Prop Firm Drawdown Calculator

Enter your account size, your firm’s loss limits and your current equity to see how far you are from each limit. The calculator works for static and trailing maximum loss rules, and for daily limits measured from the starting balance or from the start of each day.

How to use the calculator

Enter the starting account size, for example 100000 for a $100K challenge.
Enter the maximum loss as a percentage and choose static or trailing. For a trailing limit, enter the highest balance the account has reached.
Tick the box if your firm stops the trailing limit once it reaches the starting balance. Many futures firms work this way.
Enter the daily loss limit, choose whether your firm measures it from the starting account size or from the balance at the start of the day, and enter that balance.
Enter your current equity, including any open trades.

The summary names the limit that is closer. That limit decides how much you can afford to risk on your next trade.

Static and trailing maximum loss

A static maximum loss sits at a fixed level below the starting balance. On a $100,000 account with a 10% limit, the account fails if equity falls below $90,000, however much profit it made first.

A trailing maximum loss follows the highest balance. On the same account with a $3,000 trailing limit (enter 3%), the floor starts at $97,000. If the balance rises to $102,000, the floor rises to $99,000, and a $3,000 fall from the peak ends the account. Some firms stop the trail once the floor reaches the starting balance, so it never goes above $100,000. Others only move the trail at the end of each day rather than during trades. Trailing vs static drawdown and end of day drawdown explained cover the detail.

Daily loss limits

A daily loss limit caps how much the account can lose in one trading day. Firms measure it in two main ways. Some take a percentage of the starting account size, so a 5% limit on a $100,000 account is always $5,000. Others take a percentage of the balance or equity at the start of the day, so the limit shrinks after losing days and grows after winning days. Firms also differ on when the day resets and whether open trades count, so check your firm’s rules page. Daily loss limit vs maximum drawdown explains how the two limits work together.

Worked example

A trader has a $100,000 two step challenge with a 10% static maximum loss and a 5% daily limit based on the starting balance. The account closed yesterday at $96,500 and equity is now $94,000.

Maximum loss floor: $90,000, which leaves $4,000 of room.
Daily floor: $96,500 less $5,000, which is $91,500, leaving $2,500 of room today.

The daily limit is the closer one. A trade that could lose more than $2,500 today would put the account at risk, even though the overall limit is still $4,000 away.

The calculator is a guide only. Your firm’s own dashboard and rules decide when an account is breached.

Frequently Asked Questions

What is the difference between drawdown and a daily loss limit?

Drawdown, or maximum loss, is the total amount the account can fall before it fails, measured over the whole life of the account. A daily loss limit caps losses within a single trading day and resets each day. Most challenges have both, and whichever limit is closer to your current equity is the one that restricts your next trade.

Does the calculator include open trades?

It uses the current equity you enter. Most firms measure their limits on equity, which includes the floating profit or loss of open trades, so enter your equity rather than your closed balance if you have positions open. If your firm measures on closed balance only, enter the balance instead and the results will follow that rule.

Why does my trailing limit stop moving?

Many firms, especially futures firms, stop the trailing limit once it reaches the starting balance or once it has trailed a set amount. After that point the floor stays fixed and profits above it become a buffer. Tick the box in the calculator if your firm works this way, and check its rules page for the exact point where the trail stops.

Will the result match my firm's dashboard?

It should be close if the inputs match your firm's rules, but the dashboard is what counts. Firms differ on reset times, on whether commissions and swaps are included and on how they treat equity during fast markets. Use the calculator to plan trades, and check the dashboard before you place them.