Lots of prop firms have a rule about the proportion of your trades that are allowed to be shorter than some specific time. For example, in order to qualify for funding, "at least 50% of your trades must last for more than 1 minute”. I’ve seen this one with at least two prop firms, and there are plenty of similar rules around with others.
I know it’s try to limit scalping.
My question is: can you get round this by trading a much bigger position size (say 2 or 3 lots) for very fast scalping trades, but also do the same number of trades, or a couple more, with 0.01 lots and keep those tiny trades open for just over a minute, not really caring about their results?
Are these things just checked by some automated software process that sees you’ve complied with their “50% of trades over 1 minute” rule - which I will have done - or does a person look through all your trades and then say “Hold on, this guy’s just getting round the rules”?
Anyone with experience of this?
What do you think? Worth trying?
James
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