust the daily loss limit to $150 with the increased position size. Maintain a tight rein on weekly losses to safeguard against drawdown

Phase 2: Achieving Funding

Week 5-6: Consistency and Milestone Achievement

  • Surpass the challenge profit target of your account by focusing on consistent execution of the refined strategy.
Daily and Weekly Targets
  • Continue with the established targets, ensuring consistent daily review and adjustment based on performance.
Position Size
  • Gradually increase to 4 micro ES contracts if and when the total profit exceeds $1,500, aiming for $300 daily.
Risk Management
  • Implement a sliding scale for the daily loss limit based on profitability, ensuring not to exceed a $200 daily loss.

Week 7-8: Final Push and Challenge Completion

  • Solidify gains and cross the finish line of the challenge with profits exceeding the Profit mark.
Strategy Adjustment
  • Lean into the most successful strategies identified in the first 6 weeks, minimizing experimentation.
Risk Management
  • Keep a stringent focus on the set risk parameters, especially as the challenge's end approaches.

Phase 3: Funded Account and Consistent Payouts

Week 9-12: Transition to Funded Account

  • Adjust to the funded account's conditions, focusing on steady growth and consistent withdrawals.
Payout Goal
  • Establish a monthly withdrawal target based on a percentage of the profits, starting with aiming for a $3,000 payout.
Position Size
  • Begin with trading 4 micro ES contracts, gradually increasing to 5-6 as comfort and capital grow. 
Risk Management
  • Prioritize capital preservation with a stricter daily loss limit and a focus on the monthly profit target for withdrawals.

Beyond Week 12: Scaling for Growth

  • Incrementally increase the trading size to 10 micro ES contracts, focusing on sustainable growth and regular payouts.
Scaling Strategy
  • Increase the position size by one micro contract every month, subject to maintaining a consistent profit margin and adherence to risk management protocols.
Monthly Reviews
  • Conduct comprehensive reviews to assess strategy performance, risk management effectiveness, and emotional discipline. Adjust the plan based on these insights.
Long-Term Goal
  • Achieve and maintain a balance between aggressive growth and risk management to ensure consistent profitability and regular payouts.

Key Considerations:
  • Continuous Learning: Engage in regular review sessions to analyze performance, market conditions, and strategy effectiveness.
  • Risk Management: Employ a disciplined approach to managing risk, never risking more than 1-2% of the account on a single trade.
  • Emotional Discipline: Maintain a level head, focusing on long-term goals over short-term outcomes. Develop a routine that supports decision-making and stress management.
  • Adaptability: Be ready to adapt the trading strategy in response to changing market conditions, new insights, and evolving trading skills.