Max drawdown: static and trailing

Max drawdown is the furthest your equity can fall. It's a % of the starting balance, and touching the floor fails the account.

Static drawdown (Core, Pro, Apex)

The floor is fixed at the starting balance minus the drawdown %. It never moves. On a $25K Pro account with 5% static drawdown, the floor is $23,750 for the life of the account.

Trailing drawdown (Edge)

The floor sits the drawdown % below the highest equity the account has reached. As equity makes new highs the floor follows it up; when equity falls, the floor stays where it is. Once the floor reaches the starting balance it stops rising, so it can never be above what you started with.

On a $25K Edge account with 4% trailing drawdown, the floor starts at $24,000. If equity peaks at $25,600, the floor rises to $24,600. Once equity has reached $26,000, the floor is locked at $25,000.

Drawdown is measured on equity, including open positions. A trade that's losing on paper counts towards the floor even before you close it.