The5ers $20,000 Challenge — Position Size Calculator

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Firm Rules Summary

Risk Guide

Your The5ers 20k account has a $600 daily loss limit - that's your hard stop every single day. At 1% risk ($200 per trade), you can take exactly 3 consecutive losers before hitting this limit. Jump to 2% risk ($400 per trade), and just 1.5 losing trades puts you in breach territory. This is where most traders get eliminated. The real danger with this account size is the tight margin for error. Many traders think $20k sounds substantial, but $600 daily loss disappears fast. If you're trading correlated pairs like EURUSD and GBPUSD simultaneously at 1% each, two losing trades wipe out $400 of your $600 limit, leaving just $200 buffer for the rest of the day. For position sizing math: EURUSD with 30-pip stop at 1% risk = $200 ÷ 30 = $6.67 per pip = 6.67 mini lots. GBPUSD with 40-pip stop = $200 ÷ 40 = $5 per pip = 5 mini lots. Gold with $20 stop = $200 ÷ $20 = 10 mini lots. Always calculate position size as: (Account × Risk%) ÷ Stop Loss. The 6% max drawdown ($1,200) is your ultimate boundary. Unlike daily loss which resets overnight, this follows you throughout the entire challenge. Hit -$1,200 total drawdown and you're done, regardless of daily performance. Once you pass the challenge and get funded, nothing changes in terms of risk management. The5ers doesn't adjust rules between challenge and live phases - same 3% daily loss, same 6% max drawdown. Your $2,000 profit target becomes profit share potential, but the risk parameters remain identical. Smart traders on this account rarely exceed 0.75% risk per trade. This allows 4 consecutive losses before approaching daily limits, providing essential breathing room for drawdown periods that will inevitably come.

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