MyFundedFX Challenge Explained

What are the rules of MyFundedFX challenge programs? This expert guide will not only explain the rules but also help you with guidance on how to pass those challenges:

MyFundedFX Challenge: Rules and Requirements 

MyFundedFX provides its traders with a selection of three distinct programs to select from:

• One-step evaluation challenge accounts
• Normal two-step evaluation challenge accounts
• Pro-two-step evaluation challenge accounts

One-step MyFundedFX challenge accounts

MyFundedFX offers a one-step evaluation challenge account designed to find traders who demonstrate consistent and disciplined trading. These traders are awarded based on their ability to maintain consistency within a single evaluation period. The one-step evaluation challenge account enables one to engage in trading with a leverage ratio of 1:100.

Account Size	Price
$5,000	$50
$10,000	$100
$25,000	$200
$50,000	$300
$100,000	$500
$200,000	$950
$300,000	$1,399

The one-step assessment challenge account requires traders to attain a 10% profit objective while ensuring that they do not surpass the maximum daily loss limit of 4% and the maximum trailing loss limit of 6%. This account allows traders to have unlimited trading time and does not impose any minimum trading day limitations. 

After successfully finishing the program, participants receive a funded account that does not require them to meet any profit goals. Instead, they must strictly follow the criteria of not exceeding a 4% maximum daily loss and a 6% maximum trailing loss. 

The initial profit split is 80%, determined by the earnings made 14 calendar days after the first position is placed in the funded account. After that, payouts will occur every two weeks.

One-step MyFundedFX challenge account scaling plan

One-step evaluation challenge accounts also incorporate a scaling plan. People must achieve profitability within a three-month timeframe by maintaining an average return of at least 12% throughout that period. They will be granted a 25% increment to their current account amount, capped at a maximum balance of $1,500,000.

FOR INSTANCE:

After 3 months, assuming people possess a $200,000 account, their account balance will experience an increment to $250,000.

In the following three months, the balance of $250,000 will rise to $300,000.

In the following three months, the balance of $300,000 will rise to $350,000.

The trading instruments available for the one-step evaluation challenge accounts include currency pairings, commodities, indices, and cryptocurrencies.

One-step MyFundedFX challenge account rules

• Profit Target and Scaling: Traders must achieve a 10% profit target during the evaluation phase but face no profit targets in the funded account, enabling seamless scaling.
• Maximum Daily Loss: All account sizes adhere to a 4% maximum daily loss, ensuring risk control by limiting daily losses.
• Maximum Trailing Drawdown: A 6% maximum trailing drawdown is set, calculated from the highest account balance to address fluctuations and protect against excessive drawdowns.
• Lot Size Limit: Traders follow specified lot sizes based on the prop firm account’s initial balance, maintaining consistency in trading instruments.
• Third-Party Copy Trading Risk: Utilizing third-party copy trading services may pose risks, including replication of trading strategies and potential denial of funded account/withdrawal.
• Third-Party EA Risk: Using third-party EAs carries the risk of duplicated trading strategies, potentially leading to the denial of funded account/withdrawal if the maximum capital allocation rule is breached.

Normal two-step MyFundedFX challenge accounts

The primary objective of MyFundedFX’s standard two-step assessment challenge account is to discover traders who demonstrate consistent and disciplined trading strategies. 

These traders are then awarded based on their ability to maintain consistency during the two-phase evaluation period. The evaluation program account enables to engage in trading with a leverage ratio of 1:100.

Account Size	Price
$5,000	$50
$10,000	$100
$25,000	$200
$50,000	$300
$100,000	$500
$200,000	$950
$300,000	$1,399

In Phase One of the evaluation process, a trader must attain a profit target of 8% while ensuring that their daily losses do not exceed 5% and their overall losses do not exceed 8%. 

There are no restrictions on the number of trades they can make, and there is no minimum requirement for the number of trading days. Successful completion of these criteria will allow the trader to progress to Phase Two. 

In Evaluation Phase Two, it is necessary to achieve a profit target of 5% while ensuring that the stipulated loss restrictions are not exceeded. This successful completion will allow for advancement to a funded account.

After completing all assessment rounds, traders are rewarded with a funded account that does not have any profit targets. However, they must strictly follow the regulations of a maximum daily loss of 5% and a maximum loss of 8%. 

The initial profit distribution is set at 80%, calculated from the profits earned within 14 calendar days from the first position in the funded account. Subsequently, payouts will be made every two weeks.

Normal two-step MyFundedFX challenge account scaling plan

To complete the standard two-step evaluation challenge, one must attain an average return of 12% for three months. Upon achieving this, the account will be credited with a 25% increase, with a maximum limit of $1,500,000. 

For example, an account with a balance of $200,000 experiences growth and reaches $250,000 during three months. This pattern of increasing balances continues in subsequent cycles. Trading involves the buying and selling of FX pairs, commodities, indexes, and cryptocurrencies.

Normal two-step evaluation challenge account rules

• Profit Targets and Scaling: Phase 1 requires an 8% profit target, while Phase 2 mandates a 5% target. Funded accounts have no profit targets, allowing flexibility.
• Maximum Daily and Overall Loss: All account sizes adhere to a 5% maximum daily loss and an 8% maximum loss overall, ensuring risk control.
• Lot Size Limit: Traders must follow specified lot sizes based on the initial account balance, maintaining consistency in trading instruments.
• Third-Party Risks: Utilizing copy trading or EAs carries risks, including potential denial of funded account/withdrawal if exceeding the maximum capital allocation rule.

Pro-two-step MyFundedFX challenge accounts

The pro-two-step evaluation challenge account provided by MyFundedFX aims to identify traders who exhibit consistent and disciplined trading methods. The traders are rewarded depending on their performance throughout the two-phase evaluation period. The evaluation program account allows traders to participate in trading with a leverage ratio of 1:50.

Account Size	Price
$5,000	$70
$10,000	$135
$25,000	$250
$50,000	$375
$100,000	$575
$200,000	$1,100
$300,000	$1,600

Assessment In Phase One, traders are required to attain a profit target of 8%, while ensuring that their daily losses do not exceed 5% and their overall losses do not surpass 10%. 

They have the freedom to engage in unrestricted trading. Upon successful completion, the progression to Phase Two is initiated, wherein a profit target of 5% is set, along with the same restrictions on losses. This phase leads to the establishment of a funded account, without any profit targets. 

The initial profit allocation is set at 80%, calculated from the gains generated 14 days after the first position is taken in the funded account. Subsequently, payouts will be made every two weeks. Strict compliance with the 5% maximum daily loss and 10% maximum loss regulations is mandatory for the funded account.

Pro-two-step MyFundedFX challenge account scaling plan

Pro-two-step evaluation challenge accounts feature a scaling plan. Achieve an average 12% profit over three months to receive a 25% account increase, capped at $1,500,000. For instance, a $200,000 account grows to $250,000 in three months, with successive increases. 

Trading encompasses forex pairs, commodities, indices, and cryptocurrencies, offering a diversified approach. This structure encourages consistent profitability and growth for traders within the specified timeframe, aligning with the scaling plan’s objectives.

Pro-two-step evaluation challenge account rules

• Profit targets: It is a crucial benchmark for traders, marking specific percentages of profit to achieve before progressing through evaluation phases, withdrawing profits, or scaling their accounts.

Phase 1 Profit Target: 8%

In the initial phase, traders aim for an 8% profit before advancing in their trading journey.

Phase 2 Profit Target: 5%

The second phase introduces a 5% profit target, signaling the need for consistent performance and adaptation.

Funded Accounts Exemption

Funded accounts operate outside profit targets, allowing traders more flexibility in their profit pursuits.

• Maximum Daily Loss: Loss management is equally vital, with two key metrics determining a trader’s risk tolerance. Traders must cap their daily losses at 5% to avoid violating account terms, emphasizing the importance of daily risk control.
• Maximum Overall Loss: The overall loss threshold stands at 10%, requiring traders to maintain risk discipline across their entire trading journey.
• Lot size limits: dictate specific trading instrument sizes, often tied to the initial account balance of the prop firm account, ensuring precision and risk control.
• Third-Party Copy Trading Risk:  Engaging in copy trading services introduces the risk of duplicating strategies used by other traders. Traders should be aware that exceeding the maximum capital allocation rule through third-party copy trading may lead to denied funded accounts or withdrawals.
• Third-Party EA Risk: Similar to copy trading, using third-party EAs comes with the risk of employing identical strategies as other traders. Traders using third-party EAs must exercise caution to avoid exceeding the maximum capital allocation rule, potentially jeopardizing funded account eligibility and withdrawals.

VIP Program 

The VIP program is an exclusive attribute that will recognize and reward traders who consistently and devotedly put in the effort to achieve success. To become eligible, a trader must complete particular standards.

VIP Program requirements:

• Individuals must have a minimum of six withdrawals
• Engage in trading for at least four months
• Maintain a consistent trading style throughout the period (disqualifying all-in or high-risk styles)
• No account violations in the four months

VIP Program benefits:

• Profit split extends to 92.75%
• Allowing unrestricted withdrawals at any time
• Accompanied by an active payout request button for profitable traders
• While daily drawdown limits rise to 6% for one-step evaluation accounts and 8% for two-step evaluation accounts
• Maximum drawdown limits increase to 12% for one-step evaluation accounts and 14% for two-step evaluation accounts

• One-step Evaluation Challenge VIP Program
• Two-step Evaluation Challenge VIP Program

About MyFundedFX:

MyFundedFX is a proprietary trading firm that offers traders the opportunity to manage significant capital based on their trading skill and strategy. Like other prop firms, MyFundedFX provides a platform for traders to showcase their ability to generate profits in the forex market without risking their own capital upfront. This amazing prop firm has established as a household name in the prop industry.

They are also affiliated with MyFundedFutures.

You’d be surprised to see the number of traders who have gotten rich off of MyFundedFX challenge programs.

Once a trader successfully passes the evaluation, MyFundedFX allocates a trading account with a predetermined amount of capital. The trader can then operate this account, striving to meet profit targets while managing risks effectively. The firm typically shares profits with the trader, with the split depending on the specific terms of the agreement reached at the onset of the funded account phase.

The company is active on multiple social media platforms including Discord and YouTube.

Key features of MyFundedFX include:

• Evaluation Process: Traders undergo a rigorous evaluation process designed to assess their trading strategy, risk management, and profitability. This process ensures that only skilled traders are allocated the firm’s capital. As we noticed before, the company offers multiple types of MyFundedFX challenge programs.
• Profit Sharing: MyFundedFX offers a profit-sharing model, rewarding successful traders with a portion of the profits generated from their trading activities.
• Risk Management Rules: The firm sets specific risk management rules, including maximum drawdown limits and exposure rules, to ensure that trading strategies are sustainable and capital is preserved.
• Trading Freedom: Traders typically have the freedom to use their preferred trading strategies and styles, as long as they comply with the firm’s risk management guidelines and rules.
• Educational Resources: Some prop firms, including MyFundedFX, may offer educational resources and support to help traders improve their skills and knowledge.

It’s important for potential participants to carefully review the specific terms, conditions, and features offered by MyFundedFX, as these can vary and be subject to change. Additionally, prospective traders should consider their own trading style, risk tolerance, and the compatibility of the firm’s requirements with their own trading approach.

Tips for Passing MyFundedFX Challenge Programs:

As a highly experienced forex prop trader, I’ve navigated numerous challenges and learned valuable lessons along the way. Here are some key tips to help you, as a beginner, increase your chances of winning the MyFundedFX challenge:

1. Understand the Rules Inside Out

Before you start trading, make sure you fully understand the challenge’s rules. Know the profit targets, maximum drawdown limits, and any trading restrictions. This knowledge allows you to tailor your trading strategy to fit within these parameters, maximizing your chance of success.

For example, unlike many prop challenges, the Audacity Capital Ability challenge doesn’t have a time limit. This means you can focus on strategies which are solely focused on reaching the target profit without the time restraint.

2. Develop a Solid Trading Plan

A well-thought-out trading plan is crucial. This should outline your trading strategy, risk management rules, and how you plan to achieve the challenge’s goals. Decide on the currency pairs you’ll focus on, determine the best times to trade, and establish how you’ll manage losses. Your trading plan should be your blueprint throughout the challenge.

3. Prioritize Risk Management

The most common reason traders fail prop challenges is not due to lack of profitable trades, but because they fail to manage risk effectively. Set strict rules for how much of your account you will risk on a single trade and stick to it. Use stop-loss orders to protect each trade, and remember, preserving your capital is as important as making profits.

4. Start Small and Scale Gradually

Resist the temptation to take large positions early on. Start with smaller trades to get a feel for the market and the challenge conditions. As you become more comfortable and accumulate profits, you can gradually increase your trade size, always adhering to your risk management rules.

5. Keep Emotions in Check

Trading can be an emotional rollercoaster, especially in a high-stakes environment like a prop trading challenge. It’s essential to maintain discipline and not let emotions drive your trading decisions. Whether you’re on a winning streak or facing losses, stick to your trading plan and risk management rules.

6. Learn from Every Trade

Maintain a trading journal where you document each trade, including your rationale, the outcome, and any lessons learned. This practice can be incredibly insightful, helping you to refine your strategy and avoid past mistakes.

7. Stay Informed

Keep abreast of market news and events that could impact currency movements. Economic indicators, geopolitical events, and central bank decisions can all cause volatility in the forex market. Use this information to make informed trading decisions.

8. Leverage Educational Resources

Many prop firms offer educational resources, webinars, and mentorship programs. Take advantage of these to enhance your trading knowledge and skills. Learning from experienced traders can provide valuable insights that you can apply to your own trading.

9. Practice Makes Perfect

Consider practicing your strategy on a demo account before taking on the challenge. This can help you refine your approach and get accustomed to the trading platform without any risk.

10. Stay Persistent and Learn from Failure

Even experienced traders face setbacks. What sets successful traders apart is their ability to learn from failures and persist. If you don’t succeed in your first challenge, analyze what went wrong, adjust your strategy, and try again.

Winning a prop trading challenge as a beginner is certainly challenging, but with diligent preparation, a disciplined approach, and continuous learning, you can significantly increase your chances of success. Remember, every trader’s journey is unique—focus on developing your skills and finding a strategy that works best for you.

MyFundedFX Challenge: Conclusion

We hope you found this review and analysis of MyFundedFX challenge programs helpful. If you have any questions or suggestions, let us know in the comments.