Strategies/SMC (Smart Money Concepts)/FTMO

How to Trade SMC (Smart Money Concepts) on FTMO

hours holds2-stepExcellent fit

SMC (Smart Money Concepts) on FTMO is rated excellent fit. There are no major rule conflicts. FTMO offers 4 rules that actively support this strategy. Recommended timeframes: 5m, 15m, 1H, 4H.

About SMC (Smart Money Concepts)

Derived from ICT principles, SMC focuses on break of structure (BOS), change of character (CHOCH), order blocks, and fair value gaps. Traders identify where institutional money is likely positioned and trade in alignment with smart money.

Typical timeframes:5m15m1H4H
Best instruments:forexindicesfutures
Hold time: hoursOvernight: NoNews: Optional
Rules That Support This Strategy (4)
+Static drawdown

FTMO uses static drawdown -- your floor is fixed at account opening and never moves up. This gives smc (smart money concepts) traders maximum room to absorb normal strategy drawdowns without the floor chasing your profits.

+5% daily loss limit

FTMO's 5% daily loss limit is generous enough for most smc (smart money concepts) setups. At 1% risk per trade, you can absorb 5 consecutive losers before hitting the daily cap.

+No consistency rule

FTMO has no consistency rule. If your smc (smart money concepts) produces one large winning trade, you keep the full benefit without worrying about single-day profit caps.

+Supports forex, indices

FTMO offers forex, indices markets, which align well with SMC (Smart Money Concepts)'s typical instruments.

Recommended Timeframes
5m15m1H4H

These timeframes align with both SMC (Smart Money Concepts)'s typical setups and FTMO's rules. Use higher timeframes for analysis and lower for entries.

Position Sizing

For smc (smart money concepts) on FTMO, risk 0.5-1% per trade. On a $50,000 account, that is $250-$500 per trade. With a 5% daily loss limit, you can take 2-4 setups per day without excessive risk.

Common Rule Violations When Trading SMC (Smart Money Concepts) on FTMO
  1. Exceeding the 5% daily loss limit by revenge trading. After 2-3 losing smc (smart money concepts) trades, the emotional urge to "make it back" leads to oversized positions that breach the daily cap.
  2. Oversizing positions to hit the profit target faster. SMC (Smart Money Concepts) has defined risk parameters -- increasing size beyond your plan to speed up the evaluation is the fastest path to blowing the account.
  3. Over-trading on slow market days. When smc (smart money concepts) setups are not presenting clearly, forcing trades leads to death by a thousand cuts against the daily loss limit.
FTMO Rules Quick Reference
phase 1phase 2funded
Daily Loss5%5%5%
DD TypeStaticStaticStatic
OvernightYesYesYes
Newsallowedallowedrestricted
WeekendYesYesYes
ConsistencyNoneNoneNone
SMC (Smart Money Concepts) on Other Firms
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FTMO Account Rules

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