Trading Challenge Overview & Rules

What Is the Trading Challenge?

The Trading Challenge is the final step in The Stocks Room program. It is a structured evaluation that tests your ability to trade profitably while managing risk -the two core skills taught throughout the curriculum. Pass the challenge, and you earn the $500 payout.

Challenge Structure

When you start the challenge, you are given a simulated trading account with a defined starting balance. Over a set evaluation period, you must meet specific performance criteria while adhering to strict risk management rules.

The Rules

• Profit Target: You must grow your account by a specified percentage (disclosed when you begin the challenge). This target is designed to be achievable with the strategies taught in the program.
• Maximum Daily Drawdown: You cannot lose more than a specified percentage of your account in a single trading day. Exceeding this limit results in a failed attempt.
• Maximum Overall Drawdown: Your account balance cannot drop below a specified threshold from your starting balance at any point during the challenge.
• Minimum Trading Days: You must trade on a minimum number of distinct days during the evaluation period. This ensures you are not trying to pass on a single lucky trade.
• Evaluation Period: You have a defined number of calendar days to meet the profit target. If you do not reach it within the period, the attempt is considered incomplete.

What You Can and Cannot Trade

During the challenge, you may trade any stocks available on major U.S. exchanges. There are no restrictions on sectors or market cap. However, you must follow the risk rules at all times -regardless of how confident you feel about a trade.

Starting the Challenge

To start the challenge, you must have completed 100% of the curriculum and be on the Pro plan. (Live Trading Desk members skip the challenge and trade live instead.) Navigate to the Trading Challenge section in your sidebar, review the rules, and click "Begin Challenge" when you are ready.