--- title: How does the Max Drawdown Trailing on EOD (End-of-Day) Balance work on Futures Prime? description: When a Futures Prime Challenge or Scaling Plan mentions that its Max Drawdown is trailing on its EOD Balance, this means that the Max Drawdown will adjust upward based on your End-of-Day Balance (clos --- [Skip to content](https://support.thetradingpit.com/what-is-max-drawdown-trailing-on-eod-end-of-day-balance#main-content) - [English](https://support.thetradingpit.com/what-is-max-drawdown-trailing-on-eod-end-of-day-balance) - [Bahasa Melayu (Malay)](https://support.thetradingpit.com/ms/what-is-max-drawdown-trailing-on-eod-end-of-day-balance) - [Deutsch (German)](https://support.thetradingpit.com/de/was-ist-max-drawdown-trailing-on-eod-end-of-day-balance) - [Español (Spanish)](https://support.thetradingpit.com/es/qué-es-max-drawdown-trailing-on-eod-end-of-day-balance) - [Italiano (Italian)](https://support.thetradingpit.com/it/che-cosè-il-max-drawdown-trailing-sul-saldo-eod-end-of-day) - [Português - Portugal (Portuguese - Portugal)](https://support.thetradingpit.com/pt-pt/o-que-é-o-max-drawdown-trailing-no-saldo-eod-fim-do-dia) - [Tiếng Việt (Vietnamese)](https://support.thetradingpit.com/vi/max-drawdown-trailing-trên-số-dư-cuối-ngày-eod-là-gì) - [Türkçe (Turkish)](https://support.thetradingpit.com/tr/eod-gün-sonu-bakiyesinde-i̇zleyen-maksimum-düşüş-nedir) - [العربية - مصر (Arabic - Egypt)](https://support.thetradingpit.com/ar-eg/ما-هو-الحد-الأقصى-للتراجع-المتتابع-على-رصيد-نهاية-اليوم) - [日本語 (Japanese)](https://support.thetradingpit.com/ja/what-is-max-drawdown-trailing-on-eod-end-of-day-balance) - [简体中文 (Chinese - Simplified)](https://support.thetradingpit.com/zh-cn/什么是-eodend-of-day余额最大缩减跟踪) English Show submenu for translations [![logo-dark-4](https://support.thetradingpit.com/hubfs/logo-dark-4.svg)](https://www.thetradingpit.com/) - [Client Area](https://client-area.thetradingpit.com/) - [The Trading Pit Website](https://thetradingpit.com/) Open main navigation Close main navigation - [Client Area](https://client-area.thetradingpit.com/) - [The Trading Pit Website](https://thetradingpit.com/) - - [English](https://support.thetradingpit.com/what-is-max-drawdown-trailing-on-eod-end-of-day-balance) - [Bahasa Melayu (Malay)](https://support.thetradingpit.com/ms/what-is-max-drawdown-trailing-on-eod-end-of-day-balance) - [Deutsch (German)](https://support.thetradingpit.com/de/was-ist-max-drawdown-trailing-on-eod-end-of-day-balance) - [Español (Spanish)](https://support.thetradingpit.com/es/qué-es-max-drawdown-trailing-on-eod-end-of-day-balance) - [Italiano (Italian)](https://support.thetradingpit.com/it/che-cosè-il-max-drawdown-trailing-sul-saldo-eod-end-of-day) - [Português - Portugal (Portuguese - Portugal)](https://support.thetradingpit.com/pt-pt/o-que-é-o-max-drawdown-trailing-no-saldo-eod-fim-do-dia) - [Tiếng Việt (Vietnamese)](https://support.thetradingpit.com/vi/max-drawdown-trailing-trên-số-dư-cuối-ngày-eod-là-gì) - [Türkçe (Turkish)](https://support.thetradingpit.com/tr/eod-gün-sonu-bakiyesinde-i̇zleyen-maksimum-düşüş-nedir) - [العربية - مصر (Arabic - Egypt)](https://support.thetradingpit.com/ar-eg/ما-هو-الحد-الأقصى-للتراجع-المتتابع-على-رصيد-نهاية-اليوم) - [日本語 (Japanese)](https://support.thetradingpit.com/ja/what-is-max-drawdown-trailing-on-eod-end-of-day-balance) - [简体中文 (Chinese - Simplified)](https://support.thetradingpit.com/zh-cn/什么是-eodend-of-day余额最大缩减跟踪) English Show submenu for translations How can we help you? - There are no suggestions because the search field is empty. 1. [TheTradingPit Help Center](https://support.thetradingpit.com/?hsLang=en) 2. [Trading Rules](https://support.thetradingpit.com/trading-rules?hsLang=en) 3. [Futures](https://support.thetradingpit.com/trading-rules?hsLang=en#futures) # How does the Max Drawdown Trailing on EOD (End-of-Day) Balance work on Futures Prime? Futures Prime Challenges and Earning accounts Max Drawdown is trailing on its End of the Day (EOD) Balance. This means that the Max Drawdown will adjust upward based on your End-of-Day Balance (closed P&L), not intraday peaks. However, the trailing will stop once it reaches the starting balance. **Example:** John purchased a Challenge with a $100,000 starting balance and a Max Drawdown of 10% (trailing on EOD Balance), meaning his Max Drawdown limit is initially set at $90,000. \- Day 1: John’s EOD balance is $102,000. His Max Drawdown limit adjusts upward to $92,000 based on this EOD balance. \- Day 2: During the day, John’s account balance (closed P&L) briefly reaches $105,000, but he ends the day with a balance of $104,000. His Max Drawdown limit adjusts upward to $94,000 based on the new EOD balance. \- Day 3: John makes some trades, and his EOD balance falls to $100,000. His Max Drawdown limit remains at $94,000, as it does not decrease when the EOD balance drops. \- Day 4: John’s EOD balance increases to $106,000. His Max Drawdown limit adjusts upward to $96,000. However, if his EOD balance grows beyond $110,000, the Max Drawdown will stop trailing upward, as it cannot exceed the starting balance ($100,000 in this case). **Key Points:** 1\. The Max Drawdown only trails upward at the end of each trading day based on the EOD Balance. 2\. Intraday peaks do not affect the Max Drawdown limit. 3\. Once the Max Drawdown adjusts upward, it never moves downward, even if the EOD balance decreases. 4\. The trailing Max Drawdown stops once it reaches the starting balance. This means that any additional gains above the starting balance provide more trading flexibility without increasing the Max Drawdown. 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