FTMO Daily Reset Time & Drawdown Rules
Last updated: September 2026
Prop firms / FTMO
FTMO is the most recognised prop firm in retail trading, and its rules are among the clearest: a fixed daily loss limit and a fixed maximum loss, both measured against your starting balance rather than a moving peak.
The rule that catches most traders out is not the percentage — it is the clock. FTMO measures its trading day in Prague time, so if you trade from India, Dubai or Singapore, the day rolls over in the middle of your session rather than while you sleep.
When the FTMO trading day resets
The daily limit resets at midnight in Prague time (Europe/Prague). That zone observes daylight saving, so the equivalent time in your own timezone moves by an hour twice a year — which is exactly why working it out once and writing it down goes wrong.
How FTMO measures drawdown
Static drawdown — measured from your starting balance.
The distinction matters more than the percentage. A static drawdown sits under your starting balance and never moves, so your worst case is fixed from day one. A trailing drawdown climbs behind your profits, which means the level that breaches you is a moving target — and where a firm lets that floor climb past your starting balance, you can fail while still showing a profit.
Why FTMO accounts actually fail
- A loss taken late in your evening can land in the NEXT FTMO day, which resets an allowance you thought you had already spent — and the reverse happens just as easily.
- The daily limit is measured on equity, so an open losing position counts against you before you ever close it.
- Reaching the profit target does not switch the drawdown rules off; they apply for as long as the account is live.
Track it without doing the arithmetic
The Pips Project keeps a live count of the headroom left on each limit, measured on FTMO's own reset clock rather than your local midnight, and follows a trailing floor when the firm trails one. It also tells you which limit binds first, because that is the number that actually stops you. See how it works, or read our guide to journalling a prop-firm challenge.
Frequently asked
What time does the FTMO daily loss limit reset?
At midnight in Prague — CET in winter and CEST in summer. Because Prague observes daylight saving, the reset moves by an hour against UTC twice a year, so a fixed UTC offset you worked out in January will be wrong by the summer.
Is FTMO drawdown trailing or static?
Static. Both the daily loss limit and the maximum loss are calculated from your initial account balance and do not follow profits upward, so climbing in profit does not raise the level at which you would breach.
Does an open position count towards the FTMO daily loss?
Yes. The limit is measured on equity, which includes floating profit and loss, so an open losing trade can breach the limit before it is closed.
Not affiliated with FTMO. Rules change — always confirm the current terms in your own FTMO dashboard. Nothing here is financial advice; see our disclaimer.