Greetings Traders and welcome back.
Chris here, bringing you some more information.
Today we're going to be covering what the progression ladder is
as it pertains to the Gauntlet Mini.
So if you are planning on passing the Gauntlet Mini, then listen up
because the progression ladder is crucially important to understand
because if you don't adhere to it
you very well could fail your Gauntlet Mini evaluation
and that's not what we want. We want you to pass.
We want you to pass and we want you to be successful,
so let's get going, let's figure out what the progression ladder is
and figure out how we can find all the information that we need
in case we forget anything from this video. Here we go.
If we navigate to the Gauntlet Mini home page and then we scroll down
to the different account options we'll see that on the left-hand column
there's something over here that says "follow the progression ladder."
The progression ladder, as you follow it across,
will tell you the maximum number of contracts
that you can have open at any one time
relative to the account option that you have chosen.
So for example, the $25,000 account can have up to three contracts open.
The $50,000 account can have up to six contracts open.
The $75,000; nine contracts, the $100,000; twelve contracts,
The $150,000 up to fifteen contracts, if you are that crazy. Just kidding,
but realistically, this is a relatively simple concept to understand,
but it gets a little bit more complicated than that
and if we want to know the exact details all we have to do
is scroll down, once again, and we'll see that there are
a Gauntlet Mini rules and facts section of the website
and on this, it says progression ladder as a hyperlink
if we give that a click, it'll take us to a page where it further in-depth explains
exactly what the progression ladder is so let's take a look at what it says here.
So the progression ladder limits the number of contracts that a trader can open.
We understand that. That's a pretty simple concept,
but the thing is, it takes into consideration both open and closed positions.
It takes into consideration realized and unrealize profit
when creating this ladder system and we need to be aware of that
because if we were looking at the options that we can open
as our account grows in profit, we'll notice that on the beginning of this ladder
at $1,501 that's when we can open three contracts
with the $25,000 account. We can't just immediately open three contracts
until we generate $1,501 in profit or more.
So if we didn't know that and we automatically opened three contracts,
well then unfortunately we wouldn't be adhering to the progression ladder
and we could fail our Gauntlet Mini experience
and we don't want to do that. So, when in doubt
just simply navigate to this page where it's clearly displayed.
With the $50,000 account, we can see that from $0 to $1,500 in profit
we're only going to open to two contracts maximum,
but as we reach $1,501 to $2,000 in profit we can then open four contracts,
and as we reach $2,001 in profit on our $50,000 account
which would mean that we've reached $52,001 as a total account balance
at that point, we can then open six contracts,
but what's important to understand about the progression ladder
is that if our account does reach that,say $52,001 balance,
that $52,001 balance, which would allow us to open
the maximum number of contracts for the $50,000 account, of six contracts,
we can't allow our account to fall backwards while still having those six contracts open.
Otherwise, we wouldn't be adhering to the progression ladder.
This means that if our account has that balance of $52,001,
and we have six contracts open, but our account balance then falls to say $51,000,
well, we no longer have the right to have those six contracts open,
which means we, if we have them open, are not adhering to the progression ladder
and unfortunately, that can be a disqualifying process for the Gauntlet Mini evaluation.
So, what we like to recommend for our traders as they are adhering
to the progression ladder is to give themselves a buffer zone.
Try to give yourself more money than is the minimum that is needed
in order to open those contracts. It seems like a simple concept,
but it can be easily forgotten. So how that would work
with our example that we're talking about with the $50,000 account
say I wanted to open six contracts and my account balance
had just reached $52,001 which is the minimum amount of money,
the minimum amount of money, that my account needs
in order to open the six contracts.
I probably don't want to immediately open all six contracts
until I actually increase my account balance a little bit farther.
That way I have a little bit of slippage room.
this will allow my account to slide backwards
without risking any kind of termination
because I'm not adhering to the progression ladder if it falls below that value
and I have too many contracts open for the account size that I am currently allotted.
Now that we know how to navigate through the progression ladder
and figure out what the progression ladder is as it pertains
to our individual account choice for our Gauntlet Mini evaluation,
the only thing left to do is to make sure that we have
a large enough buffer zone that suits our trading style
so we never worry about potentially falling backwards
on that progression ladder, and failing because of it.
if we give ourselves a large enough buffer zone
the volatility that our accounts regularly experience should be a non-issue
and at that point then the only thing left to get in your way is your own trading results,
but until next time folks, good luck, happy hunting,
and I wish you well on your Gauntlet Mini journey.