FundedNext Max Drawdown Rule, Explained
Rules verified 2026-07-09 · official source
FundedNext's max loss line is static (fixed line, never moves). Hit the line — even for a moment — and the account fails.
How the line moves
FundedNext uses a fixed line: it's set when your account opens and it never moves, up or down. Profit doesn't tighten it, and losses don't get extra room. That makes it the most forgiving drawdown style to trade around — you always know exactly where the line is.
Max loss (10%) is STATIC — a fixed floor at 90% of your starting balance that never trails.
The numbers, by account size
Rule mechanics are identical across FundedNext sizes — only the dollar amounts scale.
| Plan | Max drawdown | Type |
|---|---|---|
| 50K Stellar 2-Step | $5,000 | Static |
| 100K Stellar 2-Step | $10,000 | Static |
How traders actually breach it
The classic breach: sizing up after losses. A static line means every loss spends permanent room — a $5,000 budget for the whole account, not per day.
TradersGuild tracks this rule live against your trade log and alerts you while there's still room — "you're $220 from the line" beats finding out from a breach email. Tracking is free for your first account.
Recent FundedNext rule changes
2026-07-09 — Added — Stellar 2-Step: static 10% max loss (floor at 90% of start), 5% daily, 8%→5% targets, 5 minimum trading days, no consistency rule.
FAQ
Is FundedNext's drawdown static or trailing?
It's static (fixed line, never moves).
Does open (unrealized) profit move the FundedNext drawdown line?
No — the line is fixed from day one and never moves.
What happens if I touch the FundedNext max loss line?
The account fails immediately — even a momentary touch by open equity counts. There is no warning and no grace amount, which is why tracking your live distance to the line matters.
Stop memorizing rules. Track them.
TradersGuild encodes these exact rules and recomputes every line the moment you log a trade — live meters, and a warning while you still have room. Runs on the trades you log. Free for your first account.