The Do’s
Profit Goal: Achieve the target profit set for your specific plan.
Minimum Trading Days: Trade for at least 5 days while working towards your target profit.
Strategy and Consistency: Focus on refining your trade strategy. Aim for consistency, which means showing good risk reward behavior and trading discipline. Reach your profit target without hitting the trailing threshold. The number of contracts you can trade is automatically limited based on your plan size. Overall, NexGen will focus on your performance statistics which will impact your risk limits in the live stage.
The Don’ts
Each account has a Maximum Loss Limit that is static. This means that it does not follow the account at all. Accounts will be failed if the account balance drops below the Maximum Loss Limit.
If your account is liquidated due to reaching the DSS, STOP TRADING FOR THE DAY. That specific account will no longer be able to place trades until the next trading day (6pm EST).
Overnight positions are not allowed. Please have all trades closed out by 4:15p EST. If a trade is left open, that account will be subject to closure.
What is a Daily Loss Limit?
Purpose: This is a safety measure that temporarily blocks trading on your plan until the next business day, allowing you to resume trading at the next futures market open (6 pm EST). Unlike other firms that may close your account after a daily stop, Nexgen’s approach is to give you another chance to trade.
Disclaimer Regarding Use of Daily Soft Stop in Fast Market Conditions
- Please be advised that while Nexgen Futures Trader provides a “Soft Stop” feature as a risk management tool, there is no guarantee that it will prevent additional slippage in fast-moving market conditions or low liquidity markets. The Soft Stop is designed for use under normal market conditions and may not function as intended during periods of high volatility or rapid market movements. Additionally, the feature serves as a mechanism for a cooling-off period, particularly useful when a trader experiences a series of unfavorable trades. It encourages taking a break, thereby providing an opportunity for traders to return the next day with a fresh perspective, helping to prevent them from making hasty decisions that could lead to significant losses.
- Nexgen Futures Trader expressly disclaims any responsibility for slippage that may occur, regardless of whether the Soft Stop feature was engaged. Traders should be aware of this limitation and manage their trading activities and risk exposure accordingly, understanding that they use the Soft Stop feature at their own risk.
