Updated 2026-03-08
Blue Guardian Profit Target (Phase 1) Rule Explained
Blue Guardian
Quick Answer
Blue Guardian requires traders to achieve 10% profit on their initial account balance to pass Phase 1.
The profit target is calculated from your starting account balance, so a $100,000 account needs $10,000 in profits. This must be achieved through closed trades only, as floating P&L doesn't count toward the target. Failing to reach this target means you cannot advance to Phase 2 of the evaluation process.
Key Rule Details
Target
10%
Dollar Target ($100,000)
$10,000
Phase
Phase 1 only
Time Limit
None
Min Days
None
Calculation Example
Common Mistakes
Counting Floating Profits
Many traders assume their unrealized gains count toward the 10% target and celebrate prematurely. Only closed positions contribute to your profit target progress. If you have $8,000 in closed profits and $3,000 in open positions on a $100,000 account, you're still $2,000 short of the target.
Risking Too Much Late
Traders often increase position sizes dramatically when close to the target, forgetting about the 3% daily loss and 6% total loss limits. With $9,500 profit on a $100,000 account, risking $2,000 to hit the target could trigger a breach if the trade goes wrong, ending the entire evaluation.
Ignoring Weekends and Gaps
Some traders leave large positions open over weekends when near the profit target, hoping for favorable gaps. Market gaps can easily push you past loss limits before you can close trades. On a $50,000 account needing $5,000 profit, a weekend gap against a large position could breach the $1,500 daily loss limit.
Rushing the Timeline
Traders panic about time limits and make impulsive trades to hit the 10% target quickly, often leading to rule violations. There's typically no strict time limit on Phase 1, so forcing trades to reach $25,000 profit on a $250,000 account within days increases the risk of hitting loss limits instead.
Protection Strategies
Set Personal Target at 11-12%
Aim for 11-12% profit instead of the minimum 10% to create a buffer for any calculation discrepancies or small losses. This means targeting $11,000-$12,000 on a $100,000 account rather than exactly $10,000. The extra cushion ensures you comfortably pass Phase 1 without cutting it too close.
Use 1% Maximum Position Sizing
Keep individual trade risk to 1% of account balance to safely build toward the 10% target without threatening loss limits. On a $50,000 account, risk maximum $500 per trade, allowing 20+ attempts to reach the $5,000 target. This conservative sizing prevents any single trade from causing evaluation failure.
Set Daily Profit Alerts at 2%
Configure alerts when you hit 2% daily gains to reassess position sizes and risk exposure. Achieving $2,000 profit in one day on a $100,000 account should trigger a review of open positions to ensure you don't accidentally breach the 3% daily loss limit. This helps maintain steady progress without excessive risk.
Avoid Trading Major News Events
Skip high-impact news releases that can cause rapid price swings exceeding your risk parameters when close to the target. Even though Blue Guardian allows news trading, the volatility can quickly turn a winning position into a loss limit breach. Focus on steady, predictable setups instead of chasing quick profits during volatile periods.
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Frequently Asked Questions
Disclaimer: This guide is for informational purposes only and does not constitute financial advice. Prop firm rules change regularly — always verify current terms on Blue Guardian's official website before purchasing a challenge. Updated 2026-03-08.