Skip to main content
All CollectionsTrading
What are your trading style rules?
What are your trading style rules?

Prohibited Strategies

Updated over a month ago

Gambling:

You cannot use gambling strategies to pass the challenge phase. Blueberry Funded defines gambling as follows:

  1. Excessive Scalping:

    Holding 50% or more of your trades for less than a minute.

  2. Martingale:

    Holding five positions simultaneously in drawdown on the same pair.

  3. All In:

    Placing a trade in one direction with no risk management (i.e., no stop-loss), where the trade will either pass or fail the challenge in a single attempt, is discouraged. If your trade drops your margin level to 150%, it shows excessive exposure. Check out our Article on How to Calculate an Appropriate Lot Size Without Dropping Below 150% Margin Level. Maintaining a margin above 150% supports quality trade flow, which is essential for us to monetize trade data in the long term and build the most sustainable prop firm in the industry.

  4. Grid Trading:

    Placing multiple trades at predetermined intervals to create a grid-like structure, with no clear risk management strategy.

Examples:

  • Excessive Scalping:

    A trader executes 60 trades, with 35 of them held for less than 45 seconds. This means more than 50% of their trades are categorized as excessive scalping.

  • Martingale:

    A trader opens multiple long positions on the GBP/USD pair (e.g., Long GBP/USD at 1.3500, 1.3480, 1.3460, 1.3440) and then adds another long position (e.g., Long GBP/USD at 1.3470) while already having five positions in drawdown. This breaches the Martingale rule.

  • All In:

    A trader opens a 2-lot position on USD/JPY without setting a stop-loss, and the position either results in passing the challenge or failing it in one single attempt. This method lacks proper risk management and trading skill.

  • Grid Trading:

    A trader sets up a grid trading strategy by placing buy orders at intervals of 20 pips (e.g., buying AUD/USD at 0.6700, 0.6720, 0.6740) and sell orders at intervals of 20 pips (e.g., selling AUD/USD at 0.6680, 0.6660, 0.6640) without a clear risk management plan or exit strategy. This creates a grid of trades without appropriate risk management.

  • Reverse Hand Post Taking Losses:

    This strategy involves chasing losses by entering the opposite direction of a losing trade within a short time frame of closing the losing position, in hopes of reversing the outcome. While this may seem like a way to recover quickly, it disrupts the data we rely on to evaluate consistent performance and proper risk management. By using this strategy, you bypass the skills we are looking to test, such as strategic decision-making and discipline. Therefore, this method is prohibited, and using it may prevent you from advancing to the funded stage or result in a possible hard breach, a restart from Phase 1, or denial of a payout, depending on your risk profile as assessed by our risk team.

    To avoid being flagged for this prohibited strategy, the minimum time to wait before entering a trade in the opposite direction is 5 minutes.

Note:

A ‘trade’ is defined as a position held on a specific pair, which can include multiple entries with similar timings and lot sizes. Multiple entries on the same pair at the same time may count as one trade. Trades with significantly smaller lot sizes do not count as a trade. If you are found using prohibited strategies, including gambling and grid trading, you will not advance to the funded stage and will need to retry the challenge and if done on the earnings account you will be denied payout.

Did this answer your question?