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FTMO Challenge & Verification
Pine Script Strategies for the FTMO Challenge — Two-Stage Eval Rules, Instrument Guide & How to Pass
FTMO's two-stage evaluation ends trades the same way every time: one oversized losing day that blows the 5% daily loss limit. Pine Scripts with fixed-risk entries and bar-close confirmation eliminate that failure mode entirely — here's how ours are built for FTMO's specific rule set.
FTMO evaluation rules — Challenge and Verification
FTMO uses a two-phase process: a Challenge with a 10% profit target, followed by a Verification with a 5% target. Both phases run under identical risk rules. Pass both and you receive a funded FTMO account with an 80–90% profit split.
| Rule | Challenge | Verification | Funded Account |
|---|---|---|---|
| Profit target | 10% of balance | 5% of balance | No target — just don't breach limits |
| Max daily loss | 5% of balance | 5% of balance | 5% of balance |
| Max total loss | 10% of balance | 10% of balance | 10% of balance |
| Minimum trading days | 4 days | 4 days | None |
| Time limit | None | None | None |
The critical detail most traders miss: FTMO's 5% daily loss is calculated on the initial balance of that phase — not your current equity. On a $10,000 Challenge account, you cannot lose more than $500 in any single day, regardless of whether you're up $800 on the week. A trader who's up $900 on the Challenge still gets failed if they lose $501 on a single day.
Why the 5% daily loss ends most FTMO evals
It's not the amount — it's the behavior it triggers. A trader takes a stop-out ($150 loss), feels like they need to recoup, takes a second trade without waiting for a proper setup, loses another $200. Now they're down $350, time pressure kicks in, they size up on the next trade trying to recover — and they're done. All in one morning.
A Pine Script removes every link in that chain. There is no emotional response to a loss because there is no decision point. The script fires when its conditions are met and doesn't fire when they're not. A losing trade is just a losing trade — the script waits for the next valid signal and ignores the previous result entirely.
FTMO account sizes and what they mean for position sizing
| Account size | Daily loss limit (5%) | Max total loss (10%) | Recommended 1R |
|---|---|---|---|
| $10,000 | $500 | $1,000 | $100 (1% of account) |
| $25,000 | $1,250 | $2,500 | $250 |
| $50,000 | $2,500 | $5,000 | $500 |
| $100,000 | $5,000 | $10,000 | $1,000 |
| $200,000 | $10,000 | $20,000 | $2,000 |
At 1% risk per trade (1R = 1% of account), you'd need to lose 5 consecutive trades in a single day to breach the daily limit. Our scripts are designed to fire at most 2–3 signals per session on index instruments — making a daily limit breach from normal strategy behavior effectively impossible.
Instruments — what to trade on FTMO with a Pine Script
FTMO trades CFDs, not direct futures — so the instrument mapping matters. Here's how our Pine Script setups translate to FTMO's available instruments:
| Our strategy target | FTMO equivalent | Session | Notes |
|---|---|---|---|
| NQ (Nasdaq futures) | NAS100 / US Tech 100 | 9:30 AM – 4:00 PM ET | Closest direct analogue. Same underlying, CFD pricing. |
| ES (S&P 500 futures) | US500 / SP500 | 9:30 AM – 4:00 PM ET | Lower volatility than NAS100, more consistent intraday ranges. |
| YM (Dow Jones futures) | US30 | 9:30 AM – 4:00 PM ET | Works with our index strategies, less liquidity than NAS100. |
| GC (Gold futures) | XAUUSD | London + NY session overlap | Our Gold strategy ports directly. Highest volatility of the group. |
| Custom FX pairs | EURUSD, GBPUSD, etc. | London + NY overlap | Custom plan only — specify the pair and session in the order form. |
For most traders running our off-the-shelf scripts on FTMO, NAS100 is the primary recommendation. It mirrors NQ behavior, has tight spreads on FTMO's platform, and our NQ-based strategies have the deepest backtest history of any instrument we support.
FTMO's news trading restriction
FTMO prohibits trading during high-impact news events on the eval. Specifically: opening a new position in the 2 minutes before and 2 minutes after a high-impact news release is a violation that can void the Challenge. Our Pine Scripts support a configurable news blackout session filter that pauses entry signals around major scheduled events (NFP, CPI, FOMC, etc.) and resumes automatically after the window clears.
The two-stage structure — passing Challenge then Verification
Most traders treat the Verification as a formality and blow it by switching their mindset. The Challenge is over, they feel pressure to prove themselves on the live-funded stage — and they take risks they wouldn't have taken during the eval. The Verification has the same risk rules as the Challenge. The only things that change are the profit target (5% instead of 10%) and the fact that you're closer to a funded account.
Run the same strategy, same size, same session filter on the Verification that you ran on the Challenge. A Pine Script makes this automatic — the parameters don't change, the position sizing doesn't change, and the emotional pressure to do something different doesn't get a foothold because there's no decision to make.
How our Pine Scripts handle every FTMO rule
- Fixed risk per trade. Stop-loss size is pre-coded. The strategy cannot snowball into a daily-limit breach — position sizing is set relative to account size and stays constant.
- Bar-close entries only. No repainting, no false signals on intrabar wicks. What backtests is what executes live.
- One entry per signal. No averaging down, no re-entries on the same setup. One signal = one trade. Period.
- Daily kill switch. Configurable daily loss threshold — when cumulative session losses hit the threshold, no new entries fire. Existing open positions are allowed to reach their natural stops.
- News blackout filter. Pauses entry signals during configurable time windows around high-impact news. Set your own blackout windows in the script settings.
- TradersPost webhook alerts. Fires to TradersPost for execution into your FTMO MT4/MT5 or cTrader account — fully hands-off signal delivery.
Which plan fits an FTMO trader?
The Pro plan ($80) covers NAS100, US500, and US30 setups — the index CFDs that best match our NQ and ES strategy logic. If you want to run XAUUSD (Gold CFD), the Pro plan also includes our Gold strategy. For FX pairs or highly customized entries, the Custom plan ($120) lets you spec the exact pair, session, indicator set, and risk parameters — delivered in 3–5 business days.
Pass the FTMO Challenge without risking the 5% daily limit.
Fixed-risk entries, news blackout filter, daily kill switch built in. Pine Script + PDF guide, instant email delivery. Works on the free TradingView plan.
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Frequently asked questions — FTMO
Can I run an automated EA on the FTMO Challenge?
Yes. FTMO permits expert advisors and automated strategies on the eval, with one condition: the strategy must be your own logic — not a public signal that thousands of other traders run simultaneously. Our scripts are sold as individual private licences per buyer with no shared signals, which satisfies FTMO's policy. Always confirm the current FTMO TOS before connecting automation to a funded account.
What instrument should I trade on FTMO?
For our off-the-shelf scripts, NAS100 (FTMO's name for the Nasdaq 100 CFD) is the primary recommendation. It mirrors NQ behavior closely, has tight spreads on FTMO's platform, and is the instrument our strategies have the most backtest data on. US500 and US30 are solid alternatives if you prefer lower volatility. XAUUSD (Gold) works with our Gold strategy. FX pairs require a Custom build.
How does the 5% daily loss rule work exactly?
FTMO calculates the daily loss limit against the initial balance of that phase, not your current equity. On a $10,000 Challenge account, you cannot lose more than $500 in any single day — even if you're up $1,000 on the week. Our scripts address this with a fixed per-trade stop and a daily kill switch that stops new entries before you get close to the limit.
Do I need to pass both the Challenge and Verification?
Yes — FTMO's evaluation is two phases. Pass the Challenge (10% profit target, same risk rules), then pass the Verification (5% profit target, same risk rules). Both must be completed before FTMO funds you. Run the same strategy at the same size across both phases. The Verification is not easier — it just has a lower profit target.
Does FTMO have a consistency rule?
FTMO does not have a percentage-based consistency rule like Apex's 30%-of-best-day cap. However, FTMO's Account MetriX system does flag unusual trading patterns for review — so extremely erratic equity curves (one massive day, many scratch days) can attract attention even if they technically pass the rules. A Pine Script that produces steady, consistent gains across sessions is naturally the safest approach regardless.
What is the minimum number of trading days on FTMO?
Both the Challenge and Verification require a minimum of 4 trading days. Unlike Topstep's 10-day minimum, this is a very low bar — a strategy that fires signals consistently will clear 4 trading days within a week. There is no time limit on either phase, so you can take as long as needed to hit the profit target safely.