Looking to pass a funded trading challenge. These top tips will help. The Funded Trading Plus Talented Trader Program is designed to help us find unquestionably talented traders. The rules are simple for you to follow and we do not ask you to do anything except identifying potential market moves. This skill is all we are interested in. If you can consistently do this you will be invited to join our funded trader program.
Before suggesting some tips let’s focus on what you don’t need to do. These are used by most other Funded Trading firms and are the main reasons why most traders fail these firms tests and are an opportunity for the firms to take further subscriptions or reset fees from their users:
We have no money management rules for you to conform to.
We have no drawdown limits.
There are no news events you need to avoid.
There is no minimum time window.
There is no maximum time window.
Our top tips to pass funded trading tests
1. Focus on a small number of markets
You are better off learning the individual quirks and personality of a few rather than randomly trade across all the markets we have available to you. No market responds in the same way as another consistently and it may be better to become an expert in less rather than more and spreading yourself too thinly.
2. Use technical analysis rather than fundamental analysis
Fundamental analysis looks at the intrinsic value of the market and makes predictions into the changes of the value in the future. Most classic fundamental analysis is done on a long-term timeframe i.e. weeks, months, or years. As such this analysis is best deployed by fund managers who may hold a large number of markets over a long period.
The Talented Trader Program task is to execute 125 trades consecutively, a trader using fundamental analysis for this could take years to complete the task.
Learn about the differences between Fundamental and Technical analysis here.
3. Set aside a set window for your trading each day
Profitability in trading usually follows when a trader becomes consistent and works a set time period each day. The length of time and what time of day you have available will influence which markets you trade and what style of trading you will use.
4. Don’t change your trading style
You may need to make some changes to your trading style but don’t drastically change it. This is your opportunity to shoot for gold, making changes now is more likely to lead to failure rather than success.
You will need to examine your past trading and whether you can meet the main goal of the task using your trading strategies – find 1:2 risk:reward trades. This might mean some fine-tuning is required.
5. Don’t close a losing trade
This one is simple but not necessarily obvious, especially if you are used to closely managing your trades to reduce the loss on trades. Our task is measured as a win or a loss or a no-trade. There is no difference between a small loss and a big loss, so when you are in a trade and it is losing but has not hit its stop then leave it. Why take the loss if it could still become a winner or a no-trade? The only time you might close a losing trade is if you think your next trade is certainly going to be a winner and you can’t do the next trade until this one is closed.
6. Consider protecting trades from loss
If your trade is in a winning position you can move your stop to a breakeven entry position. If the market then hits your stop this trade is not counted against your 125 task. In other words, you get another go. How best to use this is down to the personal trading style of each trader.
7. Be realistic about how long the task will take
How long it will take to execute 125 trades is down to your trading style and the timeframes in which you trade. Analyze your own trading to give yourself an idea of how long it will take you to pass our test. To date, the quickest finishing period is 5 weeks.
8. Use Trade Room Plus
The Trade Room Plus live trade room is a great source of mentoring and learning in a live trading environment. Interaction with other like-minded trading professionals will help keep you focused and may give you good trade ideas. The professional traders at Trade Room Plus helped create Funded Trading Plus and are able to guide you through the program. All Talented Trader Program traders are given free access to Trade Room Plus for the duration of their program.
How to pass funded trading tasks
Here are 8 tips to help you pass funded trading tasks:
- Focus on a small number of markets
- Use Technical Analysis
- Set aside a daily trading window
- Don’t change your trading style
- Don’t close losing trades
- Consider protecting trades from loss
- Be realistic
- Use Trade Room Plus
How to start the Funded Trading Plus Talented Trader Program
There are three Funded Trading Plus Talented Trader Programs. Each program offers a maximum Funded Trader account of $60,000, $100,000 or $500,000. Traders who win 55% of their trades are also given a cash starting bonus of £5,000, $10,000, and $20,000 respectively. Click and scroll down this page to see the benefits of each program and get started.
Please comment on this post, note anything you think this post is missing and we’ll update it. Here are some questions to help you:
Which do you think is the most important tip and why?
What tip would you add?