General Trading Rules
25 articlesAt Top One Trader, we enforce a minimum hold time rule on trades. This policy is designed to promote fair trading practices and ensure proper risk management across all trader accounts.
What is the Rule?
All profitable trades must be held for a minimum of at least 5 minutes before they are closed. This includes, closing manually, partially, achieving take profit, stop loss (if set in profit) etc. If the trade has been closed in under 5 minutes and it achieved a profit, it is in violation of this minimum hold time rule. The rule, also referred to as the 'Tick Scalping Rule,' requires that trades be held for five full minutes or longer to meet compliance. It’s recommended to allow a buffer time before closing trades to account for potential platform timer discrepancies.
Examples
- A trader opens a EURUSD buy at 10:00:00 and closes at 10:06:20 in profit.
- Duration: 6 minutes 20 seconds
- Result: Trade is valid, profit is retained.
- A trader opens a GBPJPY sell at 14:30:10 and closes at 14:33:55 in profit.
- Duration: 3 minutes 45 seconds
- Result: Trade is non-compliant, profit is deducted.
- A trader opens a NAS100 buy at 09:15:00 and closes at 09:21:10 in profit.
- Duration: 6 minutes 10 seconds
- Result: Trade is valid, profit is retained.
Consequences of Violations
- Accounts will be reviewed by the Risk Team.
- Depending on the severity of the violation, traders may be: Required to retake the challenge, or Allowed to proceed but issued an official warning.
- Profits from non-compliant trades will be deducted.
- Traders will receive a formal warning.
- Repeated violations after a warning may lead to account termination.
Important Reminder
To remain compliant, always ensure your profitable trades are held for at least 5 minutes. Violating this rule can result in lost profits or account penalties. To further ensure compliance, traders should regularly review trade durations on trading platforms like TradeLocker and document any timer discrepancies with supporting evidence, such as screenshots.
For any questions or assistance, feel free to contact our support team at support@toponetrader.com or via Live Chat
There are no lot size restrictions on any of the challenge accounts.
The maximum lot exposure is the total combined lot/position size allowed at any one time on the account.
Examples:
Why Do We Have This Rule?
This rule is in place to encourage and promote consistent trading behavior. By limiting lot exposure, we help minimize risky, toxic, and "YOLO" trading strategies. Our mission is to support traders in becoming long-term, consistent, and professional in their trading approach.
Slippage is known to occur when the execution of a trade or stop order doesn't happen at the expected price. In simpler terms, you might have aimed for a specific entry or exit point, but due to market volatility caused by rapid price changes, the execution took place at a different point. This is a well experienced phenomena every trader gets to encounter in their trading journey.
When Does Slippage Happen?
- News Releases: Slippages are prevalent during major economic announcements or news release. In the Forex industry, the release of breaking news causes a rush of activities in the market, which in turn leads to price gaps, causing orders or trades to be executed at different levels than anticipated.
- Low Liquidity Periods: Periods of low liquidity, like holidays or certain market sessions, are characterised by fewer buyers and sellers. This scarcity in participants can result in slippage as there are low volumes of transactions in the market.
- High-Volatility Markets: In moments of high-volatility in the markets, prices are bound to change rapidly. This can lead to slippage as orders might be executed at prices that are available, which could be different from your intended level.
Our Stance on Slippage:
At Top One Trader, we believe in transparency and it's important to note that while we strive to provide the best trading environment, slippage is an inherent part of trading that is influenced by market conditions beyond our control.
*Please note Top One Trader does not have any control over the broker in regards to slippage.
You can calculate the maximum allowed lot size using the formula based on your account size and leverage on a certain pair:
Formula:
Where:
- Account Balance
- Your trading account balance.
- Leverage
- The specific ratio for the asset class.
- Instrument Price
- The price of the instruments/pair.
- Contract Size
- The value of one lot (e.g., $100,000 for FX).
| Instrument | Contract Size |
|---|---|
| Forex Pairs | 100,000 |
| Metals | 100 |
| Indices | 10 |
| Crypto | 1 |
| Item | Value |
|---|---|
| Account Balance | $10,000 |
| Leverage | 10:1 |
| Instrument Price | 1.14763 (Using the price of EURUSD) |
| Contract Size | 100,000 |
You can trade a maximum of 0.87 lot on EURUSD.
| Item | Value |
|---|---|
| Account Balance | $10,000 |
| Leverage | 10:1 |
| Instrument Price | 3,366 (Using the price of XAUUSD) |
| Contract Size | 100 |
You can trade a maximum of 0.29 lot on XAUUSD.
Why Are These Leverage Ratios Important?
- Risk Management: Helps you understand your maximum exposure when opening a position.
- Position Control: Allows you to determine the appropriate lot size based on the instrument and account size.
- Consistency: Helps you maintain consistent position sizing across different instruments.
By understanding contract sizes and how to calculate your maximum tradable lot size, you can better manage your exposure and maintain disciplined trading practices.
For any questions or assistance, feel free to contact our support team at support@toponetrader.com
Top One Trader Prohibited Trading Strategies & Platform Integrity
At Top One Trader, we are committed to protecting the sustainability of our company and safeguarding the best interests of our trading community. Any form of cheating or exploitation of our platform will result in an account breach and forfeiture of any gains.
Any violations of these rules during the Challenge Phase might result in either a retake challenge being issued or a full breach of the account, depending on the severity of the violation. Note: This does not apply to News Trading violations during the Challenge Phase, as News Trading rules apply only to the Funded Phase.
We utilize sophisticated fraud detection technology, in partnership with other leading prop firms, to ensure the integrity of our platform.
Please note that these strategies are prohibited across all Top One Trader plans.
Prohibited Strategies
1. High Frequency Trading (HFT) or Tick Scalping
- HFT involves using algorithms to execute an excessive number of trades in seconds, exploiting market inefficiencies. Tick Scalping involves holding positions for seconds to 5 minutes. Both strategies are prohibited and any gains made from such trades might be deducted.
2. Latency Trading / Latency Arbitrage / Arbitrage Trading
- Executing trades based on delayed market data or exploiting execution delays to secure profits is considered market manipulation and is strictly prohibited.
3. Copy Trading / Group Trading
- You may engage in copy trading only between NOVA Funded Accounts you own, or from your own NOVA Funded Account to accounts you own at other brokers. Copy trading on challenge accounts, between any other funded account types, and copy trading between multiple accounts not owned by the same individual (including friends or family) is strictly prohibited.
- Following trade signals or recommendations where multiple traders execute similar trades at similar times is also banned. If multiple traders take the exact same trade within a set time, it will flag in our system. Top One Trader uses an automated system to detect identical or near-identical trades across different accounts. If a flag is triggered, your account will be reviewed. Depending on the severity of the violation, your account may be reset or closed.
- Copy Trading is strictly prohibited on Simulated Funded Accounts, unless both accounts are NOVA Funded Accounts. Whether the trades are placed manually or automatically, copying is not allowed. This means you cannot copy trades from any other account into your Funded Account, regardless of whether the other account belongs to you or to someone else. The only exception is copying between your own NOVA Funded Accounts. If you want to trade the same pair on multiple accounts, you must wait at least 30 minutes between entries for it not to be considered copy trading. Only copying between your own NOVA Funded Accounts is exempt.
4. Hedging or Group Hedging Across Multiple Accounts
- Hedging using multiple accounts, whether within Top One Trader or across other platforms, is prohibited. This does not reflect proper trading strategy, and our risk software detects hedging patterns across various firms.
- Hedging within one account is allowed.
5. News Trading on Funded Accounts
- After passing your challenge, funded traders cannot execute new trades or close trades within 5 minutes before and after a high-impact news even. Exception: If a trade was opened at least 5 hours before the news event, its Stop Loss or Take Profit can still be triggered within the restricted window without violating the rule. Any manual closing of trades within the restricted window will be considered a violation of the rule. More Info
6. Grid Trading
- Grid trading, which involves placing buy and sell orders on the same instrument with similar risk parameters, is prohibited due to its potential for market instability and over-leveraging.
7. Martingale Strategy
- The Martingale strategy involves increasing trade size after losses, aiming to cover losses with a future win. This strategy is extremely high risk and is strictly prohibited.
8. 3rd Party Trading or "Pass Your Challenge" Programs
- Allowing any third party (including services or companies) to trade on your behalf or using "pass your challenge" services is prohibited.
9. Masking of Expert Advisors (EAs)
- You may use EAs to optimize your strategies, but each trader must ensure that their EA parameters are unique. Masking or concealing EAs is prohibited. Commercially available automated EAs or AI programs with pre-programmed trading algorithms are also banned.
10. Gambling, Over-Leveraging, YOLO Trading
- We have a strict anti-gambling policy. Excessive risk-taking behavior, such as violating the Max Open Lots Rule on funded accounts or over-leveraging trades (especially around news events), is prohibited. Such behavior may result in the deduction of profits or account termination.
11. IP Address Restrictions
- Using multiple IP addresses or the same IP address across accounts not owned by you is a violation. We recommend using a single device with a unique IP address. If traveling or moving to another country, please inform us, and we may request valid documents for verification.
12. Rolling/Churning of Accounts
- Repeatedly purchasing, resetting, cycling, or abandoning accounts in a manner that compromises the fairness, integrity, or intended purpose of the platform is strictly prohibited.
- Any activity identified as attempting to gain an unfair advantage through misuse of account systems, operational processes, or platform mechanics may result in payout denial, account termination, or permanent restriction from the platform.
Special Note for MetaTrader 5 Users:
- MetaTrader 5 is currently not available for traders in the United States, Canada, U.S. Outlying Territories, or Puerto Rico
In Summary
Top One Trader prioritizes the safety, sustainability, and integrity of our platform, ensuring a secure and fair trading environment for everyone. Honest traders have nothing to worry about, but those attempting to exploit our rules will be detected and globally blacklisted, potentially making it difficult to work with other prop firms or brokers.
For any questions or assistance, feel free to contact our support team at support@toponetrader.com or via live chat
EquityShield: Your Automatic Risk Management Tool
After analyzing thousands of trader accounts, we found that the #1 reason for hard breaches in both challenge and funded accounts is exceeding the Maximum Daily Drawdown. In fact, hitting the daily drawdown limit accounts for over 65% of all hard breaches.
Our data also shows that consistently profitable traders are those who cut their losing trades quickly and let their winning trades run. This is why EquityShield exists—it promotes better risk management, leading to more consistent profits.
How EquityShield Works
EquityShield monitors your account equity in real-time and protects your account in two ways:
1. EquityShield for Individual Symbol:
EquityShield sets a maximum allowable risk on One Symbol, ensuring that if the floating drawdown from one or multiple positions on the same symbol exceeds this limit and reaches 2% loss of the Starting Balance, all open trades for that symbol will, in most cases*, be automatically closed. This helps limit losses and protect your account. Since this is considered a soft breach, you can resume trading immediately.
If your Starting Balance is $100,000 and you have four(4) open trades on XAUUSD, EquityShield will automatically close all of them once your floating loss reaches $2,000 (2% of $100,000), reducing your equity to $98,000.
2. EquityShield for Combined P&L:
If your combined floating drawdown across all symbols exceeds 2.5% of the Starting Balance, EquityShield will, in most cases*, automatically close all open trades across all symbols. Like with individual symbols, this is a soft breach, and you can continue trading immediately after.
If your Starting Balance is $100,000 with 2 open trades on AUDUSD and 1 open trade on EURUSD. If your equity drops to $97,500 (2.5% of $100,000), EquityShield will automatically close all three trades.
Why EquityShield Matters
EquityShield helps prevent traders from blowing their challenge or funded accounts. By preserving capital, it fosters consistent profits through increased risk management discipline.
Important Note:
- There may be rare occasions where EquityShield does not automatically trigger due to market conditions such as low liquidity or high volatility. While EquityShield is designed to protect your account, it is not a guaranteed failsafe. We always recommend implementing your own risk management strategies to close trades before EquityShield is activated.
- Our Top One Trader Risk team might decide to adjust your Equity Shield levels as a result of their risk review.
The Stop Loss requirement is a crucial security measure designed to maintain the integrity of the system and help traders stay disciplined with risk management.
- You must have an active Stop Loss in place at all times when entering a trade.
- If you enter a trade without a Stop Loss, your trade will be closed automatically in a soft breach.
- Stop Loss placement must be immediate—you cannot add it after entering the trade
How to enter your trades as a market execution with a set stop loss:
MatchTrader:
Click the Advance Order
After clicking Advance Order, you have the option "Market" or "Pending", then toggle "STOP LOSS" to SET/PLACE the level
TradeLocker: Make sure the button says market and then hit 'SL' you can now drag your SL line
MetaTrader 5: Click 'New Order' and then SET/PLACE your stop loss
You are allowed to modify your Stop Loss after the initial placement.
For those who prefer more flexibility, We offer a No Stop Loss add-on available for purchase, which allows you to bypass this requirement.
A soft breach is a minor violation. When this happens, we'll close out the trade(s) that broke the rule, but you can step back in and keep trading, whether it's your challenge account or simulted funded account. There is no limit on the allowed soft breaches for 1-step-flash and or 2-step-pro accounts.
Instant Funding accounts have a soft breach limit of 10 soft breaches before it turns into a hard-breach.
This is more serious. If this happens during a challenge, or in your funded stage, your account will be closed and any gains forfeited. Breaching these levels means immediate and irreversible deactivation of the account, regardless of the breach size. Any ongoing trades may be force-closed as part of the enforcement process. Account reopening after such breaches is not possible.
Soft Breach Violations:
- Opening a trade without a stop-loss
- Allowing more than a 2% loss per symbol on open trades or a 2.5% loss on all open trades. Should this happen, EquityShield will protect your account by automatically closing trades in most cases
- Funded Accounts have a max lot size rule based on the account size, therefore if the total lots placed exceed the max lots, all open trades will be closed (see Max Lot sizes).
Hard Breach Violations:
- Hitting the daily max drawdown or the total drawdown
- Not placing a trade at least once every 30 days
- Using any of our prohibited trading strategies
Maximum Loss Limit
Traders have a Maximum Loss Limit on their account. This threshold is set as a percentage of your initial account size. Your account equity, including both closed and open trades, must not drop below the Maximum Loss Limit at any time during the account’s duration. This calculation includes commissions and swaps.
In a 2-Step "Pro" Account, the drawdown is static with a Max Total Loss of 9% of your initial balance.
- For a $100,000 account, you would breach the account if your equity falls below $91,000, regardless of how much your account grows.
Note: The 10% Max Loss Limit only applies to accounts that were purchased before November 5, 2025
For 1-Step "Flash" Accounts, the Maximum Trailing Drawdown moves with your profits until it locks in at your starting balance once you achieve a 7% gain.
- If you start with $100,000, your trailing drawdown is initially set at 7%, meaning your account would breach if equity drops below $93,000.
- As your account grows, for example, to $105,000, your drawdown moves up to $98,000.
- Once your account reaches $107,000, the drawdown locks in at $100,000. From that point, no matter how much your account grows (even to $170,000), the drawdown remains at $100,000, and you'd only breach the account if your equity falls below that threshold.
After purchasing your account, you will receive your account credentials via email.
Please note that you must place at least one trade within 30 days. Failure to do so will result in a breach of your account due to our 30-day inactivity rule.
To avoid this, simply ensure that you place at least one trade every 30 days to keep your account active and in good standing.
The 30 days will start counting from the date where you purchased the account (not from your first trade date).
Match Trader
For checking of spreads, you can easily check the spreads on Match Trader:
To access the platform :
- Match Trader Platform Link
- https://trade.toponetrader.com/login
- spreadtest@topone.com
- Password
- qyta5w7sw3rg
TradeLocker
To view the spreads for TradeLocker, follow these steps:
- Login to TradeLocker
- Click Here to access the platform.
- spreadtest@topone.com
- Password
- F5sa,AVFw7m]
- Server
- TOPONE
Be sure to log in to the DEMO side of the platform.
MetaTrader 5
To view the spreads for MetaTrader 5, follow these steps:
Credentials of Spread Account :
- Login
- 98891570
- Investor Password
- ja8GJ$is^K
- Server
- TopOneTrader-MT5
- Open Platform 5.
- Navigate to File > Open an Account (Check here where to locate : https://prnt.sc/L-XWUhnPK2in)
- Search for Top One Trader Ltd as broker and Select TopOneTrader-MT5 as server.
- Click Next.
- Select Connect with an existing trade account.
- Enter Login, Password, and Server from the credentials.
- Click Finish.
To see which account sizes are available on each platform, you can check them here
FX, Metals, Indices & Crypto
| FX, Metals, Indices & Crypto | |
|---|---|
| Match Trader | $2.50 per lot per side |
| Trade Locker | $2.50 per lot per side |
| MetaTrader 5 | $2.50 per lot per side |
As you move from the Challenge Phase to the Simulated Funded Phase with TopOneTrader, several key changes are implemented to help you manage risk effectively and maintain the standards required for consistent, responsible trading. Below are the significant changes:
1. Maximum Lot Size Restriction
In the Simulated Funded Phase, there is a maximum lot size restriction, which is not present during the challenge phase. This rule helps prevent traders from taking excessively large positions, reducing potential risks. Lot size restrictions vary depending on your account balance. For more details, refer to the TopOneTrader help article on lot size restrictions.
2. News Trading Restrictions
In the Simulated Funded Phase, traders face restrictions on trading during significant news events. News events can lead to high market volatility and unpredictable price movements. These restrictions are designed to protect both your account and the firm's capital. You can review these guidelines in the TopOneTrader help article on news trading.
3. Changes in Leverage Levels
Leverage levels also adjust slightly when you transition to the Simulated Funded Phase. These adjustments align with TopOneTrader's risk management protocols, ensuring responsible trading. For detailed information, refer to the TopOneTrader help article on leverage changes.
4. Change in Consistency Rule
In the Challenge Phase, no single day’s profit can exceed 50% of your total profit to pass.
However, once you successfully transition to the Simulated Funded Phase, the consistency rule shifts to a 30% limit.
When transitioning from the Challenge Phase to the Simulated Funded Phase, the Consistency Rule adjusts from 50% to 30%. This means that in the Simulated Funded Phase, no day’s profit can exceed 30% of your total accumulated profits to qualify for payouts. This adjustment ensures that traders maintain consistent performance in live trading, promoting long-term success and reliability.
These rules apply specifically to the legacy 2 Step Pro account (old version). 2-Step Pro V2 accounts have no consistency rule.
5. Can I use an Expert Advisor, API or HFT?
You are welcome to use Expert Advisors (EAs) on 1-Step and 2-Step accounts during CHALLENGES (Using an EA / Trading bot on Simulated Funded Accounts is not allowed) to enhance and optimize your trading strategies. However, it is crucial for each trader to ensure that their EA settings and trading parameters are tailored to their individual trading style and account.
While it's permissible for traders to use the same EA or indicator as others, each trader must customize their settings to differentiate their trades. The use of hidden EAs or tools designed to conceal the use of an EA is strictly prohibited.
Additionally, commercially available EAs with automated trading algorithms are not allowed under any circumstances.
To maintain fairness and ensure the long-term sustainability of the firm and its traders, all external API usage has been disabled. This includes any third-party tools, applications, or services that connect to trading accounts via API, regardless of whether the access is read-only or execution-based.
As a result, analytics platforms, journaling tools, automation software, trade copiers, and similar services that require API access are not permitted.
This policy applies equally to all traders, with no exceptions, to ensure fairness for all traders.
Why These Changes?
These changes are designed to ensure that traders in the Simulated Funded Phase adhere to a higher standard of risk management, promoting long-term success and sustainability.
Understanding and adapting to these modifications will help you navigate the funded phase with confidence.
For any questions or assistance, feel free to contact our support team at support@toponetrader.com
Top One Trader IP Address Monitoring and Security Policy
At Top One Trader safeguarding the integrity of our trading platform is a top priority. To maintain a secure and fair environment for all traders, we actively monitor IP address activity across all accounts. The following actions are considered violations of our security protocols:
- Multiple IP Addresses on the Same Account: Using different IP addresses to access a single account may raise flags and be considered a violation.
- Multiple Accounts from Similar IP Addresses: Trading from multiple accounts originating from the same or closely related IP addresses is not allowed.
- Copying Trades Across Different Accounts: Identical trades placed across multiple accounts under different ownership will be flagged.
- Hedging Across Multiple Accounts: Any form of hedging across multiple accounts, including accounts from other prop firms or brokers, is strictly prohibited.
Recommendations for Secure Trading:
We highly recommend that traders use a single device with a unique IP address for their trading activities to avoid any security concerns. For professional traders, utilizing a Virtual Private Server (VPS) with a static IP address can provide additional security and faster execution times. While we understand that you may trade from different devices (such as mobile or desktop) or while traveling, this may result in multiple IP addresses being associated with your account. This is generally acceptable, but in cases where you travel or relocate to another country, we may request additional verification documents for security purposes.
Clarification on VPS and VPN Usage:
At Top One Trader, we permit the use of Virtual Private Servers (VPS) with static IP addresses for trading purposes. VPS usage is often preferred by professional traders as it provides stability and faster execution times. If you choose to use a VPS, please ensure it has a static IP address and notify us in advance to avoid any issues.
The use of Virtual Private Networks (VPNs) is strictly prohibited. VPNs allow users to switch locations, which can lead to false positives in our location-based security checks, resulting in potential account breaches. For this reason, using a VPN may trigger location violations and lead to account suspension or breaches. To avoid any issues, always use a stable and consistent IP address, such as through a VPS, and notify us of any planned changes in your trading environment, particularly if you are traveling or using a new VPS.
Violations:
Any serious violations of this IP policy will result in a breach of your account and forfeiture of any profits. We are committed to ensuring a safe and secure trading environment and use sophisticated fraud detection technology to monitor activity. We also maintain a global IP blacklist of fraudulent users and take action against anyone using third-party services like "pass your challenge" or account management companies. Violators will be blacklisted and may face legal action.
Overview of KYC Verification
Before issuing any Simulated Funded Accounts for Top One Trader, or for receiving our Brand Ambassador payouts, successfully completing KYC is necessary.
We require that you verify your ID and pass our KYC screening in the Settings section of your trader dashboard.
Steps to Complete KYC Verification
Upon successfully completing the evaluation phase of any of our Top One Trader programs, or requesting a Brand Ambassador payout, you may begin the verification process by heading to the "Settings" tab located in your trader dashboard, then Verification.
Submitting Your KYC Through Veriff
Once you have navigated to the Settings section of your Trader Dashboard, the Veriff verification process will guide you through submitting the following documents:
- A valid government-issued photo ID (must not be expired). Accepted documents include a Driver's License, Passport, or National ID Card.
- A selfie to verify your identity.
Once the verification step is completed, if you are eligible for a Simulated Funded Account, you will need to sign your trader agreement or affiliate contract.
Signing Your Trader Agreement
After you have successfully completed the KYC check through the steps above, you will need to complete the last step of the process which is signing your contract.
Please note that you will not see a contract available to sign until you have successfully completed your KYC verification and your passed challenge account has undergone the risk assessment which can take up to 5 business days to complete. Once the risk team has reviewed your account, they will add the contract to your dashboard.
To locate your contract, you can navigate to the "Contracts" tab in your trader dashboard. From the Contracts tab, you will see the trader agreement to sign.
For Traders
Once you have signed the trader agreement, you're all set! This will notify our team that your account is ready to be enabled.
After our risk team manually reviews your account, you will be notified via email with your new account credentials.
For Brand Ambassador Affiliates
For questions regarding Affiliate Payouts, please refer to this article.
First off, congratulations on reaching this exciting milestone! To activate your funded stage account, please follow the steps outlined below:
- 1. Complete Your KYC. Once you pass the challenge, you'll receive an email with instructions to complete your KYC (Know Your Customer) verification.We recommend completing these steps promptly, as the faster you submit them, the sooner we can move forward.
- 2. Risk Assessment. After successfully passing the challenge, your account will go through a thorough risk assessment conducted by our risk team.Typically, this process takes 1–2 business days. However, if we experience a high volume of passed challenges, it may take up to 5 business days.
Upon completing the assessment, you'll receive an email with all the details, including your account credentials, certificate, contract, and instructions on how to access your funded stage account.
Good luck on your funded stage and we can't wait for your first payout request!
For more information regarding your payouts, press the button below.
We have risk management software that is synced with all accounts. This allows us to analyze the accounts in real time for achievements or rule violations. As such, you must use an account that we provide to you.
Think of it like playing a video game at an arcade. You have to use their machines to play because they're specially set up for it. Similarly, we have our accounts equipped with special software to track your progress and ensure all rules are followed. So, you'll need to use the account we give you to join in on the fun and safety we offer.
✅ Allowed Copy Trading Methods
- NOVA Funded Accounts: You may copy trades between NOVA Funded Accounts owned by you. This is the only account-to-account copying allowed (see Copy Trading Rules - NOVA Accounts).
🚫 Prohibited Copy Trading Methods
- Challenge Accounts: Copy trading is not allowed on challenge accounts, on any platform.
- Funded Accounts: Copy trading between funded accounts is not allowed across any platform unless both accounts are NOVA Funded Accounts.
- Instant Funded Accounts: Copy trading is strictly prohibited in any form.
- Copy Trading Between Different Users: You may only copy trades between accounts that you personally own. Copying trades between accounts owned by different users is not permitted.
- If you own multiple Top One Trader FUNDED accounts (e.g., 1-step and 2-step), you must not place identical trades within 30 minutes of each other across those accounts. To avoid being flagged for copy trading, make sure there's a minimum 30-minute gap between identical trades on different funded accounts you own. This applies to every cross-type combination, for example NOVA to Instant Funding or NOVA to 2-Step Pro; only copying between your own NOVA Funded Accounts is exempt.
Can I Use Expert Advisors (EAs) for Copy Trading?
- EAs are allowed, but they must be customized to fit your individual trading style and account (Note: EAs are allowed only on Challenge Accounts on TradeLocker but not allowed on Funded Accounts).
- Using an EA to mirror identical trades across multiple accounts is considered a violation.
- Commercially available EAs with automated trading algorithms are strictly prohibited.
What Happens If I Violate the Copy Trading Rules?
Top One Trader has an automated flagging system to detect identical or near-identical trades across accounts. If flagged:
- Your account will be reviewed.
- If a violation is confirmed, your account may be reset or closed, depending on the severity of the issue.
Can I Use Third-Party Copy Trading or Account Management Services?
No. The use of third-party services such as:
- "Pass your challenge" programs
- (Automated) trade signal services
- Managed trading accounts
… is strictly forbidden. All traders must trade independently with their own unique strategies.
You’re free to hold onto your positions over the weekend on 1-step-flash, NOVA and 2-step-pro V2 accounts, no add-on required (For Instant Funding and Instant Prime Funding You're required to have the Weekend Holding add-on)
Make sure you understand the potential risks of holding your trades!
Holding trades over the weekend comes with several risks due to the markets being closed for a period, leading to potential gaps when they reopen. Here are the key risks:
What are the risks of holding trades over the weekend?
- Price Gaps
- The market can open at a significantly different price from where it closed on Friday, leading to larger gains or losses.
- Slippage
- This occurs when an order is executed at a different price than expected, usually because of market gaps. It can affect both stop-loss and take-profit orders.
- News Events
- Important news or geopolitical events over the weekend can cause sudden market movements when the market reopens.
- Market Sentiment Changes
- Changes in market sentiment can happen due to economic developments or political events that can drastically affect prices.
- Swap fees
- Also known as rollover fees, are charges that traders incur for holding positions overnight. These fees are a result of the interest rate differential between the two currencies in a forex pair.
What should I consider before holding trades over the weekend?
- Risk Tolerance
- Understand your risk tolerance for potential gaps and slippage.
- Market Analysis
- Evaluate the likelihood of significant news or events that could impact the market.
- Position Size
- Consider reducing your position size to limit exposure.
- Stop-Loss Orders
- Ensure stop-loss orders are placed correctly to manage risk, though be aware they may not execute at the exact price if there’s a gap.
Should I hold trades over the weekend?
The decision to hold trades over the weekend depends on your trading strategy, risk tolerance, and market conditions. If you anticipate significant market movements based on your analysis and are comfortable with the associated risks, you might choose to hold. Otherwise, it might be safer to close positions to avoid unpredictable gaps and slippage.
You’re free to hold onto your positions overnight! Make sure you understand the potential risks of holding your trades!
Holding trades overnight comes with several risks due to the markets being closed for a period, leading to potential gaps when they reopen. Here are the key risks:
What are the risks of holding trades overnight?
- Price Gaps
- The market can open at a significantly different price from where it closed, leading to larger gains or losses.
- Slippage
- This occurs when an order is executed at a different price than expected, usually because of market gaps. It can affect both stop-loss and take-profit orders.
- Swap fees
- Also known as rollover fees, are charges that traders incur for holding positions overnight. These fees are a result of the interest rate differential between the two currencies in a forex pair.
What should I consider before holding trades overnight?
- Risk Tolerance
- Understand your risk tolerance for potential gaps and slippage.
- Position Size
- Consider reducing your position size to limit exposure.
- Stop-Loss Orders
- Ensure stop-loss orders are placed correctly to manage risk, though be aware they may not execute at the exact price if there’s a gap/slippage.
Should I hold trades overnight?
The decision to hold trades overnight depends on your trading strategy, risk tolerance, and market conditions. If you anticipate significant market movements based on your analysis and are comfortable with the associated risks, you might choose to hold. Otherwise, it might be safer to close positions to avoid unpredictable gaps and slippage.
In the event of slippage leading to a greater loss, Top One trader cannot be held accountable for any significant losses resulting from it.
To help traders better navigate our evaluation and funded programs, this article explains the key differences between the Consistency Requirement and the Equity Stability Score (ESS). Although both promote disciplined trading, they measure performance in different ways and apply to different account types.
What Is the Consistency Requirement?
The Consistency Requirement ensures that profits are earned in a stable and controlled manner over several trading days.
It limits how much of your total profit can come from your best trading day.
- Consistency score is based only on your highest profitable day and your overall profits
- This requirement applies to 2-step and Instant Funded Accounts.
- After each payout, the Consistency calculation resets for the next payout cycle.
The 2-step consistency requirement applies to the legacy 2 Step Pro account (old version); 2-Step Pro V2 accounts have no consistency rule.
Consistency Calculation Formula:
To encourage steady growth rather than relying on one or two outsized winning days.
2-Step Consistency Requirement Instant Funded Consistency Requirement
What Is the Equity Stability Score (ESS)?
The Equity Stability Score (ESS) measures the overall stability of your trading performance by analyzing both risk and profitability.
ESS is based on:
- Your largest winning day,
- Your largest losing day, and
- Your total profit.
To qualify for payout, your ESS must be 20% or lower (for applicable account types such as Instant Prime Accounts).
ESS Formula
Where:
- Largest Winning Day
- your single biggest profitable day
- Largest Losing Day
- your single biggest losing day (counted as a positive number)
- Total Profit
- your overall net profit
To promote balanced, risk-aware trading that avoids large swings in equity, both positive and negative.
Understanding the 20% Equity Stability Score (ESS)
Summary
Consistency focuses on how evenly your profits are distributed over time.
ESS focuses on the overall stability of your trading by considering both wins and losses.
Both help ensure that payouts are achieved through disciplined, sustainable trading practices.
What are Forex swap fees?
A Forex swap refers to a financial transaction in which a fee is either credited or debited to an open trade for holding a position in the market overnight. This fee, known as a swap, is incurred when a position is rolled over to the next trading day. It continues to accrue until the trade is closed.
The close of the trading day is defined as the end of business hours in New York, or 22:00 GMT (London time). Any trades carried over during this time to the next trading day may result in a swap fee.
How does swap work in Forex
In Forex trading, swaps are determined by interest rates, which are set by the respective central bank for the currency in question. These rates are subject to change depending on the central bank's fiscal policies and the prevailing economic conditions.
For instance, when central banks raise interest rates, it leads to higher borrowing costs and encourages savings or deposits. This typically occurs in inflationary environments or when economies are overheating. On the other hand, to stimulate growth, central banks may lower interest rates, making borrowing more affordable and providing incentives for spending and consumption. Low interest rates also prompt investors to seek higher yielding assets, resulting in a shift of assets and investments.
In essence, Forex swap fees represent the interest paid for "borrowing" a currency compared to the interest received for "investing" in another currency. The difference in interest rates between assets or currencies determines whether a swap fee is paid or received.
How do swaps impact trades?
As a trader, it is important to note that Forex swap fees are an additional cost, in addition to spreads and commissions. While the latter are one-time costs incurred when opening a trade, swaps are ongoing costs for the duration of the trade.
All trading costs, including swaps, can be expressed in terms of pips and points. Therefore, it is crucial to consider swaps when making trading decisions, also keep in mind swap rates are not always static, they can differ from day to day.
If a position is held overnight on a Wednesday (to Thursday), the normal swap rate is tripled.
For cryptocurrencies, spreads tend to be higher compared to traditional currency pairs. This is primarily due to the higher volatility and lower liquidity found in the cryptocurrency markets compared to the Forex market.
The Forex market is one of the largest and most liquid markets in the world, which helps keep spreads relatively low. In contrast, the cryptocurrency market, while large and growing, does not yet match the Forex market in terms of liquidity and trading volume. This increased risk and lower liquidity mean that brokers have to offer wider spreads to mitigate their risk.
Moreover, the infrastructure and market depth for trading traditional currencies are more established, leading to tighter spreads. For cryptocurrencies, although the market has matured significantly over the past few years, it still faces issues such as fragmented liquidity pools and varying degrees of regulation, which can contribute to wider spreads.
Understanding Why Spreads Widen at Certain Times
Forex trading is a dynamic endeavor with several intricacies, one of which is the fluctuation of spreads. A spread, the difference between the bid and the ask price, is a fundamental cost incurred by traders. While spreads can be relatively stable, there are instances when they widen significantly. Understanding these fluctuations is crucial for traders, as they directly affect trade costs and profitability. Let's delve into why spreads can increase during specific periods.
Market Liquidity
One of the primary factors influencing spread size is market liquidity. Liquidity refers to the ease with which an asset can be bought or sold in the market without affecting its price. High liquidity levels typically result in tighter spreads because there are more buyers and sellers, making it easier to execute trades close to the market price. Conversely, when liquidity is low, spreads tend to widen as the gap between what buyers are willing to pay and sellers are asking increases.
Market Volatility
Market volatility is another significant determinant of spread behavior. During times of high volatility, price movements are erratic and unpredictable. Such uncertainty increases the risk for liquidity providers (often banks or other financial institutions), who compensate by widening spreads. High volatility is common during major economic announcements, geopolitical events, or financial crises.
Trading Hours
The forex market operates 24 hours a day during weekdays, but not all trading hours are equal. The opening hours of major financial centers like London, New York, and Tokyo bring increased trading activity and liquidity, generally leading to narrower spreads. However, during the overlap between trading sessions or at the close of a trading day, liquidity can drop, causing spreads to widen.
Economic Releases and News Events
Economic announcements and news events have a profound impact on currency valuations. Traders anticipate these releases and often adjust their positions accordingly. In the moments before and immediately after significant news, liquidity providers may widen spreads in anticipation of heightened volatility and to protect themselves against rapid price movements.
Understanding the Dynamics
For forex traders, awareness of the factors influencing spread dynamics is vital. Trading strategies can be adapted to account for expected spread widening during low liquidity periods, volatile markets, or around major news events. Some traders prefer to avoid these times altogether, while others may seek to capitalize on the increased market movements, despite the higher trading costs.
Conclusion
Spreads are an integral aspect of forex trading, and their fluctuations can significantly impact trading outcomes. By understanding the conditions under which spreads can widen, traders can make informed decisions, manage risks more effectively, and enhance their trading performance. Keeping an eye on market liquidity, volatility, trading hours, and economic calendars is essential for navigating the forex market successfully.
Join the Top One Trader Team
At Top One Trader, we’re not your typical team. The traditional 9-5 mentality doesn’t fit within our fast-paced environment. We push each other relentlessly, always striving to bring out the best in everyone.
We’re always on the lookout for detail-oriented individuals who embrace total accountability and have a NO excuse mentality. If you’re a self-starter, capable of solving problems independently (a master of FITFO—Figuring It the "F" Out), have exceptional verbal and writing skills, and are eager to learn and grow, then you might be exactly who we're looking for!
Although we are not hiring directly at the moment, we encourage you to apply in case we need to expand our team in the future.