FundedHero Futures · Learn
End-of-day drawdown at a prop firm: how EOD trailing works
An end-of-day trailing drawdown only moves when a trading day closes at a new high, and it’s checked against your closing balance, not intraday swings. Every FundedHero Futures plan uses it, in the evaluation and on funded accounts.
What an end-of-day trailing drawdown is
A drawdown is how far your account can fall before it’s breached. “Trailing” means that floor follows your account up as you make money. “End-of-day” means it only follows your closing balance, once per trading day.
At FundedHero Futures it works like this:
- Your first drawdown level is your account size minus your max drawdown.
- When a trading day closes at a new high, the level moves up to stay your max drawdown below that close.
- If a day closes below your previous peak, the level stays where it is. It never moves down.
- Only your end-of-day balance is checked against the level. If a day closes at or below it, the account is breached.
End-of-day vs intraday trailing drawdown
Many prop firms use an intraday trailing drawdown instead. The two sound similar but behave very differently once a trade moves in your favour and then comes back.
| End-of-day trailing | Intraday trailing (typical) | |
|---|---|---|
| What moves the level | Your closing balance | Your highest account value during the session, including open profit |
| When it moves | Once, at the end of the trading day | Any time during the session |
| Open profit you give back | Doesn’t move the level | Can lift the level before you’ve closed the trade |
| When a breach is checked | Against the end-of-day balance | The moment account value touches the level |
The practical difference is open profit. With intraday trailing, a winner that reverses can raise your floor and then take you to it in the same session. With end-of-day trailing, only where you finish the day counts.
Worked example: one bad reversal, two outcomes
Take a $50K account with a $2,000 max drawdown, the figures for Hero ONE and Hero ZERO 1-Step at $50K. Your starting level is $48,000. The 1-Step evaluation has no daily drawdown limit, so only the max drawdown applies.
On day 1 you close at the day’s high, $50,600, so the level moves to $48,600 under either model. On day 2 a trade runs to $51,400 in open profit, reverses and drags the account to $49,300 before you exit. You close the day at $49,500.
| Day 2 | End-of-day trailing | Intraday trailing |
|---|---|---|
| Peak of $51,400 | Ignored | Level moves to $49,400 |
| Low of $49,300 | Ignored | Below $49,400: breached |
| Close of $49,500 | Above $48,600: account fine | Already breached |
| Level after the day | $48,600, unchanged | – |
Same trades, same day. One model ends the account; the other leaves you $900 of room going into day 3.
Worked example: a week of closes
Here’s the same $50K account across five trading days under end-of-day trailing. Your room is always your closing balance minus the level.
| Day | Closing balance | Drawdown level | What happened |
|---|---|---|---|
| Start | $50,000 | $48,000 | Account size minus $2,000 |
| Day 1 | $50,600 | $48,600 | New closing high, level up $600 |
| Day 2 | $49,500 | $48,600 | Lower close, level unchanged |
| Day 3 | $51,100 | $49,100 | New closing high, level up $500 |
| Day 4 | $49,600 | $49,100 | Lower close, only $500 of room left |
| Day 5 | $49,100 | Breached | Closed at the level |
Day 3 shows the trap: a new closing high lifts the floor with it, so a big up day followed by a big down day uses up room fast.
Your max drawdown for your plan and account size is on your plan's rules page — see all plans.
| Day | Closing balance | Drawdown level | Room left |
|---|
Only the end-of-day balance counts; intraday swings don't move the level. The level only goes up, never down. Your plan's rules page always decides.
StartDayBreached — closed at or below the levelAccount fineCurrent drawdown levelroom lefthighest closeHow FundedHero Futures applies it
- All six plans use an end-of-day trailing drawdown, in the evaluation and on funded accounts.
- “End of day” is the 6:00 PM ET trading-day rollover. The balance when the server rolls over is your closing balance.
- Open positions are closed automatically at 4:10 PM ET on regular trading days, so your closing balance is normally set by then. Nothing resets between 4:10 PM and 6:00 PM ET. On early holiday closes, positions aren’t closed automatically, so manage them yourself.
| Plan | Max drawdown by account size |
|---|---|
| Hero X | $1,250 to $4,500 in the evaluation; $1,000 to $4,500 funded |
| Hero ONE and ZERO 1-Step | $1,250 to $4,500 |
| Hero ONE and ZERO 2-Step | $2,300 to $7,500 in Phase 1 and funded; $1,725 to $5,625 in Phase 2 |
| Hero Live | $500 to $5,000 |
Daily drawdown limits are a separate rule
Don’t confuse max drawdown with a daily drawdown limit. Max drawdown is tested against your closing balance. A daily drawdown limit is a separate cap on how much you can lose in one trading day, and the rules say reaching it breaches the account immediately. It starts fresh at each 6:00 PM ET reset.
Hero X has no daily limit. Hero ONE and ZERO 1-Step have one on funded accounts only, the 2-Step plans in Phase 2 and funded, and Hero Live from $50K up.
Intraday swings don’t count against your max drawdown, but on plans with a daily limit, an intraday loss can still end the account.
Trading with an end-of-day drawdown
- Know your room each morning. Closing balance minus level is your real risk budget.
- Respect new highs. A strong close raises the floor, so don’t size up the day after a big winner.
- Watch the daily limit on funded accounts. Where a plan has one, it’s usually the tighter number intraday.
- Exit before 4:10 PM ET. Choose your close rather than letting the auto-close choose it.
Frequently asked questions
What is an end-of-day drawdown at a prop firm?
It’s a trailing drawdown that only updates from your closing balance. The level starts at your account size minus your max drawdown, moves up when a day closes at a new high, never moves down, and is only checked against the end-of-day balance.
Does open profit count toward an end-of-day drawdown?
Not at FundedHero Futures. The drawdown level is based on your end-of-day balance and doesn’t adjust during live trades, so open profit you give back before the close doesn’t move it.
What time is end of day for the drawdown?
6:00 PM ET, when the trading day rolls over. The balance at that moment is the closing balance used for your drawdown level.
Is end-of-day drawdown better than intraday trailing?
It’s more forgiving of intraday swings, because only your close moves or tests the level. You still need to size carefully: a close at or below the level breaches the account, and some plans also have a daily limit that applies immediately.
Does every FundedHero Futures plan use an end-of-day drawdown?
Yes. Hero X, Hero ZERO, Hero ONE and Hero Live all use an end-of-day trailing drawdown, in the evaluation and on funded accounts. The max drawdown amount depends on the plan and account size.
Examples are illustrations of how the rule works, not trade recommendations. FundedHero Futures accounts are simulated trading environments for evaluation and education, and payouts depend on following the rules. Rules can change; the official rules pages are the current reference. Futures trading involves substantial risk.
Trade with an end-of-day drawdown
Every FundedHero Futures plan uses it. Pick the one that fits how you trade.
