Are you trading prop firm futures but struggling with low win rates or high drawdowns? Many traders face the same problem. The good news—you don’t need to scrap your strategy. With a few simple tweaks, you can dramatically improve performance while keeping the core idea of your system intact.
This guide will show you three proven fixes to make any futures strategy more reliable, especially when trading with a prop firm account.
Common Problems in Prop Firm Futures Strategies
Let’s look at two examples of typical issues:
- MACD + SMA 200 Strategy – It made money and managed drawdowns fairly well but had a low win rate.
- Bollinger + RSI Double Strategy – It won trades more often but failed in terms of profit, drawdown, and equity curve stability.
Both show what many futures prop traders experience: strategies that look good at first but fall apart over time.
So, how do you fix them? Here are three simple rules.
1. Trend Filter: Trade With the Market
Use a trend filter like the 200 SMA (Simple Moving Average). Only take trades in the same direction as the broader market.
Why it works: Avoids counter-trend trades that lower win rates.
Example: If the 200 SMA is sloping up, only go long. If it’s sloping down, only go short.
This rule alone can boost your win rate when trading prop firm futures accounts.
2. Volatility Filter: Skip Choppy Markets
Apply a volatility filter using ATR (Average True Range). Low ATR means the market isn’t moving much—avoid trading then.
Why it works: Eliminates false signals and losses in sideways markets.
Example: If ATR is below your threshold, stay out. Wait for volatility to pick up before entering trades.
This prevents unnecessary losses that could trigger a prop firm challenge failure.
3. Risk Control: Protect Your Account
The most important rule for prop firm futures traders is strict risk control. Always cap position size and risk only 1–2% of your account per trade.
Why it works: Smooths your equity curve and prevents one bad trade from blowing up your account.
Example: On a $50,000 prop firm account, risk no more than $500–$1,000 per trade.
Risk management is the difference between passing and failing a prop firm evaluation.
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Why These Rules Matter
By applying these three tweaks, you can:
- Improve win rate
- Reduce drawdown
- Strengthen your edge
- Protect your account from big losses
And the best part? You don’t have to change your strategy’s core idea.
Final Thoughts For Prop Firm Futures Traders
If your trading system isn’t performing in prop firm, don’t abandon it right away. Instead, apply these three fixes:
- Trade only with the trend.
- Avoid low-volatility markets.
- Control risk with strict position sizing.
These small adjustments can be the difference between failing a prop firm challenge and building a long-term profitable futures trading career.
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