Prop Firm

Overall Drawdown Limit

Also known as Maximum Loss

An overall drawdown limit is the lowest account value allowed across the account period. The official floor may stay fixed or move under the program rules.

Page updated

First identify whether the official floor is static or moving. Then compare the measured value with the current floor. Click or tap to enlarge.
Handwritten four-step overall drawdown note comparing a static floor with a moving floor and showing a 4500 dollar buffer above a 90000 dollar floor

What is an overall drawdown limit?

An overall drawdown limit is the lowest account value allowed across the account period. A firm may call it maximum loss.

The first question is whether the official floor stays fixed or can move. Do not calculate the buffer until you know which model applies to your exact program and stage.

What do static, trailing and end-of-day trailing mean?

  • Static floor: it stays at the same level unless the current rules state another adjustment.
  • Trailing floor: it can move higher as the stated balance or equity reference rises.
  • End-of-day trailing floor: it updates at a daily checkpoint instead of moving with every price change.

The words alone are not enough. Check the reference value, update time, whether the floor can stop moving, and what happens after a reward or withdrawal.

A fictional $100,000 static-floor example

Imagine your program dashboard shows a static overall floor of $90,000. After an XAUUSD New York-session trade, the measured equity is $94,500.

$94,500 − $90,000 = $4,500 buffer above the floor.

The $4,500 is distance from the floor, not a recommended amount to risk. If the dashboard instead showed a current moving floor of $92,000, you would use that official current floor rather than the starting $90,000 example.

Three current rule examples

Checked 8 October 2026.

  • FTMO 2-Step: the checked page uses a static 10% Maximum Loss amount. Its $100,000 example has a $90,000 floor.
  • FTMO 1-Step: the checked page describes Maximum Loss as end-of-day trailing. The floor can rise after a profitable day and does not move lower after a loss.
  • FundedNext Stellar 2-Step: the checked example uses a fixed $90,000 floor for a $100,000 account.

These examples belong only to the named programs and checked date. The percentage, reference and breach action can differ in another program.

Daily and overall limits can both apply

A trader can remain above the overall floor and still cross the daily drawdown limit. Check both rules before and during the session. The firm's dashboard and current agreement decide the official result.

What should you do next?

Copy the current official overall floor from the dashboard. Write whether it is static, trailing or end-of-day trailing, what value is measured and when it updates. The drawdown calculator guide shows the same official-floor comparison, while drawdown explains the broader performance decline.

Sources checked

Rules and product details can change. These sources were checked for this revision.

How PropLogAI helps

AI-powered trading journal

You can keep trade details, notes and your own rule checks in PropLogAI. If you copy your firm’s overall floor into a note, include the firm, program and date you checked it. PropLogAI does not fetch or verify the official floor; use the firm’s current dashboard.

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