Little a bit out of topic but those thinking to start trading with a $5K (own money) should take into account that after doing only +20% for the $150k initial balance you start to pay member exchange fees which will save you a biiiiig money in a month not to mention in a year (e.g. CL commissions -37,5%).

Pedro40 

That only protects TST from not losing more than the initial balance, but the trader still can lose all what he has made up to that point. I think Mr. Patak is on record about this saying that yes, they would let you lose whatever you have made. Now I agree, it is hard to believe they wouldn't talk to you, once the losses/downternd are obvious, but that is what they are saying. You are allowed to be stupid as long as they are not exposed....

I agree with you there but also if a conservative trader who can chip away with 1-2 lots in beginning to build that cushion wants to ramp it up-thats what the cushion allows- a max drawdown for the ramp up. Thats a big cushion but its hard to trade CL 5 Lots (max allowed on a 50k account) with a weekly loss limit of $1k and a max DD of 2k. Simply put, putting on CL 5 lots a 1k weekly limit and 2k drawdown is just asking for trouble. Same with parameters for 100k and 150k. The cushion just allows for the traders to trade bigger size comfortably. The daily loss limit still stands so that you dont blow it up all in one day.