Home General Rules and Guidelines

General Rules and Guidelines

By Leonardo
17 articles

Prohibition of Automated Trading

Can I use trading robots or Expert Advisors? No. The use of any automated, semi-automated, or computer-assisted trading system is strictly prohibited on all Trade4U accounts. This includes Expert Advisors (EAs), trading robots, algorithmic systems, high-frequency trading (HFT), and any software that executes trades automatically and/or in a short time interval. All trading decisions, order entries, and position management must be executed manually by the account holder through direct interaction with the authorized platform. This rule applies to both Challenge and Funded accounts. What exactly is considered automated trading? Automated trading includes any technology that executes trades without direct manual decision for each trade and/or in a short time span. This covers a wide range of systems and tools that may seem harmless but violate our manual trading rules. Trade4U considers automated trading: Expert Advisors, trading robots, algorithmic systems, trading APIs, automated copy trading, scripts that execute trades, macros, signal-based systems that execute automatically, and any artificial intelligence or machine learning for trading decisions. How does Trade4U detect automated trading? We use advanced monitoring systems that analyze trading patterns to identify non-human behaviors. Our technology monitors execution speed, temporal precision, mathematical consistency in position sizes, entry/exit patterns, among other elements. The system also analyzes intervals between decisions, reactions to market events, and other behavioral indicators that distinguish human from automated trading. Any pattern consistent with automation triggers alerts for detailed review by our compliance team. What happens if I use automated trading? Violation of this rule results in immediate and permanent termination of all accounts without warning or opportunity for correction. All profits, bonuses, and benefits are immediately forfeited, and you will be permanently banned from all Trade4U services. Can I use automated risk management systems? No. Even systems intended for risk management must be executed manually. You must personally monitor your positions and make conscious decisions about when to close trades for stop-loss or take-profit. You may set stop-loss and take-profit orders after opening a position, but these must be set manually for each trade. Systems that automatically adjust stops, move take-profits, or execute any risk management without manual decision are prohibited. CONSEQUENCES AND ENFORCEMENT Immediate Termination Scenarios Account termination occurs immediately upon detection of any prohibited practice, with no warnings or second chances. Terminated accounts cannot be recovered, and all profits are forfeited. Reset options are available only for certain rule violations in Challenge accounts at $39, not for prohibited practices. Serious violations may result in permanent bans preventing future account purchases. In cases involving fraud or manipulation, legal action may be pursued to recover damages or prevent further violations across the trading community.

Last updated on Oct 08, 2025

Account Setup & Onboarding

How to Buy a Challenge Account Visit our website and select your desired Challenge account size. Trade4U offers two pricing options: Without Activation Fee: 25K ($249), 50K ($289), 100K ($389), or 150K ($439). With Activation Fee: 25K ($179 + $99 upon approval), 50K ($239 + $99 upon approval), 100K ($339 + $99 upon approval), or 150K ($389 + $99 upon approval). After that, you will be redirected to our sign up page, where you can buy your first challenge or add a new one. Select the product you want, click "Add Order" and complete the checkout form with your personal information, ensuring all details are accurate as they will be used for your trading account setup. Use a Visa or Mastercard with international transaction capability to complete payment. After successful payment, you'll receive an order confirmation email immediately, followed by account setup instructions in the following minutes. How Do I Know When My Account is Active? You'll receive an email containing your login credentials once your account is fully activated. This typically occurs within minutes of successful payment processing. Your account status will also update in your trader dashboard at dashboard.trade4u.com, showing "Active" status with your account details, profit target, and current balance. You cannot begin trading until you receive the email and can successfully log into the platform. Complete Onboarding Process After receiving your credentials, access the trading platform from the links provided in your welcome email. Install the software, log in with your provided credentials, and familiarize yourself with the platform before trading begins. We recommend you set up two-factor authentication for security, and also review all trading rules specific to your account size. Complete the platform walkthrough and start trading! What Are the Steps to Start Trading? First, ensure your account shows "Active" status in your trader dashboard and you can log into the platform successfully. Review your account specifications: profit target, drawdown limit, maximum contracts, and trading hours in your account summary. Plan your first trades carefully - start with smaller position sizes to familiarize yourself with the platform's execution speed and order types. Check the economic calendar for high-impact news events and avoid trading during restricted times on your first few days.

Last updated on Oct 08, 2025

Account Management

How to Submit KYC Documentation Log into your trader dashboard and navigate to "Account Settings" > "KYC Verification." Upload a clear photo of your government-issued ID (passport, driver's license, or national ID) and a recent utility bill or bank statement showing your address from the last 30 days. This process is undertaken in a third party system that can request you specific information. Ensure all documents are in color, clearly readable, and match the name and address information provided during account registration. KYC approval typically takes 24-48 hours and is required before your first withdrawal request. How to Activate 2FA Authentication Access your trader dashboard and go to "Account Settings" > "Two-Factor Authentication." Download Google Authenticator or similar TOTP app on your mobile device, then scan the QR code displayed on your screen to link your account. Enter the 6-digit verification code from your authenticator app to confirm setup. Save the backup recovery codes provided in a secure location - these are your only way to access your account if you lose your phone. How to Change Personal Information Navigate to "Account Settings" > "Personal Information" in your trader dashboard to update details like phone number, email address, or mailing address. After the KYC, you won't be able to change the information. Contact support at support@trade4u.com for changes requiring document verification, such as name corrections or country of residence updates. Include your account number and supporting documentation with your request.

Last updated on Oct 08, 2025

Trading Operations

How to Calculate Your Drawdown Trade4U uses Intraday Trailing Drawdown for all accounts that considers open P&L and equity high water mark in real-time throughout the trading day. Your maximum drawdown limits are fixed by account size: $1,500 (25K), $2,000 (50K), $3,000 (100K), or $4,500 (150K). Understanding the calculation method is crucial for proper risk management and avoiding violations. Understanding Intraday Trailing Drawdown with Static Conversion Intraday Trailing Drawdown in Trade4U accounts monitors your equity (closed P&L + open P&L) in real-time against your highest equity point (high water mark). The drawdown limit trails upward with profits but never decreases, creating a moving floor that rises with your success but provides permanent protection. Trade4U Special Feature: The drawdown becomes static when the account balance reaches initial balance plus maximum drawdown. For example, on a $50,000 account with $2,000 drawdown, when balance reaches $52,000, drawdown becomes permanently static at $50,000. How to Track Your Progress Monitor your progress through the "Performance" tab in your trader dashboard, which shows current profit/loss, days traded, profit target completion percentage, and remaining drawdown buffer. The system updates these metrics in real-time during trading hours. Review your consistency metrics regularly to ensure you're not concentrating too much profit in single trading days. How to Download Trade/Orders Report Access your trader dashboard and navigate to "Reports" > "Trading Activity." Select your desired date range and report type, then click "Generate Report" to create a downloadable PDF or CSV file. Reports include all relevant trading data: entry/exit times, instruments traded, position sizes, profit/loss per trade, and commission costs. Use these reports for tax purposes, performance analysis, and strategy refinement. How to Check Your Performance Analytics Your trader dashboard provides comprehensive performance metrics under "Analytics" including win rate, average trade duration, profit factor, maximum drawdown periods, and risk-adjusted returns. These update automatically after each trading session. Compare your performance against account benchmarks and track improvement over time using the trend charts provided. Focus on consistency metrics like standard deviation of daily returns and maximum consecutive losses to identify areas for improvement.

Last updated on Oct 08, 2025

Withdrawals & Payments

How to Request a Payout Navigate to "Withdrawals" in your trader dashboard and click "Request Payout." Verify you meet all requirements: minimum 5 profitable days of $100 each, consistency rule compliance (40% without activation fee or 50% with activation fee), and balance above drawdown limit. Enter your desired withdrawal amount and confirm your banking information is current. Submit required documentation including banking details and any tax forms if applicable. Once requested we analyze the request within 5 business days and process the payout within 24h. After approval, payouts are processed and can take up to 5 business days to reach your bank account or payment method, depending on the chosen method, with 90% of requested amount paid to you (10% commission retained by Trade4U). Payout Requirements and Limits To request withdrawal, complete at least 5 distinct profitable days with minimum $100 profit per day, maintain account balance above drawdown limits, and ensure no single trading day represents more than 40% of your total profits (or 50% if you chose the activation fee option). Minimum withdrawal amount is $200 per request. Withdrawal limits apply: first 4 withdrawals are capped at the account drawdown amount. For example, a 50K account can withdraw maximum $2,000 per request in the first 4 withdrawals. After the first 4 withdrawals, no limit applies. Important: Trade4U does not require a buffer zone for withdrawals, unlike other prop firms.

Last updated on Nov 04, 2025

Compliance & Conduct

Good Practices in Prop Trading Maintain detailed trading journals documenting your strategy, market conditions, and reasoning for each trade to improve consistency and comply with potential account reviews. Follow strict risk management protocols: never risk more than 1-2% per trade and always use stop-losses. Stay informed about economic events and market news that could impact your trading instruments, maintain regular trading schedules to develop consistency, and continuously educate yourself about market dynamics and trading psychology. Treat prop trading as a professional business operation. Prohibited Conducts and Violations Strictly avoid overnight positions (all positions must close before daily market close), trading during high-impact news events (5 minute before/after NFP, FOMC, PMI, PPI, CPI, ADP, PCE, CPI), exceeding maximum contract limits, and any form of account manipulation or hedging between multiple accounts. Additional prohibited activities include sharing account credentials, using external automated trading systems not approved by Trade4U, gambling behaviors (inconsistent position sizing designed to recover losses quickly), and any attempts to manipulate or exploit platform functionality for unfair advantage. Additionally, as this is an educational program, the use of any strategies or trading systems that do not demonstrate clear and objective criteria for market operations, or that cannot be replicated in real market conditions, is prohibited. Account Review and Compliance Monitoring All accounts undergo regular compliance monitoring for rule adherence, trading pattern analysis, and performance consistency verification. Unusual trading patterns, rule violations, or suspicious activities trigger detailed account reviews that may result in account restrictions or termination. Maintain transparent trading practices, respond promptly to any compliance inquiries, and ensure all trading activities align with stated strategies and risk management protocols. Document any unusual market conditions or trading decisions that might appear anomalous during review.

Last updated on Oct 08, 2025

Prohibited Trading Practices

General Guidelines for Being Compliant At all levels of the Trade4U program, there are certain behaviors that traders are strictly prohibited from engaging in, and others that require immediate notification to Trade4U. These policies exist to maintain the integrity of our educational evaluation program and ensure realistic market conditions in our simulated environment. Why Does Trade4U Have Prohibited Conduct Policies? Prohibited Conduct policies exist to: - Deter behaviors incompatible with long-term, sustainable success in real markets - Promote responsible and professional trading practices - Prevent circumvention of our trading rules and evaluation parameters - Ensure realistic order execution that mirrors actual market conditions The Trade4U Challenge and Funded accounts are designed to evaluate real trading skills. We would be doing a disservice to our traders if we allowed them to pass evaluations using methods that would fail in live market conditions. Categories of Prohibited Conduct There are two main categories of Prohibited Conduct: 1. Strictly Prohibited Behaviors - Actions that are absolutely forbidden in Trade4U accounts 2. Notification Required Behaviors - Actions that require immediate notification to Trade4U How Is Prohibited Conduct Different from Trading Rules? While both Trading Rules and Prohibited Conduct refer to actions that may not be taken in your Trade4U account, they are handled differently: - Trading Rules have predetermined outcomes when violated (e.g., account termination, reset option at $39) - Prohibited Conduct is handled on a case-by-case basis depending on severity and intent Potential Consequences of Prohibited Conduct Depending on the severity of the infraction and the trader's history, consequences may include: - Warning notification - Deletion of affected trading days - Permanent account closure - Delay or denial of withdrawal requests - Forfeiture of all profits - Permanent ban from Trade4U services Note: Prohibited Conduct violations may or may not result in reset fees, depending on the specific circumstances and severity of the violation. What Trade4U Considers Prohibited Conduct 1. Unprofessional and Manipulative Behaviors - Exhibiting unprofessional conduct or attempting to manipulate the evaluation process - Excessive purchases of Challenge accounts or resets beyond reasonable trading development needs - Creating multiple accounts to circumvent the 20-account maximum limit 2. Exploitative Trading Strategies - Using any strategy intended to exploit errors in price displays or data feed delays - Implementing disruptive market practices, including spoofing or layering strategies - Trading outside the best bid/offer to achieve unrealistic fills - Using external or delayed data feeds to gain unfair advantages 3. Automated and High-Frequency Trading - Using Expert Advisors (EAs), trading robots, or any automated trading systems - Employing artificial intelligence, ultra-high speed, or mass data entry systems - Implementing algorithmic or high-frequency trading strategies - Using any software that manipulates or provides unfair advantages 4. Coordinated Trading and Hedging - Coordinating trades between multiple accounts (owned by same or different individuals) - Implementing opposite positions across accounts to hedge risk - Copy trading or signal sharing between accounts - Pooling risk across unconnected accounts - Performing the same trading strategy across multiple accounts simultaneously 5. Market Manipulation and Gaming - Tick scalping without genuine market analysis (opening and closing within seconds) - Account flipping (minimal trades just to meet day requirements) - Patterns indicating gambling behavior or martingale strategies - Trading strategies that cannot be replicated in real market conditions - One-sided directional betting (80%+ positions in single direction without analysis) 6. Position and Risk Violations - Holding positions overnight or during weekends (all positions must close before daily market close) - Trading within 5 minute before/after high-impact news events (FOMC, CPI, NFP) - Holding positions within 2% of a product's price limit - Account stacking (aggressive trading to hit drawdown, then switching accounts) 7. Technical Exploitation - Attempting to circumvent geographical or technical restrictions - Using instruments that adversely affect platform operations - Exploiting platform bugs, errors, or system deficiencies - Manipulating the Intraday Trailing Drawdown calculation 8. Third-Party Trading - Trading on behalf of others or managing accounts for third parties - Sharing profits or incentives as part of business arrangements - Allowing others to access or trade your account - Providing account credentials to third parties 9. Uncommercial Activities - Engaging in trading that doesn't represent viable commercial strategies - Activities solely intended to game the evaluation system - Trading patterns inconsistent with professional market participation - Any conduct that Trade4U determines, in its sole discretion, represents irresponsible trading Appeal Process Traders who believe they have been incorrectly flagged for Prohibited Conduct may: 1. Submit a written appeal to support@trade4u.com 2. Provide detailed explanation of trading strategy 3. Include supporting documentation Appeals are reviewed within 5 business days. Trade4U's decision on appeals is final. Copy Trading Between Users Copy trading involves multiple traders coordinating their trades or one trader copying another's positions across different accounts. This includes sharing trade signals, entry/exit points, or any form of coordinated trading strategy between different Trade4U accounts, whether owned by the same person or different individuals. All trading decisions must be made independently by each account holder without external influence or coordination. Using Discord groups, Telegram channels, or any communication platform to share live trading signals or coordinate entries/exits between accounts will result in immediate termination of all involved accounts. Hedging Strategies Hedging involves taking opposite positions in correlated instruments across multiple accounts to minimize risk or guarantee profits. This includes buying ES on one account while selling NQ on another, or any strategy designed to offset risk between different Trade4U accounts you control. Hedging strategies within the same account are also prohibited. Even holding opposite positions in the same instrument across multiple accounts (long ES on Account A, short ES on Account B) constitutes hedging and is strictly prohibited. Each account must be traded independently with its own risk profile, regardless of positions in other accounts. Gambling and One-Sided Betting Gambling behavior includes dramatically increasing position sizes after losses in attempts to recover quickly, "all-in" strategies inconsistent with your normal trading pattern, or taking maximum position sizes during high volatility periods without proper risk management justification. One-sided betting refers to consistently taking positions in only one direction (only buying or only selling) without regard to market conditions, technical analysis, or fundamental reasoning. Trading must demonstrate strategic thinking rather than directional bias or hope-based positioning. It is understood that if the user has 80% of their positions exclusively unidirectional (i.e., only buy positions or only sell positions), this may indicate a lack of objective criteria for position determination, implying a regulatory violation. Tick Scalping and High-Frequency Abuse Tick scalping involves opening and closing positions within seconds purely to capture 1-2 tick movements without genuine market analysis or strategy. This includes automated or semi-automated strategies designed to exploit minor price movements through rapid-fire trading without substantial market conviction. While legitimate scalping strategies are allowed, purely mechanical tick-harvesting without analysis or positions held may be flagged as abusive behavior. Your trading should demonstrate market understanding beyond pure price action exploitation. Account Flipping Account flipping means opening and immediately closing positions solely to meet minimum trading day requirements without genuine trading intent. This includes making minimal trades just to satisfy the "4 days traded" rule in Challenge accounts. Each trade should represent a legitimate market opportunity with proper analysis, entry reasoning, and risk management. Trades made purely to "count" trading days, such as buying and immediately selling with minimal profit/loss, violate the spirit of the evaluation process. Holding Positions Overnight/Weekends All positions must be closed before each trading day's official close time - typically 5:00 PM ET for most futures contracts. Holding any position past the daily close time, even by seconds, constitutes an overnight violation and results in immediate account termination. Weekend holds are also strictly prohibited. If markets close Friday at 5:00 PM ET and reopen Sunday at 6:00 PM ET, no positions can be maintained during this period. This rule applies regardless of market conditions, potential profits, or stop-loss placement. News Trading Violations Trading is prohibited 5 minute before, during, and 5 minute after high-impact economic news releases (3-star events on economic calendars). This includes Payroll, FOMC, PMI, PPI, CPI, ADP, PCE, CPI, and any major central bank announcements affecting your trading instruments. The restriction applies to opening new positions, closing existing positions, or modifying orders during the restricted window. You must plan ahead to close positions before news events and wait the full minute after release before resuming any trading activity.

Last updated on Oct 14, 2025

Allowed Trading Assets

Trade4U offers access to 59 tradable assets across four major exchanges: CME, CBOT, COMEX, and NYMEX. This guide provides a complete list of all tradeable assets available on your Trade4U account. Equity Index Futures CME Exchange: - EMD - E-mini Midcap Futures - ES - E-mini S&P 500 Futures - MES - Micro E-mini S&P 500 Futures - NQ - E-mini NASDAQ 100 Futures - MNQ - Micro NASDAQ 100 Futures - RTY - E-mini Russell 2000 - M2K - Micro Russell 2000 CBOT Exchange: - YM - E-mini Dow Jones Index - MYM - Micro E-mini Dow Jones Index Cryptocurrency Futures CME Exchange: - BTC - Bitcoin Futures - MBT - Micro Bitcoin Futures - MET - Micro Ether Futures Currency Futures (Forex) CME Exchange: - 6A - Australian Dollar Futures - M6A - E-Micro AUD/USD Futures - 6B - British Pound Futures - M6B - E-Micro GBP/USD Futures - 6C - Canadian Dollar Futures - MICD - E-Micro CAD/USD Futures - 6E - Euro Futures - E7 - E-mini Euro FX Futures - M6E - E-Micro EUR/USD Futures - 6J - Japanese Yen Futures - J7 - E-mini Japanese Yen Futures - 6M - Mexican Peso Futures - 6N - New Zealand Dollar Futures - 6S - Swiss Franc Futures Precious Metals Futures COMEX Exchange: - GC - COMEX 100 Gold Futures - QO - E-mini Gold Futures - MGC - 10 Troy Oz Gold Futures - HG - COMEX Copper Futures - MHG - Micro Copper Futures - QI - COMEX Mini Silver Futures - SI - COMEX 5000 Silver Futures Energy Futures NYMEX Exchange: - CL - Crude Oil Futures - QM - E-mini Crude Oil Futures - MCL - Micro Crude Oil Futures - HO - NY Harbor ULSD Futures - NG - Natural Gas Henry Hub Futures - QG - E-mini Natural Gas Futures - RB - RBOB Gasoline Futures Agricultural Futures CBOT Exchange: - ZC - Corn Futures - XC - Mini-Sized Corn Futures - ZL - Soybean Oil Futures - ZM - Soybean Meal Futures - ZO - Oats Futures - ZR - Rough Rice Futures - ZS - Soybean Futures - ZW - Wheat Futures Livestock Futures CME Exchange: - GF - Feeder Cattle Futures - HE - Lean Hog Futures - LE - Live Cattle Futures Interest Rate & Treasury Futures CBOT Exchange: - ZN - 10-Year Treasury Note Futures - 10YR - Micro 10-Year Yield Futures - ZB - 30-Year U.S. Treasury Bond Futures - 30YR - Micro 30-Year Yield Futures - ZF - 5-Year Treasury Note Futures - 5YR - Micro 5-Year Yield Futures - ZT - 2-Year Treasury Note Futures - 2YR - Micro 2-Year Yield Futures Important Notes - All contracts are subject to exchange rules and margin requirements - Contract specifications may vary by exchange - Trading hours differ by asset and exchange - Some contracts offer multiple size options (Standard, Mini, Micro) for flexible risk management For specific contract specifications, margin requirements, or trading hours, please refer to the respective exchange documentation or related articles in our HelpCenter.

Last updated on Oct 16, 2025

Trade4U One-Day Challenge: Complete Guide. 1/2

Understanding the One-Day Challenge The One-Day Challenge represents Trade4U's most aggressive and demanding trading evaluation program. Unlike traditional multi-day assessments, this single-session evaluation compresses the entire proving process into one intense trading day. The premise is straightforward but unforgiving: demonstrate exceptional trading performance within one market session and gain immediate access to funded trading opportunities. However, there's a critical detail that every trader must understand before considering this challenge—this is an all-or-nothing evaluation. Meeting 90% of the requirements is the same as meeting none of them. Partial success does not exist in this model. Account Specifications and Structure When you purchase the One-Day Challenge for $149, you receive access to a simulated trading account with $25,000 in starting capital. Your trading platform credentials arrive within 5-10 minutes of purchase, and the account activates immediately. However, your one-day evaluation period doesn't begin until you execute your first trade, giving you the flexibility to choose your trading day strategically. The position sizing rules are straightforward: you may trade up to 10 Micro contracts or 1 Mini contract at any given time, but you cannot exceed these limits simultaneously. This means you could trade 10 Micro E-mini contracts, close them all, and then switch to trading a single standard E-mini contract, but you cannot hold both types simultaneously beyond the specified limits. The Five Critical Requirements To pass the One-Day Challenge, you must satisfy five distinct requirements by market close. Missing even a single requirement results in automatic account closure, regardless of how well you performed in other areas. The Profit Requirement stands as the most obvious hurdle: you must achieve at least $1,000 in gross profit, representing a 4% return on your $25,000 account. This calculation uses your gross profit before commissions are deducted. If you close the day with $999.99 in profit, your account fails. If you have $1,200 in realized gains but still hold an open position with an unrealized loss at market close, your account fails regardless of your net position. The $1,000 target is absolute and non-negotiable. The Trading Volume Requirement mandates that you complete at least five full round-trip trades during your session. A round trip means opening and completely closing a position—buying and then selling, or selling and then buying back. If you open three contracts and close them as a single order, that counts as one trade. The system tracks completed transactions, not individual contracts. The Win Rate Requirement demands that at least three of your five trades close in profit. This establishes a minimum 60% win rate for your session. If you execute exactly five trades, you can afford only two losers. If you execute ten trades, you must have at least three winners, though obviously more wins would strengthen your performance. The key point is that this isn't about your overall profitability—you could have two $400 losing trades and three $600 winning trades for a net $1,000 profit and still pass, as long as you hit your other targets. The Consistency Requirement introduces the most nuanced restriction. No single profitable trade can represent more than 20% of your total gross profits based on your target. The calculation is simple: take your largest winning trade, divide it by your total gross profit target ($1,000), and multiply by 100. That percentage must be 20% or less. This rule exists to prevent traders from relying on one lucky trade to carry their entire session. This means that, if you make $1,000 total profit, your largest winning trade cannot exceed $200. If your biggest winner is $250, you've hit 25% and failed the consistency requirement, even if you met every other criterion perfectly. Only profitable trades factor into this calculation—your losing trades are excluded entirely. This creates an interesting strategic consideration: if you have a particularly large winning trade early in your session, you'll need to generate additional profits across multiple trades to bring that percentage down. Some traders find themselves in a situation where they've exceeded their profit target but still need to execute more winning trades to satisfy the consistency rule. The Drawdown Limit operates as a trailing stop on your entire account. You begin with a $500 maximum loss threshold, meaning your account equity cannot drop below $24,500 at any point during your trading session. However, this limit trails upward as your equity increases—it never moves downward. Consider this scenario: You execute your first trade and profit $300, bringing your account to $25,300. Your new drawdown limit immediately adjusts to $24,800 (the $25,300 high water mark minus $500). If you then take a $600 loss, dropping your account to $24,700, you've breached your trailing drawdown limit of $24,800, and your account automatically closes. The evaluation ends immediately, regardless of whether you could have recovered or how much time remained in the session. This trailing mechanism makes drawdown management increasingly critical as you build profits. The more you make, the less room you have for losses. Importantly, this calculation includes unrealized profit and loss from open positions in real-time. If you're holding a position that's currently down $600 and this would put you below your trailing limit, the system will close your account immediately. Permitted Instruments and Position Limits The One-Day Challenge allows trading across the standard Trade4U instrument list. For Micro contracts, you can trade up to 10 contracts in instruments like the Micro E-mini S&P 500 (MES), Micro E-mini Nasdaq-100 (MNQ), Micro E-mini Russell 2000 (M2K), Micro Bitcoin Futures (MBT), and Micro Ether Futures (MET). For standard Mini contracts like the E-mini S&P 500 (ES), E-mini Nasdaq-100 (NQ), or E-mini Russell 2000 (RTY), you're limited to one contract. Currency futures and agricultural futures from the standard approved list are also available. The restriction isn't about what you can trade throughout the day, but rather what you can hold simultaneously. You cannot, for instance, hold five Micro contracts and one Mini contract at the same time. However, you could trade Micro contracts exclusively throughout the morning, close all positions, and then switch to trading Mini contracts in the afternoon. The flexibility exists in sequencing, not in simultaneous exposure. Understanding Prohibited Conduct Several categories of trading behavior will result in immediate disqualification, and understanding these restrictions is essential before you begin trading. Automated trading in any form is strictly prohibited. This includes Expert Advisors, trading robots, algorithmic systems, or any software that executes trades automatically based on programmed criteria. The evaluation is designed to assess human trading skill and decision-making, not the performance of automated systems. Similarly, copy trading or following signals from any external source is not permitted. You cannot mirror trades from another account, follow trade recommendations from a service, or use software that copies positions from other traders. Account coordination and hedging strategies are also forbidden. You cannot open opposing positions across multiple Trade4U accounts to hedge your risk, coordinate trades with other traders, or manipulate your account outcomes through strategic position timing across multiple evaluations. Each account must stand on its own merits. News trading restrictions apply to major economic announcements. You cannot open new positions during the five minutes before or after significant scheduled releases like Federal Open Market Committee decisions, Non-Farm Payroll reports, Consumer Price Index data, or Gross Domestic Product releases. If you already hold a position opened more than five minutes before the announcement, you may maintain it through the news event and can close it during the restricted window. However, opening fresh positions during these critical windows is prohibited. Tick scalping without genuine analysis is not allowed. While scalping strategies based on technical analysis or fundamental reasoning are perfectly acceptable, entering and exiting trades based purely on rapid tick movements without any underlying analytical framework violates the rules. The distinction lies in demonstrating actual trading methodology rather than attempting to exploit momentary price fluctuations. Recovery strategies like martingale systems—where you double your position size after losses—or uncontrolled grid trading without defined stop losses are prohibited. These approaches typically involve unlimited risk and are inconsistent with sound risk management principles that funded traders must demonstrate. Commission Structure and Profit Calculations Every trade incurs commission fees that are deducted from your account balance. Micro contractscost $0.50 per round trip, while Mini contracts cost $5.00 per round trip. These fees are assessed per contract, so if you trade two Micro contracts in a single round trip, you'll pay $1.00 total. An important distinction exists between how commissions affect your account balance versus how they factor into your evaluation. Your profit target of $1,000 is calculated based on gross profit before commissions. However, commissions are deducted from your account equity and therefore affect your trailing drawdown limit. For example, imagine you execute five trades with two Micro contracts each, generating exactly $1,000 in gross trading profit. You've paid $5.00 in total commissions (ten round trips at $0.50 each). For evaluation purposes, you've hit your $1,000 target and would pass on that criterion. However, your account balance would show $995 net profit after commissions, and your trailing drawdown limit would be calculated based on this commission-adjusted equity. The Evaluation Process and Timeline Your evaluation begins the moment you execute your first trade and continues until that trading day's market close. For equity futures, market close typically occurs at 4:00 PM Eastern Time, though you should verify the exact closing time for your chosen instruments. The evaluation is automatic and immediate—there's no manual review of whether you've met the basic requirements. At market close, the system evaluates your account against all five criteria simultaneously. You either pass all requirements or fail. There is no "pending" status, no opportunity to explain extenuating circumstances, and no appeals process for borderline cases. The outcome is binary and final. If you pass, your account is marked as successful, and you become eligible to request a withdrawal the following business day. If you fail, your account closes permanently, though you have the option to reset for $99 and attempt the challenge again with a fresh account. After You Pass: The Withdrawal Process Successfully completing the One-Day Challenge doesn't mean immediate access to your profits. The evaluation unlocks a two-stage process beginning the next business day. First, you submit a withdrawal request through your dashboard. This initiates a seven-business-day analysis period during which Trade4U reviews your trading session for compliance. The review team examines your trades for any prohibited conduct violations, verifies that all rules were followed, confirms that calculations are correct, and checks for any suspicious activity or manipulation. This period isn't merely a formality—accounts can and do fail post-evaluation if violations are discovered during this review. If your trading passes the compliance review, processing moves to the payment stage. Trade4U operates on a profit split model where you receive 90% of profits above the $25,000 starting balance, while Trade4U retains 10%. So if you finished with $26,000 (making $1,000 in profit), you would receive $900, and Trade4U would keep $100. Payment processing takes an additional two to three business days after approval, typically via bank wire transfer. From the day you pass to receiving payment, the complete process spans roughly ten to fourteen calendar days. This timeline assumes no issues arise during compliance review. If violations are found, your passing status is revoked, and no payout is issued, regardless of your trading performance. The Reset Option When you fail to meet all requirements, your account closes permanently. However, Trade4U offers an unlimited reset option at $99 per attempt. Resetting creates a completely new evaluation account with the same rules, requirements, and structure as your original challenge. Each reset is entirely independent—your previous attempts don't affect the new evaluation, your history isn't carried forward, and you start fresh with a new $25,000 simulated balance. There's no limit to how many times you can reset, though each active challenge counts toward your overall 20-account maximum across all Trade4U products. Before resetting, consider carefully what caused your failure. Did you miss the profit target? Breach the drawdown limit? Fail the consistency rule? Understanding the specific failure point is essential because the rules don't change—if your strategy couldn't satisfy the requirements once, it won't satisfy them on reset unless something in your approach changes. Some traders benefit from practicing in a demo environment after a failure to refine their strategy specifically around the One-Day Challenge requirements. Others discover that their trading style simply isn't compatible with the all-or-nothing, single-session format and would be better served by Trade4U's standard multi-day challenge. Who Should Attempt This Challenge The One-Day Challenge is explicitly designed for a narrow subset of traders. If you're an experienced day trader with a documented track record of consistently generating 4% or higher returns in single sessions, this challenge may suit your skill set. If you thrive under pressure, make sound decisions in time-constrained environments, and have a strategy that naturally produces balanced winning trades rather than relying on occasional large wins, you might find this evaluation appealing. Conversely, this challenge is not appropriate for traders still developing their strategies or testing different approaches. Beginning traders should gain more experience before attempting such a compressed evaluation format. Swing traders or position traders who typically hold positions across multiple days will find the single-session requirement fundamentally incompatible with their methodology. Anyone uncomfortable with all-or-nothing outcomes, who prefers to demonstrate consistency across multiple sessions, or who needs time to adjust to new trading platforms should consider the standard multi-day challenge instead. The psychological aspect deserves particular emphasis. Trading with the knowledge that you have one chance, that the clock is running, that every trade matters, and that falling short of $1,000 by even one dollar means complete failure creates intense pressure. Some traders perform well under such pressure; many do not. The financial risk compounds this stress—you're risking a non-refundable $149 with the knowledge that most traders fail their first attempt. Strategy Considerations and Best Practices Success in the One-Day Challenge requires more than trading skill; it demands strategic planning specific to the format's unique constraints. Before purchasing the challenge, practice your strategy in a demo environment for at least five to ten sessions with the explicit goal of hitting the One-Day Challenge requirements. Don't just practice profitability—practice generating exactly the profit profile the challenge demands: 4% returns with balanced wins, at least 60% win rate, and no single winner exceeding 20% of total profits. If you cannot consistently achieve this profile in simulation, you're not ready for the live challenge. Choose your trading day carefully. Avoid days with major economic announcements unless you're specifically experienced in high-volatility trading and your strategy is designed for such conditions. Look for market conditions that align with your methodology—if you trade trend-following strategies, you want days with directional movement; if you're a mean-reversion trader, you want ranging conditions with clear support and resistance levels. During your session, start conservatively to avoid early drawdown breaches. Your first trade shouldn't risk substantial capital because an early loss not only damages your profit progression but also begins trailing your drawdown limit downward before you've built any buffer. Build your profits gradually rather than attempting to hit your entire target with one or two large trades. Track your consistency percentage after every winning trade. Keep a calculator accessible and update your calculation as you go. If you're approaching the 20% threshold on a single trade, you'll need to deliberately spread your remaining profit requirements across multiple additional winners. Some traders find themselves in a position where they've exceeded $1,000 in profit but realize their largest winner represents 25% of the total, forcing them to execute additional winning trades just to bring the percentage down, even though they don't need the extra profit for the dollar target. Risk management becomes crucial under the time pressure of a single-session evaluation. Never risk more than $100 to $150 per trade, and many successful traders advocate for even smaller risk per trade when starting the session. Use stop losses on every position without exception. Exit losing trades quickly rather than hoping they'll recover—you don't have multiple days to wait out drawdowns.

Last updated on Oct 23, 2025

Trade4U One-Day Challenge: Complete Guide. 2/2

Understanding the Statistical Reality Trade4U doesn't publish official success rates for the One-Day Challenge, but the structural requirements suggest that failure rates significantly exceed those of standard multi-day evaluations. The mathematics are straightforward: you must execute at least five trades, maintain at least a 60% win rate, ensure your winners are balanced enough that none exceeds 20% of the total, never breach a trailing $500 drawdown limit, and hit exactly $1,000 or more in profit—all within a single market session. Each requirement independently presents challenges. Achieving 4% returns in a single day is aggressive by professional trading standards. Maintaining a 60% win rate under time pressure and emotional stress is difficult. The consistency rule eliminates the possibility of hitting your profit target with one or two large winners, forcing a distribution of success across multiple trades. The trailing drawdown means that success begets vulnerability—the more you make, the less room you have for losses. When these requirements combine in an all-or-nothing format, the challenge becomes genuinely difficult. Most traders who attempt this challenge will fail their first try. Many will fail multiple attempts. Some will spend $400 or more in challenge and reset fees before either succeeding or deciding the format isn't suitable for their trading style. This isn't meant to discourage qualified traders but rather to set realistic expectations. The One-Day Challenge is hard by design. It's meant to identify traders who can perform at a high level under extreme constraints and pressure. Comparing to the Standard Challenge Trade4U offers a standard multi-day challenge that presents a less compressed alternative. The standard challenge costs $249 or more depending on account size but provides four or more trading days to achieve a $1,500 profit target (6% return). The maximum loss allowance is $1,500 (6% of the account), and consistency rules are more relaxed, typically allowing 40–50% of profits from a single trading day rather than 20% from a single trade. The fundamental difference lies in flexibility and pressure. The standard challenge allows you to have mediocre days, to recover from losses, to adjust your strategy mid-evaluation, and to demonstrate consistency across multiple sessions. The One-Day Challenge offers none of this—you have one session, one chance, and no room for error. For most traders, especially those without extensive experience, the standard challenge represents a more reasonable proving ground. The slightly higher cost is offset by dramatically higher success rates and lower psychological pressure. The One-Day Challenge should be reserved for traders who specifically want the fastest possible path to funding and have the skill set to handle the compressed format. Frequently Asked Questions The most common point of confusion involves the profit requirement. To be absolutely clear: if you close your trading session with $999.99 in gross profit, you have failed. The requirement is $1,000.00 or more, not "approximately $1,000." Similarly, having $1,200 in realized gains with an open position that has a $300 unrealized loss doesn't give you $900 in passing profit—it gives you automatic failure because you held a position past market close. The drawdown question arises frequently because the trailing mechanism is counterintuitive to many traders. Your drawdown limit starts at $24,500 (your beginning balance minus $500). Once you profit even $1, that limit moves to $24,501 and can never decrease during the session. If your highest account equity reaches $26,000 during the day, your limit becomes $25,500, and dropping to $25,499 would trigger a breach even though you're still $499 above your starting balance. The limit trails your high water mark, not your starting point. Regarding the consistency rule, many traders ask whether losing trades count in the calculation. They do not. Only profitable trades factor into the percentage. So if you have five trades where three win and two lose, only the three winning trades are analyzed to determine if any single winner exceeds 20% of the combined total of those three profitable trades. Position timing questions arise around what constitutes a complete trading day. Your challenge begins when you execute your first trade and must conclude by market close for your instruments. You cannot trade pre-market or after-hours. If the market has an early close (such as the day after Thanksgiving), your requirements don't change—you must still meet all five criteria within the shortened session. Critical Final Considerations Before purchasing the One-Day Challenge, understand that you're entering an evaluation format specifically designed to be difficult. The $149 fee is non-refundable upon failure. The all-or-nothing structure means that meeting four out of five requirements has exactly the same outcome as meeting none—your account closes and your fee is lost. This challenge is appropriate only for experienced traders with proven strategies. If you're uncertain about your ability to consistently hit 4% returns in a single session, if you haven't tested your strategy against the specific requirements of this challenge, if you're uncomfortable with high-pressure trading environments, or if you're still developing your approach, the standard multi-day challenge represents a more appropriate starting point. The One-Day Challenge exists as an option for traders who know their capabilities, have demonstrated success in similar conditions, and specifically want the shortest possible path to funding. For this narrow audience, the compressed format and lower cost structure make sense. For everyone else, slower, more forgiving evaluation paths are available and advisable. By purchasing this challenge, you acknowledge that you've read this complete guide, understand all requirements and restrictions, accept the high probability of failure, and take full responsibility for the risk of losing your challenge fee. Trade4U provides the evaluation framework but makes no guarantees about your success and offers no trading advice or guidance on how to pass. Consider carefully whether this challenge aligns with your skill level, risk tolerance, and trading objectives before committing your capital.

Last updated on Oct 22, 2025