Position Trading on The Funded Trader — Complete Rules Guide

Rule Compatibility Checklist

The Funded Trader offers excellent compatibility for position trading strategies, with weekend holding allowed being the single most important advantage for traders looking to capture large macro moves over weeks to months. This rule alone makes The Funded Trader stand out as a position-friendly prop firm. Your position trading strategy will benefit significantly from The Funded Trader's flexible rule structure. With no time limits on Phase 1 and zero minimum trading days required, you can take your time to identify high-probability setups without pressure to trade frequently. This aligns perfectly with position trading's typical frequency of just 1-2 trades per month. The absence of a consistency rule is another major advantage. Unlike firms that require your largest winning day to stay within a specific percentage of total profits, The Funded Trader allows you to capitalize fully on those big macro moves that position trading targets. When you catch a major trend reversal or economic shift, you won't be penalized for having one exceptionally profitable position. Weekend holding capability is crucial for your strategy since position trades often need to stay open through weekends when major economic developments can occur. Currency markets, in particular, can gap significantly on Sunday opens following geopolitical events or central bank announcements. The Funded Trader's weekend holding policy ensures you won't be forced to close profitable positions prematurely. You'll have access to all major instrument classes including Forex, Indices, Commodities, and Crypto across multiple platforms (MATCH-TRADER, DXTrade, and cTrader). This diversification is essential for position trading since macro opportunities can emerge across different asset classes. You might identify a long-term USD strength trade in forex while simultaneously positioning for a commodities supercycle in oil or gold. The 8% profit target in Phase 1 is reasonable for position trading timelines. With typical hold times of weeks to months, achieving 8% through 1-2 well-executed trades is entirely feasible. Position traders often target risk-reward ratios of 1:3 or higher, meaning a couple of successful trades can easily surpass the profit threshold. Regarding risk management, you'll need to carefully structure your positions around The Funded Trader's drawdown limits. While specific percentages aren't disclosed in available data, balance-based daily drawdown rules require extra attention with position trading. Since you're holding trades for extended periods, market volatility can cause daily fluctuations that might trigger drawdown violations even if your overall trade thesis remains valid. To adapt your position trading approach, consider splitting larger positions across multiple entries to reduce daily drawdown impact. Instead of entering your full position size at once, scale in over several days or weeks. This technique helps smooth out daily P&L fluctuations while building your desired exposure level. News trading being allowed adds another layer of opportunity. Major economic announcements, central bank decisions, and geopolitical events often provide the catalysts for the large moves position traders seek to capture. You can position ahead of known events or react quickly to unexpected developments without worrying about trading restrictions during news releases. The availability of EAs on the Royal Challenge opens possibilities for automated position management. You could develop systems to manage stop losses, take profits, or position scaling while maintaining the long-term directional bias that defines position trading. This automation can be particularly valuable for managing multiple positions across different time zones. One consideration is The Funded Trader's 3/5 Trustpilot rating from 22,000 reviews. While not the highest-rated firm, the large number of reviews provides substantial feedback data. Research recent reviews specifically related to withdrawal processes and account management, as these factors become more critical with the longer timeline of position trading strategies. For optimal results, focus on major currency pairs and liquid indices where spreads remain tight during extended holding periods. Exotic pairs or less liquid instruments can suffer from wider spreads and overnight financing costs that erode position trading profits over time. Monitor correlation risks carefully when holding multiple positions simultaneously. Position trades in highly correlated instruments can quickly amplify drawdown during adverse market conditions. Diversify across uncorrelated assets and time zones to reduce portfolio-level risk. The combination of flexible rules, weekend holding, and no consistency requirements makes The Funded Trader a strong choice for position trading strategies. Your success will depend primarily on trade selection and risk management rather than navigating restrictive firm policies.

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