Free tools

Prop drawdown calculator

Most prop challenge failures come from breaking a drawdown (loss-limit) rule. Enter your account size and rules (daily and max loss, static or trailing) and this shows the loss-limit amounts, the fail lines, and how much room you have right now. You input every rule yourself (no firm presets or recommendations) — use your prop firm’s official docs for the real values.

Current state (optional — headroom right now)

Result

Daily loss limit
5,000 USD
Today's fail line
95,000 USD
Daily remaining
5,000 USD
Max loss limit
10,000 USD
Max fail line
90,000 USD
Overall remaining
10,000 USD
Safe headroom (smaller)
5,000 USD
Profit target
8,000 USD
Profit progress
0 USD (0%)

How to use it

  1. 1 Enter your account size and currency.
  2. 2 Enter the daily and max loss limits as a % (of the account) or an amount, and pick the max-loss type: static or trailing.
  3. 3 (Optional) Add your current equity and high-water mark to see your headroom right now.
  4. 4 Read the loss limits, fail lines, and safe headroom (the smaller of daily and overall).

How it is calculated

Daily limit = account × daily% (or the amount entered); today’s fail line = day-start balance − daily limit. Max limit = account × max% (or amount). The fail line is account − max limit (fixed) for static, or high-water mark − max limit for trailing (it follows your highs). Remaining = equity − fail line. Safe headroom = the smaller of the daily and overall remaining. These are reference figures; the calculation basis (balance/equity) and reset time vary by firm.

Frequently asked questions

How is trailing drawdown different?

Trailing means the fail line rises each time the account makes a new high, so giving back profit you already made can disqualify you even though your principal is unchanged. Static keeps the fail line fixed to the starting account. Switch the "max-loss type" to compare both.

Balance or equity — which is it calculated on?

Most firms use equity, which includes unrealised P&L. Put your live equity into "current equity" to see your headroom right now. The basis varies by firm, so check the official docs.

Does this calculator guarantee a pass?

No. It’s a reference tool that computes loss limits and headroom; it does not guarantee passing or profit. It is not investment advice and does not recommend any firm.

Do I pick a firm to load its rules?

No. Merini does not rate or recommend prop firms, so there are no firm presets. Enter your firm’s official rules yourself.

Put the numbers to work

Practice these positions risk-free on the Merini demo — real-time charts and paper trading with virtual funds, in your browser, no install.

Open the free demo

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This content is for information and education only and is not investment advice or solicitation. Trading conditions (hours, margin, fees, tick value, etc.) vary by exchange, broker, time, and daylight saving — always verify with your own broker before trading. Derivatives trading can result in losses exceeding your deposit.