**1-Daily Loss Limit Calculation:**

Our daily loss limit is determined based on 5% of your starting balance for each trading day.

This starting balance is the account balance at the close of the daily candle on broker time, which is at 00:00 GMT+2.

*For example, if your account balance is $100,000, and your equity is $101,000 at the end of the daily candle, your maximum daily risk for the next day will be 5% of the starting balance, which is $100,000, resulting in a $5,000 maximum daily loss. This means your minimum equity must remain above $95,000.*

The open equity (including any floating gains or losses) from the previous trading day is not factored into the maximum daily loss calculation. This means that even if your balance is $100,000 and equity is $101,000, the minimum equity requirement remains at $95,000, allowing you to theoretically lose up to $6,000 during the day, taking into account the floating unrealized profit or loss.

**2-Adjustments for Open Trades:**

If your account balance is $100,000 and your equity is $99,000 at the close of the daily candle, the maximum daily risk for the following day remains at $5,000 (5% of the starting balance of $100,000). The minimum equity requirement remains $95,000.

However, if you have open trades with a floating loss of -$1,000 carried over from the previous day, the maximum daily loss of $5,000 will be reduced by $1,000, as the minimum equity requirement still remains at $95,000. This means you'll have $4,000 remaining in your maximum daily loss limit for that day.

****Important Note:****

- If your account's equity falls below the minimum equity limit of $95,000, all trades will be automatically closed by our system, leading to the closure of the account.