# Trading Objectives Definitions

**Daily Loss Limit**

The maximum amount of loss a trader can incur within a single trading day before their account is restricted. Exceeding this limit results in immediate suspension to prevent excessive drawdowns.

Example:

Traders are permitted to lose up to 4% of their initial account balance as their Daily Loss Limit.

For instance, if a trader starts with an initial balance of $100,000, their Daily Loss Limit is $4,000.

* This limit does not change, whether the trader is in profit or has previously incurred losses.
* At any point during the day, if the total running and closed losses exceed $4,000, it will be considered a violation of the Daily Loss Limit.

**Maximum Loss Limit**

The total allowable loss a trader can experience over the lifetime of the account. If this limit is breached, the account is terminated, ensuring risk is controlled across all trades. This limit refers to the maximum capital a trader is allowed to lose based on the initial balance. 

**Minimum Trading Days**

The minimum number of separate trading days required before advancing in a challenge or verification phase. This ensures traders demonstrate consistency over time rather than achieving results in a single session.

**Profit Target**

The predefined profit percentage a trader must reach to successfully complete a challenge phase. This serves as a benchmark for evaluating trading performance.<br>


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