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How does loss control work at Noctorial?

We explain how daily and total loss limits work on your evaluation and funded account. Learn to trade without breaking the limits.

During the Funding Program and on your funded account, we apply two key limits to protect your learning curve and prevent you from risking the account: the maximum daily loss and the maximum total loss.

These rules are not designed to penalize you, but to help you trade with discipline and responsibility, just as you would if you were managing your own capital (or that of a real investor).

To calculate the Maximum Daily Loss, every day at 23:05 h (CE(S)T cut-off time), we automatically record your account's balance / equity. From there, the permitted daily loss limit for the next day is calculated.

  • In Phase 1, you cannot lose more than 4% of the recorded equity.

  • In Phase 2 and on the funded account, the limit is 5%.

Example 1: If you have a €100,000 account and at 23:05 h your balance / equity is €103,000, your loss limit for the next day will be: €103,000 – €5,000 = €98,000. If at any point your equity drops below €98,000, you would be breaking the rule. If you close that day at €99,000, your new limit for the next day will be: €99,000 – €5,000 = €94,000.

Important: Always make sure the daily equity has updated correctly in your dashboard before you start trading. It is your reference point for the new day.

Maximum Total Loss

In addition to the daily limit, there is also an accumulated total loss limit from when you start the account. If at any moment your equity falls below that threshold, the phase is considered failed, and you would have to restart the challenge.

  • In Phase 1, you cannot lose more than 8% of the initial balance.

  • In Phase 2 and on the funded account, the limit is 10%.

  • In the 1-Phase program, the limit is 7%.

Example: If your initial account is €100,000, your equity cannot fall below €92,000 in Phase 1 and €90,000 in Phase 2 or on the real account.

In summary:

Phase / Account Max daily loss Max total loss
1-Phase Program –4% –7%
Phase 1 (Evaluation) –4% –8%
Phase 2 (Consolidation) –5% –10%
Funded Account –5% –10%
 

Learning to respect these rules is an essential part of the process. This is how we ensure you trade responsibly, not impulsively, and can scale toward larger real accounts without putting your funding at risk.