- This is important when trading a prop funded account, as the account loss limits are in percentages.
ie 5% daily loss and 10% maximum account loss which is the benchmark as initialised by FTMO.
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Also as the trade account size increases, the trade size also increases proportionately. eg 1% gain on 10,000 usd account = 100 usd whereas for a 100,000 usd account = 1000usd. The effort is the same in terms of risk, however if this concept is not built in to ones trading style the size and profit / loss on any trade will affect the emotional and psychological aspects relating to effective trade execution.
