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Trailing vs static drawdown, in one chart's worth of words

2026-10-21 · FundedQuants Desk

Every evaluation has a floor. Where that floor sits — and whether it moves — decides how much room you really have.

Static floors stay put

On a $50,000 Pulse account the evaluation floor is 10% below the start: $45,000. Make $3,000 and the floor is still $45,000, so you now have $8,000 of room. Profit adds to your cushion.

Trailing floors follow your peak

On a $100,000 Two-Step account the floor starts at $90,000 and rises with your highest equity. Reach $104,000 and the floor becomes $94,000; your room is still $10,000, measured from the peak. Once the peak passes $110,000 the floor locks at $100,000 and stops moving.

What it means for sizing

With a trailing floor, giving back open profit costs you room. Take partials, move stops behind price, and size the next trade from the distance to the floor — the FQ Terminal shows it live in the objectives panel.