FundedMinds
adherence
How often a written rule was actually followed.
asymmetry
The gap between a loss and the gain needed to undo it.
average R
Mean result in risk units across a set of trades.
break-even win rate
The win rate where expectancy is exactly zero.
circuit breaker
A binary rule that stops trading or resets size mechanically.
consistency rule
A cap on the best day as a share of total profit.
correlation
How closely two instruments move together.
daily limit
The firm or self imposed maximum loss in one day.
daily stop
A self imposed money loss that closes the trading day.
drawdown
The fall from an equity peak.
effective risk
Risk after adjusting for overlap between correlated positions.
equity
Account balance including open profit and loss.
expectancy
Average result per trade in R, from win rate and average win and loss.
exposure cap
The maximum total open risk allowed at once.
flat
No open position.
floor
The equity level at which the evaluation fails.
loss rate
The share of trades that lose, the inverse of the win rate.
lot
The traded unit. A standard lot is 100,000 units of the base currency.
lot step
The smallest size increment a broker accepts, often 0.01.
minimum days
The smallest number of trading days allowed in a phase.
open risk
Total risk across everything currently open.
phase target
The profit percentage required to pass a phase.
pip value
Money one pip moves for one lot of that instrument.
R
One unit of risk. 1R is what you lose on a full stop.
ratio floor
The minimum reward to risk you accept before taking a trade.
recovery percentage
The gain needed to return to the previous equity peak.
revenge trading
Immediate re-entry after a loss without a fresh setup.
risk of ruin
The probability a sizing plan ends the account or the evaluation.
sample
A group of trades large enough to judge, around 20.
size creep
Drifting position size upward without a plan change.
soft pedal
Trading smaller after a good run to protect a rule.
stack
Several open positions in the same effective direction.
static drawdown
A limit fixed from the opening balance.
tilt
Emotion overriding the written plan.
trailing drawdown
A limit that follows the equity peak upward.