Do limits reset between phases?

Program Two Phase
Severity Important

TL;DR

Yes — Phase 1 and Phase 2 are treated as separate phases with their own limits and thresholds anchored to that phase’s start.

How it works

  • Two-Phase has two checkpoints (Phase 1, then Phase 2).
  • PropXP defines phase-specific risk limits (e.g. “each phase has its own daily max loss”) and the overall max loss is anchored to the starting balance for that phase/account.
  • Consistency is also tracked per phase and resets when you pass a phase.

Common gotchas

  • Your “new phase” does not inherit your Phase 1 buffer or mistakes. Treat it like a fresh exam.
  • Daily limits still reset at 16:00 CT, regardless of what phase you’re in.
  • Rules of conduct don’t reset (HFT/hedging/copy restrictions, etc.).

Example

You finish Phase 1 inside the limits and start Phase 2: your Phase 2 daily/max loss thresholds are calculated from the Phase 2 starting point, not from Phase 1 performance.

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