How to Trade SMC (Smart Money Concepts) on The5%ers
SMC (Smart Money Concepts) on The5%ers is rated excellent fit. There are no major rule conflicts. The5%ers offers 3 rules that actively support this strategy. Recommended timeframes: 5m, 15m, 1H, 4H.
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.
The5%ers 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.
The5%ers 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.
The5%ers offers forex, indices markets, which align well with SMC (Smart Money Concepts)'s typical instruments.
These timeframes align with both SMC (Smart Money Concepts)'s typical setups and The5%ers's rules. Use higher timeframes for analysis and lower for entries.
For smc (smart money concepts) on The5%ers, risk 0.5-1% per trade. On a $60,000 account, that is $300-$600 per trade. With a 4% daily loss limit, you can take 2-4 setups per day without excessive risk.
- Exceeding the 4% 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.
- 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.
- 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.
| phase 1 | funded | |
|---|---|---|
| Daily Loss | 4% | 4% |
| DD Type | Static | Static |
| Overnight | Yes | Yes |
| News | allowed | allowed |
| Weekend | Yes | Yes |
| Consistency | None | None |