Many traders fail the FTMO challenge not because they can't trade, but because they use the same strategy for Phase 1 and Phase 2. These stages require different approaches.

Phase 1 vs Phase 2: Key Differences

FeaturePhase 1 (Challenge)Phase 2 (Verification)
Profit Target10%5%
Max Daily Loss5%5%
Max Drawdown10%10%
Min Trading Days1010
Time Limit30 days60 days

Phase 1 Strategy: Aggressive but Controlled

Phase 1 requires 10% profit in 30 days. This means you need to take calculated risks. The key is identifying high-probability setups and scaling in when conditions align. Many traders fail by overtrading in Phase 1 — chasing the 10% target with reckless entries.

Phase 2 Strategy: Conservative Consistency

Phase 2 only needs 5% in 60 days — double the time for half the target. The trap is continuing Phase 1 aggression. In Phase 2, protect what you have. Smaller position sizes, fewer trades, focus on consistency not speed.

Common Mistakes

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