Discussion of article "Take a few lessons from Prop Firms (Part 1) — An introduction"

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New article Take a few lessons from Prop Firms (Part 1) — An introduction has been published:

In this introductory article, I address a few of the lessons one can take from the challenge rules that proprietary trading firms implement. This is especially relevant for beginners and those who struggle to find their footing in this world of trading. The subsequent article will address the code implementation.

Proprietary trading firms are financial institutions that fund freelance traders while splitting the profits. They offer a great way for good traders to increase their earnings. They also give traders a sense of accomplishment for being recognised when accepted for funding.

They implement a set number of rules and requirements, including minimum metrics for the funded traders, to guarantee continual and consistent returns for both parties. They have a vested interest in evaluating and maintaining a prolonged relationship with successful traders, so their requirements serve as a good comparison to evaluate one’s metrics.

I have researched several well-known prop firms and compiled a summary of the most common requirements imposed by most of them. This initial article will focus on describing these requirements, while future articles will focus on how to implement them in MQL programs. For now, use these as guidelines to evaluate your manual or algorithmic trading, and hopefully, they can help you become a consistent and successful trader.


Prop firm trading


Author: Fernando Carreiro

 
Good Article. Those traders who dont use SL, are usually hedger, I would be interested to know the information on hedging with different position sizing methods such as pyramid method
 

I like how it uses something most traders agree is "proper" to help convince them about something they don't want to maybe admit or examine.

Great article , waiting for part2

 
Arpit T #: Good Article. Those traders who dont use SL, are usually hedger, I would be interested to know the information on hedging with different position sizing methods such as pyramid method
Lorentzos Roussos #: I like how it uses something most traders agree is "proper" to help convince them about something they don't want to maybe admit or examine. Great article , waiting for part2

Thank you! 🙏

Already working on part 2—a MQL5 Service to monitor the account for drawdown limits and lack of stops. Also working on the Portuguese translation.

 
Great work Fernando, well done!
 
Interesting article, thank you Fernando.
 
Eleni Anna Branou #: Great work Fernando, well done!
Alain Verleyen #: Interesting article, thank you Fernando.

Thank you! 🙏

 
Fernando Carreiro #:

Thank you! 🙏

Great work, Fernando. Very well done and summarized.  👍

I'll recommend this in my Morning Briefing channel and Newsletter because this is relevant content for every serious trader. 

We're looking forward to more content like that.  

Best regards,
Daniel

 
Daniel Stein #: Great work, Fernando. Very well done and summarized.  👍 I'll recommend this in my Morning Briefing channel and Newsletter because this is relevant content for every serious trader.  We're looking forward to more content like that. Best regards, Daniel

Thank you! I am honestly somewhat surprised by the praise received from the various users.

 
Great work, Fernando. Thanks for the article.
 

Thank you, the article is very interesting!

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