Program Rules
The equity guard
The Equity Guard is one of the most important features of your Noctorial account. It is not a penalty. It is not a breach. It is an automatic protection system designed to do one thing: keep your account active when a trade goes further against you than expected.
What It Does
The Equity Guard monitors your floating losses in real time. If your open trades reach a set loss threshold at any moment, the system immediately closes them all automatically.
Your account remains open. You can keep trading. Nothing is lost beyond the positions that were closed.
Think of it as a safety net. Instead of watching a bad trade turn into a drawdown breach that permanently closes your account, the Equity Guard steps in first, giving you a chance to breathe, reevaluate, and move forward.
When It Activates
The threshold is calculated on your initial balance of the current cycle, not your current balance or your equity. It does not move between payouts.
Model | Equity Guard Threshold |
2 Phases | 3% of the initial balance |
1 Phase | 3% of the initial balance |
Instant Funding | 2.5% of the initial balance |
Example: On a $10,000 funded 2 Phases account: if your open trades accumulate a $300 loss at any moment, all positions are automatically closed. On an Instant Funding account, the same scenario triggers at $250.
What Happens After It Triggers
All open positions are closed at the best available market price. Your account remains fully active. You can open new positions as soon as the executions are completed.
A single trigger does not add any flag to your account. However, repeated activations are factored into our overall review of your trading behavior and risk profile. A trader who regularly triggers the Equity Guard is flagging a risk management issue, and that matters when we review payout requests.
💡 If the Equity Guard triggers, treat it as useful feedback. Something in your position sizing, stop-loss placement, or trade management pushed your floating loss to an extreme level. Take a moment before trading again—not because you have to, but because it is worth understanding why it happened.
What It Is Not
The Equity Guard is not a substitute for stop-losses. It is not a daily loss limit. It does not replace the max drawdown rule. It triggers before those limits are met, but it is not designed to be part of your routine trading setup.
If you rely on the Equity Guard regularly, your risk per trade is likely too high.
One Thing to Remember
Most traders will never see the Equity Guard activate. It exists for moments when the market moves unexpectedly and violently, not as a tool for managing day-to-day risk. Use stop-losses. Manage your position sizing. Let the Equity Guard be that final backup you know is there, but rarely expect to need.