How Futures Prop Firm Evaluations Work
A step-by-step walk through a futures prop firm evaluation: buying an account, trading to the profit target inside the drawdown rule, passing, activating the funded account and requesting payouts.
Updated 2026-10-16 · 7 min read
Step 1 — Choose an account size
Account sizes set three things: the profit target you must reach, the drawdown you may lose, and the number of contracts you may trade. A larger account has a larger target and drawdown, and a higher fee. Pick the size whose drawdown you can trade comfortably — a smaller drawdown means a smaller room for error, whatever the headline balance says.
Step 2 — Trade to the profit target
You trade a simulated account on a real market data feed. The goal is to reach the profit target without breaking the drawdown or contract limits. At Strike Funded there is no daily loss limit and no consistency rule to pass, and one trading day is enough. Remember that the drawdown is trailing, so a large early gain also lifts your floor.
A trading day counts when you open and close at least one position that day. There is no requirement to trade every day, and you can use day trading, scalping, swing trading, algorithms or news trading within the rules.
Step 3 — Respect the end-of-day rule
All positions must be closed before 4:55 PM ET, five minutes ahead of the 5:00 PM ET close of the trading day. The firm does not flatten positions for you, so set an alarm. See futures trading hours and the end-of-day rule.
Step 4 — Pass, verify your identity and activate
When you reach the target you can activate a funded account. Identity verification (KYC) is required before the first payout, and activating a funded account may involve a one-time activation fee shown before you buy. The evaluation fee stops billing when you pass.
Step 5 — Funded account and payouts
A funded account has no profit target. The trailing drawdown and contract limits stay the same, and you can request payouts under the payout rules. A payout does not reset your drawdown floor. Details: futures prop firm payout rules.
What happens if you break a rule
Exceeding the maximum drawdown closes the account permanently and flattens open positions. A breached account cannot be reset; you can buy a new evaluation. Profits already paid out stay yours. Other immediate-termination causes include account sharing, third-party credentials, coordinated group trading to exploit the evaluation and false identity or payment information.
An illustration: a $50,000 evaluation in three days
This is an illustration of how the numbers interact, not a typical or expected result. The $50,000 STRIKE account has a $3,000 profit target and a $2,000 trailing drawdown, so equity must reach $53,000 and the floor starts at $48,000.
| Day | Result | Equity | Drawdown floor |
|---|---|---|---|
| Start | — | $50,000 | $48,000 |
| Day 1 | +$1,200 | $51,200 | $49,200 |
| Day 2 | +$1,000 | $52,200 | $50,000 (locked at the starting balance) |
| Day 3 | +$800 | $53,000 | $50,000 — profit target reached |
Notice that the floor rose with every new high until it reached the starting balance and locked. A trader who risked too much on day 1 would have had less room, because profits raise the floor.
Why evaluations are failed
- Oversizing: trading near the contract limit with a stop that uses a large part of the drawdown.
- Forgetting open profit: with an intraday trailing drawdown, an unrealized gain lifts the floor, then a reversal eats the room.
- Holding past the end-of-day time, which closes the account like any other breach.
- Revenge trading after a loss instead of stopping for the day.
- Not knowing the exact dollar value of the floor before entering a trade.
Preparing before you buy
- Practice the exact instrument and size you intend to trade on a simulator.
- Write down the maximum loss per trade as a fraction of the drawdown, and the number of losing trades you can absorb.
- Read the full rules in the Knowledge Base and the Refund Policy: all sales are final.
- Check that your platform and data connection work before the first trade.
Frequently asked questions
How long does a futures prop firm evaluation take?
It depends on the rules. At Strike Funded the minimum is one trading day, so you can pass as fast as your trading allows within the drawdown and contract limits.
Is a futures prop firm evaluation a one-time payment?
Not always. At Strike Funded the evaluation fee is billed monthly while you are still in the evaluation, and billing stops when you pass, breach or cancel.
What happens after I pass?
You can verify your identity, activate a funded account and request payouts. A one-time activation fee may apply.
Keep reading
Strike Funded accounts are simulated: no personal capital is placed at risk and no live market execution takes place. Trading futures involves substantial risk; this page is educational, not financial advice, and nothing here promises results.