80% Margin Gambling Rule
If used margin ever exceeds 80% of equity, the account is flagged as gambling — even without a drawdown breach.
This is a payout-review trap, not a live margin call. The desk scans peak used margin divided by equity across the cycle. Opening many large positions at once reads as all-in gambling regardless of whether the trades won. One reported case involved a trader denied a $410 payout after margin spiked above the cap during a gold scalp burst. Size in waves, close partials, and keep peak margin well under the line. The rule applies even when daily and max loss floors were never touched.
Applies to 3 firms • Trading Rules • FUNDED + PAYOUT
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Why this rule exists
This is a payout-review trap, not a live margin call. The desk scans peak used margin divided by equity across the cycle. Opening many large positions at once reads as all-in gambling regardless of whether the trades won. One reported case involved a trader denied a $410 payout after margin spiked above the cap during a gold scalp burst. Size in waves, close partials, and keep peak margin well under the line. The rule applies even when daily and max loss floors were never touched.
How traders get caught
This rule is often buried in FAQ or enforced only at payout review — not on the pricing page. Check the exact firm wording before assuming the headline covers your case.
How to stay safe
Verify the firm terms excerpt, keep evidence logs of your setup, and test edge cases in the simulator before sizing up.
The Formula
How it is calculated
Real Dollar Example
On a $100K account sitting at $102,000 equity, you stack gold and EURUSD totaling $85,000 used margin — usage is 83.3% and the cycle is flagged. Same $85,000 margin at $110,000 equity is 77.2% and passes. A $410 payout was denied on this exact math despite no drawdown breach.
Common Traps & Mistakes
Stacking five correlated gold positions that individually look fine but sum past 80%.
Assuming a winning burst excuses margin — review checks peak usage, not final P&L.
Using max 1:100 leverage on $100K to hold 10+ lots through news.
Firms using this rule
Related guides
Keep learning this cluster
Leverage & Margin Calls
How 1:100 leverage still kills you via margin, not just drawdown.
Lot Size & Contract Limits
Max lots per trade and max contracts held — exceed it and the account is hard-breached.
Payout Gates & Profit Split
The 6 checks that hide your payout button: profit, days, consistency, buffer, KYC, and caps.
Retroactive Strategy Veto
Profits can be removed after the fact if the strategy is later ruled prohibited — winning first does not protect you.
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