Futures Forbidden Trading Practices

Futures Forbidden Trading Practices

Know the Rules. Trade with Integrity.

FTMO Futures gives you access to simulated capital and infrastructure, and for those who want to reach the top, a path to live funding. In return, we expect trading that reflects genuine market discipline and professionalism.

Following the rules below is mandatory and is your main responsibility when participating in the Evaluation and the Sim-Funded Account. 

In the following section, you will find unwanted practices you need to be aware of when trading in a simulated environment. These rules are intended not only to help create habits that can be reasonably utilised when trading in actual markets with real money but also to protect our services from manipulative and abusive behaviour.

Violations may result, among other things, in trade removal, account termination, forfeiture of rewards, or permanent restriction from the programme, depending on severity and history. If you have any doubt about whether a strategy is permitted, contact us before trading.

Note that for purposes of this page a trading day is defined as the period beginning at 6:00 p.m. ET and ending at 4:10 p.m. ET on the following calendar day.

Forbidden Trading Practices

You must not:

1

Exploit or manipulate our Services

You must not use any trading strategy intended to exploit, game, or undermine the purpose or spirit of our Services; including strategies that exploit

  • errors in our Services, such as  errors in the display of the prices or delays in their updates, or an external or slow data feed, or

  • any characteristic specific to a simulated environment that would not be present in a live futures market, whether or not you were aware of the exploitation.

2

Trade without independent risk management

You must not structure positions in a way that relies on the account’s drawdown protection available in the Trading Platform as the sole exit mechanism.

3

Hedge or offset risk across accounts

You must not perform, alone or in concert with other persons simulated trades or combinations of trades designed to eliminate or reduce directional market risk. This includes trades between any accounts provided by us, accounts held with various operators/providers, or accounts held with other members of the FTMO Group. For example, simultaneously entering into opposite positions is prohibited, except when such positions are entered on a single account. This applies regardless of whether the instruments used are identical, related contract equivalents, or correlated products, and regardless of whether the accounts involved are held in your name or coordinated with others.

4

Copy trades from another trader

You must not replicate, follow, or otherwise incorporate the trading decisions of any third party into your Evaluation Account or Sim-Funded Account. Whether via signal services, master accounts, trade copiers, or any manual or automated arrangement where decisions originate from someone other than you, regardless of whether the service is paid or free, or whether the third party is also an FTMO client.

5

Use prohibited automated strategies

Automated trading is permitted. You must not, however, use any software, artificial intelligence, or automated systems that manipulate, abuse, or provide an unfair advantage when participating in the Evaluation Account or Sim-Funded Account, including high-frequency strategies and latency arbitrage. You are fully responsible for all activity generated by your automated systems, including errors and malfunctions.

6

Trade within 2% of a CME price limit

You must not open new positions in any contract when price is within 2% of the CME-defined daily price limit for that contract and trading day. Price limits are recalculated daily from the prior settlement price, vary by product and time of day, and are published by CME Group here.

7

Hold positions or resting orders past the end of trading day

You must not carry any open position or active resting order past the end of the permitted trading day. Positions or orders remaining open at session close are automatically liquidated and/or cancelled by the Trading Platform. Any strategy that relies on or benefits from  market exposure past market close is prohibited.

8

Trade in a manner inconsistent with live futures market standards

You must not perform simulated trades that contradict how trading is conducted in actual markets, or in any way that FTMO reasonably considers could cause financial, reputational, or other harm. This includes overleveraging, one-sided bets, account rolling, or any pattern of behaviour that is not reasonably replicable with real capital under real market conditions.

Risk Management Standards

Your trading must reflect the discipline and consistency expected of a professional trader.  When performing simulated trades with us, you must not engage in practices which are not reasonably replicable in the actual market, meaning that such a strategy is not in line with risk management rules a reasonable person would apply when trading on financial markets with their own money. 

Market standard risk management rules include, as an example, avoiding:

Inconsistent Position Sizing

Inconsistent Position Sizing

Opening substantially larger or smaller position sizes, or a substantially different number of positions, relative to your broader trading activity across all your accounts in a pattern that is inconsistent with your overall approach and would not reflect a sustainable strategy in live market conditions;

News-Event Concentration

News-Event Concentration

Concentrating trading activity around scheduled economic events in a pattern that is inconsistent with your broader trading activity across all your accounts and  would not reflect a sustainable strategy in live market conditions;

Evaluation vs. Sim-Funded Mismatch

Evaluation vs. Sim-Funded Mismatch

Trading in a materially different manner on your Sim-Funded Account than you did on the Evaluation or during the Evaluation than you intend to trade on a Sim-Funded account.

Rules Regarding Personal Use of the Services

Our services are intended for your personal use only. You must not:

No Third-Party Access

No Third-Party Access

Allow any third party to access, operate, or otherwise use your Evaluation Account or Sim-Funded  Account or data related thereto nor engage or cooperate with any third party in order to have such third party perform simulated trades for you or in coordination with you.

No Trading for Others

No Trading for Others

Access or perform simulated trades on any other person’s Evaluation Account or Sim-Funded Account, nor may you engage or cooperate with any third party in order to perform simulated trades for another person on their Evaluation Account or Sim-Funded Account , whether as a professional or otherwise.

Copy trading across your own accounts  is permitted, provided each account independently and fully complies with all applicable rules. Copying does not pool, average, or otherwise modify the individual rule requirements of any account.

Sim-Funded Accounts require ongoing trading activity. Accounts on which no trading activity has been recorded for 30 consecutive calendar days will receive an automated inactivity warning. Accounts remaining inactive for a further 30 days will be closed. There is no inactivity rule on live funded accounts.

Exchange Compliance

All simulated trading must comply with the rules, regulations, and market conduct requirements of CME Group and any applicable exchange or regulatory authority. For further information see cmegroup.com/market-regulation. Practices prohibited by CME rules, including spoofing, layering, wash trading, and all other forms of market manipulation, are strictly prohibited, whether or not specifically named here.

Compliance with these rules is mandatory at all account stages. FTMO reserves the right to review any account at any time and to take action based on observed trading behaviour, severity of violation, and prior history. When in doubt – ask first.