Knowledge Base

Welcome to thePropTrade Knowledge, your go-to resource
for all things prop trading.

Content area
Trading Rules and Guidelines

What are the Prohibited Trading Strategies?

Estimated reading: 3 minutes

You are free to trade in any style you prefer as long as your strategy reflects real market conditions, uses responsible risk management, and avoids any form of prohibited trading behavior. Your trading must be realistic, repeatable on a live account, and capable of showing consistent performance over time.

While using a Stop Loss is not mandatory, we recommend implementing proper risk controls to protect your capital and maintain long-term stability.

We do not tolerate strategies that fall outside genuine, responsible trading. These strategies are listed below and in our General Terms and Conditions, under the section Prohibited Trading.

Prohibited Trading Strategies

Arbitrage, Latency, and Price Exploitation

Any strategy that takes advantage of latency, price delays, feed discrepancies, or platform inefficiencies.

Coordinated Trading & Copying

Copying trades from other traders, sharing accounts, using third-party EAs with identical trade behavior, or coordinating trades across multiple accounts or entities.

Account Sharing or Account Management Services

Only the account owner may trade. Letting someone else trade on your behalf is strictly prohibited.

High-Frequency or Ultra-Short-Term Trading

Strategies where most trades last only a few seconds or execute large number of trades within extremly short timeframes are classified as high-frequency activity.

Grid Trading, Gap Strategies & Exploiting Low Liquidity

Using grid systems, opening trades near market close to exploit gaps, or using news exploitation strategies that do not reflect genuine trading behavior.

Overexposure & Gambling Behavior

Using more than 70% of margin, risking 3% or more of your initial account balance on a single trade idea, going all-in, or relying on “luck” on single big wins. Passing evaluation using All-In strategy where the trader relies on single profitable trade to pass the evaluation is not allowed. 

One-sided bets

Consistently placing trades in only one direction (long or short) without regard for market conditions or sound analysis.

Account Rolling

High-risk practice where multiple evaluation accounts are purchased in quick succession, with some accounts being intentionally sacrificed while focusing on passing others. This method relies on probability rather than skill, disregarding proper risk management and market analysis.

Suspicious or Non-Commercial Activity

Any behavior that appears manipulative, artificial, or inconsistent with real trading conditions, including activity that may harm the platform or distort trading metrics

Warning: Using Prohibited Strategies Leads to Account Termination

Any violation of the prohibited trading rules will result in corrective or disciplinary action. This may include, but is not limited to, adjustment of account parameters, denial or reversal of payouts, removal of profits, temporary suspension, or permanent account termination.

Traders are expected to operate with integrity and apply strategies that demonstrate consistency, professionalism, and long-term trading viability.

Share this Doc

What are the Prohibited Trading Strategies?

Or copy link

CONTENTS