Passing isn't about being a genius; it's about discipline. Here is a step-by-step guide to passing.
I'll use the Two-Step Challenge as our example.
Rule #1: Survive the Drawdowns (This is 90% of the battle)
You have two “death” limits:
- 5% Daily Loss: Your equity cannot drop 5% from your initial balance in a single day.
- 10% Max Loss: Your equity can never go 10% below your initial balance.
How to Beat It: Use 1% Risk Per Trade. This is the golden rule. On a $100k account, your daily loss limit is $5,000. If you only risk 1% ($1,000) per trade, you would have to lose 5 trades in a row on the same day to fail. This is highly unlikely for a good trader.
Rule #2: Be Patient (The 10% Profit Target)
In Phase 1, you need to make 10% ($10,000 on a $100k account). The best part? You have unlimited time.
How to Beat It: Don't rush. Don't try to pass in one day. With a 1% risk-per-trade strategy and a 1.5:1 or 2:1 risk/reward ratio, you only need 5-7 winning trades (net) to pass. That's it. You could do that in two weeks or two months. It doesn't matter. Discipline over speed.
Rule #3: Follow the “Fine Print”
HyroTrader has a few specific rules you must follow:
- Mandatory Stop Loss: You MUST use a stop loss on every trade. Don't forget this!
- Minimum Trading Days: You must trade for at least 10 days in Phase 1 and 5 in Phase 2. Even if you hit the profit target on Day 1, you'll need to open small, low-risk trades for the remaining days to meet the requirement.
My 3-Step Plan to Pass
- Have a Written Strategy: Know your entry, exit, and stop loss before you place the trade.
- Set Your Risk: Calculate your position size to be 1% (or less) of your account.
- Execute & Wait: Set your stop loss immediately. Set your take profit. Walk away. Don't stare at the chart.
Passing is a test of consistency, not heroism. Trade like a professional, and you'll get funded.
Think you have what it takes?
Click here to start your HyroTrader Challenge and get funded.
