Understanding The Evaluation Process
A detailed breakdown of Phase 1 and Phase 2, including targets, rules, and what happens at each step.
What It Means
The evaluation process is a two-phase test that proves your ability to trade profitably while following strict risk rules. Both phases are identical in structure: reach a 6% profit target while respecting a 3% daily trailing drawdownand a 7% static max drawdown. There is no time limit on either phase, but you must trade a minimum of4 calendar days in each phase.
Phase 1 and Phase 2 use the same starting balance. For example, a $10K challenge starts at $10,000 in both phases. The profit target is 6% of that starting balance ($600), and the drawdown limits are calculated from the balance.
Why Two Phases?
A single phase might not be enough to filter out luck. A trader could get lucky and hit 6% in a few trades without demonstrating true consistency. The second phase requires you to repeat the same result under the same constraints, which significantly reduces the probability that your profit was due to chance. It also tests your ability to handle the psychological pressure of trading toward a target again after already achieving it once.
Some prop firms use a single phase or three phases. Albatrix Funded uses two because it balances rigor with accessibility — it is strict enough to filter inconsistent traders but not so long that it becomes impractical.
Phase-by-Phase Breakdown
Phase 1: Initial Evaluation
- Starting Balance: Full account size (e.g., $10,000 for a $10K challenge)
- Profit Target: 6% ($600 for $10K)
- Daily Trailing Drawdown: 3% of previous day's closing equity
- Max Static Drawdown: 7% of starting balance
- Time Limit: None
- Minimum Trading Days: 4 calendar days
- Leverage: 1:100
During Phase 1, you can trade any instrument offered by the firm. Once your account equity reaches $10,600 (for a $10K account) while staying within all drawdown limits, Phase 1 is complete. You are then upgraded to Phase 2 automatically.
Phase 2: Verification
- Starting Balance: Same as Phase 1 ($10,000 for $10K)
- Profit Target: 6% ($600 for $10K)
- Daily Trailing Drawdown: 3% of previous day's closing equity
- Max Static Drawdown: 7% of starting balance
- Time Limit: None
- Minimum Trading Days: 4 calendar days
- Leverage: 1:100
Phase 2 is identical to Phase 1. When you reach $10,600 again while respecting all limits, you pass the evaluation and are eligible for a funded account.
What Happens at Each Step
Purchase Confirmed
After payment, your challenge account is created instantly. You receive login credentials and can start trading immediately.
Start Phase 1
Your account is loaded with the chosen balance. You trade normally with 1:100 leverage. Track your equity against drawdown limits.
Hit 6% in Phase 1
Once equity reaches the target, Phase 1 closes. You are moved to Phase 2 automatically. There is no pause or reset.
Start Phase 2
Your account resets to the starting balance. You must reach 6% again with the same rules. Minimum 4 trading days.
Pass Phase 2
When you hit 6% in Phase 2, you pass the evaluation. You are now eligible for a funded account.
Funding Agreement
You must sign a funding agreement before receiving the funded account. This is a legal document between you and the firm.
Allowed Examples
You buy a $25K challenge. In Phase 1, you trade 6 days, reach $26,500 (6% target) with a maximum drawdown of 2.2%. Phase 2 takes 8 days with similar performance.
You followed the rules, hit both targets, and completed the minimum trading days. You pass.
You have a losing streak in Phase 1 that brings your equity down 2.5% in one day. The next day you recover and eventually hit 6% over 15 trading days.
The daily drawdown is 3%, so a 2.5% loss is within limits. Recovering and reaching the target is valid.
Violation Examples
Your account equity drops 3.5% from yesterday's close. Even though you are still above the 7% max drawdown, the 3% daily trailing drawdown is breached.
The daily trailing drawdown is the stricter limit. It is calculated from the previous day's closing equity, not the starting balance.
You hit 6% in Phase 1 in 3 trading days. The system does not count this as a pass because you did not meet the 4-day minimum.
You must trade at least 4 calendar days regardless of how quickly you reach the target. You need to continue trading (even small positions) to satisfy the minimum day requirement.
Common Mistakes
- Confusing the profit target — it is 6% of the starting balance, not 6% of the current equity. Do not increase your target mid-phase.
- Not counting calendar days correctly. The 4-day minimum is calendar days, not trading days. If you trade Monday and Tuesday, then skip Wednesday, Thursday counts as day 3.
- Overtrading after hitting the target — once you hit 6%, stop trading in that phase to avoid unnecessary risk of a drawdown breach.
- Assuming Phase 2 resets at a higher balance — it resets to the original starting balance, not the Phase 1 ending balance.
- Not realizing that the funding agreement is a required step. You cannot skip it or start trading the funded account without signing.
- Treating both phases as separate challenges when they are designed to be traded with the same strategy — do not change your approach between phases.