We understand that each trader has their own unique trading style and preferences. At Rocket21, we provide flexibility when it comes to lot sizes on our accounts. There is no specific limit imposed on the lot size you can use. However, we strongly advise our traders to exercise prudence and responsible risk management.

While we give you the freedom to choose your lot sizes, we encourage you to consider the same principles you would apply to your live trading account. It's important to trade with reasonable lot sizes that align with your risk tolerance and overall trading strategy. By managing your risk wisely, you can enhance the potential for long-term success in your trading endeavours.

The Lot Size Limit rule is in place to ensure that traders manage their risks effectively, which in turn protects our capital from large exposures. Trades opened within a short time apart are combined into one lot size to prevent traders from circumventing this rule.

The Lot Size Limit Rule is designed to maintain consistent trading practices when you request a payout withdrawal. Here’s how it works:

1. Calculation of Trading Range:
​- Your average trade size is used as the baseline.
- To determine the maximum allowable trade size, we add 100% to your average trade size.
- To determine the minimum allowable trade size, we subtract 75% from your average trade size.

2. Application of the Rule:
​- Once you submit a payout withdrawal request, any trades that fall outside this calculated range are flagged.

- The calculation of trading range takes in account all symbols and instruments traded.
- Trades outside the range are considered a "soft breach." These trades are invalidated, but your account remains accessible.

3. Additional Notes:
​- Trades are aggregated when placed within a short time window (30 seconds) into one position for lot consistency.
- The Lot Size Limit is measured based on the initial entry of a position; partial profits do not affect these calculations.

In order to calculate the Lot Size Limits, we add all trades and divide the result by the total number of trades (excluding cancelled and pending orders). This will give you an average lot size, furthermore we:

Multiply the average lot size by 0.25 to define the bottom of the range.

Multiply the average lot size by 2 to define the top of the range.
​

Everything that falls outside these two tops is considered inconsistent.

Numeric Example of the Lot Size Limit Rule

Let's say your average trade size is 2 lots. Here's how the Lot Size Limit Rule would apply:

1. Calculate the Trading Range:

- Maximum Trade Size: 2 lots plus (+) 100% of 2 lots equals (=) 2 + 2 = 4 lots

- Minimum Trade Size: 2 lots minus (-) 75% of 2 lots equals (=) 2 - 1.5 = 0.5 lots

Therefore, your trading range would be between 0.5 lots and 4 lots.

2. After Requesting a Payout:

Any trades larger than 4 lots or smaller than 0.5 lots will be considered a soft breach.

In practical terms:

- A trade of 5 lots would be a breach (invalid).

- A trade of 0.3 lots would be a breach (invalid).

- A trade of 3 lots would be valid.

- A trade of 1 lot would be valid.

3. Trade Aggregation:

If you place multiple trades in quick succession, they are combined into one position for calculating consistency. For example:

- Placing two trades of 1.5 lots each within a short period would be treated as a single trade of 3 lots, which is within the valid range.

4. Effect of Partial Profits:

- Only the initial entry of the position is used for Lot Size Limit's calculations.

- For example, if you enter a position with 3 lots and later take partial profits, the initial 3 lots is what will be considered for the Lot Size Limit purposes.

By adhering to these rules, you ensure that your trading remains within the acceptable range, maintaining consistency and avoiding soft breaches.

This would be considered a soft breach.

All trades with lot sizes that fall out of this calculated ranges will have their profits deducted.

Your trading account will remain active after this breach, if that is the case.

Yes, Rocket 21 does calculate your Lot Size average range before processing a withdrawal request. For enhanced transparency and to improve the trading experience, we have implemented an automatic calculation of the Average Lot Size. This metric can be easily found under 'Trade History' in your trader dashboard: