Consistency Rule - Applies to: SIM FUNDED Accounts Only

TradeShield Consistency Rule

How the 30% Consistency Rule Works

1. Rule Overview

• Daily Cap: No single trading day’s net profit (realized gains minus commissions) may exceed 30% of your cumulative net gains up through that day.
  
  




• Goal: Ensure that you build profits steadily, rather than “hitting a home run” with one oversized winning day.
  
  

2. Key Concepts

• Net Profit: Only realized P&L after commissions counts; losing days reduce your cumulative total.
  
  

• Cumulative Net Gains: The running sum of all daily net profits from Day 1 through the current day.
  
  

• Daily Ratio: Calculated each evening as:
  
  Daily Net Profit ÷ Cumulative Net Gains
  
  

  • If ≤ 0.30 → Pass
    
    

  • If > 0.30 → Fail (you must continue trading until your cumulative total grows enough to bring the ratio back to 30% or below)
    
    

3. Why This Matters

• Disciplined Growth: Rewards a series of well-managed, smaller wins over one big, high-risk trade.
  
  

• Risk Control: Prevents excessive leverage or risk on a single position.
  
  

• True Skill Measurement: Confirms you can compound gains consistently under real-world conditions.
  
  

5. Recovering from a “Fail”

• Keep trading to build your cumulative net gains.
  
  

• No account penalty beyond raising the cumulative total requirement.
  
  

• Once your highest day’s profit falls to 30% (or below) of your running total, you’re back in compliance.
  
  

6. Key Takeaways

• Negative Days Help Dilute Big Wins: Losses lower your ratio automatically.
  
  

• Patience Pays Off: Early large gains “fail” but are quickly absorbed by subsequent trading.
  
  

• Discipline Wins: Consistent, smaller gains demonstrate the steady skill that we reward
  
  By following the 30% Consistency Rule, you prove that your performance is driven by consistent strategy and proper risk control - exactly the qualities we look for in funded traders.
  
  

  10-Day Example Below:
  
  

  • Fails on Days 1, 4, 7 are expected early when totals are small or when a new high profit spikes the ratio over 30%.
    
    

  • A Fail does not disqualify you - you simply continue trading until your cumulative net gains grow enough that your largest single-day profit represents ≤ 30% of the total.