CFT 1-Phase: trailing loss and its locking floor
Work through Crypto Fund Trader's 1-Phase balance-based trailing floor with an original hypothetical example, retaining equity monitoring and the separate daily limit.
Separate the tracking base from breach measure
The FAQ says 1-Phase trailing loss tracks the highest balance, while a breach is checked on equity. A balance high can raise the floor even if later floating losses remain unclosed.
Sources for this section
cryptofundtrader.com — official documentation cryptofundtrader.com — official documentation cryptofundtrader.com — official documentation cryptofundtrader.com — official documentation
Diagram explained
Check the recorded terms before acting
- Initial 6% virtual allowance
- Highest balance moves the floor
- Equity must respect both limits
Use a fixed initial allowance
For hypothetical initial virtual capital of USD 50,000, 6% is USD 3,000: the starting floor is USD 47,000. This is a rule illustration, not cash available to lose.
Follow the rise and lock
If the highest balance becomes USD 52,000, the illustrative floor rises to USD 49,000. At the initial-balance lock, it stays at USD 50,000 rather than trailing forever.
Keep the daily test independent
Passing the trailing-floor test does not remove the separate 1-Phase daily-loss rule. Record snapshot balance, highest balance and live equity as three different fields.
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Sources and scope
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