Hidden Prop Firm Rules Exposed: Read This Before Buying Any Challenge

Prop firms are businesses. They have risk management algorithms designed to protect their capital. Sometimes, these algorithms flag innocent traders.

1. The "Group Trading" Ban

Why: Firms fear "account syndicates" where one pro trades 50 accounts for others.

Solution: If you live with another trader, contact support before buying. Get written permission (email whitelisting) for your IP address.

2. Martingale & Grid Trading

The Pattern That Gets You Banned

Why: This strategy has ~99% probability of eventually blowing up. Firms hate it because it creates huge, sudden exposure.

Solution: Always use a hard Stop Loss. Never "average down" without a predefined plan with position limits.

3. Tick Scalping / HFT

Why: You might be exploiting a slow price feed on their demo server that doesn't exist in real markets. You're not trading—you're cheating the lag.

Solution: Don't use "Arbitrage EAs" you found on Telegram. They will get you banned 100% of the time.

4. The 30-Second Rule

Some firms (especially DXTrade) have minimum trade duration:

Solution: Check the FAQ for "Minimum Trade Duration" before trading.

5. Third-Party Copy Trading

Why: Firms see identical entries across hundreds of accounts. It's obvious.

Solution: Trade your own account with your own strategy.

6. Weekend Position Closing

Many firms require positions closed before weekend:

The Universal Truth

Summary

1. Contact support if sharing IP/household
2. No Martingale - use stop losses always
3. No HFT/arbitrage - normal scalping only
4. Check minimum hold time - usually 30 seconds
5. Trade your own account - no copy services
6. Always read the FAQ - before every challenge