> ## Documentation Index
> Fetch the complete documentation index at: https://help.tradespacepro.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Configure Risk Limits to Protect Your Trading Account

> Set financial thresholds that trigger automatic account protection — including daily loss, profit targets, per-trade limits, and trailing drawdown.

Risk limits define the financial thresholds that trigger automatic account protection. When any configured limit is reached, Tradespace immediately flattens your positions, cancels working orders, and locks your account for the configured duration — keeping a single bad session from turning into a catastrophic loss.

## Daily Limits

<ParamField body="Daily Loss Limit" type="number">
  The maximum loss allowed in a single trading day. When your realized and unrealized P\&L reaches this negative threshold, Tradespace immediately flattens all open positions, cancels working orders, and locks the account for the configured lockout duration. This is your primary protection against runaway drawdown days.
</ParamField>

<ParamField body="Daily Profit Limit" type="number">
  The maximum profit target for the trading day. When your cumulative daily P\&L reaches this positive amount, trading is automatically halted to lock in your gains. Use this to prevent giving back a strong day by overtrading after hitting your goal.
</ParamField>

<ParamField body="Daily Funded Target" type="number">
  A target daily profit amount designed for funded or prop-firm accounts. When your daily P\&L reaches this threshold, Tradespace triggers a protective lockout — helping you satisfy evaluation rules that require consistency and making sure you don't trade any more than necessary to pass an account or reach a desired goal.
</ParamField>

## Per-Trade Limits

<ParamField body="Per-Trade Loss Limit" type="number">
  The maximum loss allowed on any single trade. Tradespace monitors the P\&L of each individual position in real time. If an open trade's loss reaches this amount, the position is immediately flattened. This prevents a single runaway trade from consuming a large portion of your daily risk budget.
</ParamField>

<ParamField body="Per-Trade Profit Limit" type="number">
  The maximum profit to take on any single trade before it is automatically closed. When an open trade's unrealized gain reaches this level, Tradespace closes the position at the market. Use this to enforce consistent trade management and prevent giving back open profits.
</ParamField>

## Drawdown

<ParamField body="Trailing Daily Loss Limit" type="number">
  A trailing drawdown that follows the highest intraday equity level reached during the session. As your account equity rises, the trailing floor rises with it. If your equity subsequently drops by this configured amount from that intraday high — regardless of where you started the day — the account is locked. This protects profits made during the session and is commonly required by funded account programs. It allows you to enable either unrealized or realized mode.

  For unrealized trailing loss limit mode, your daily loss limit will trail as your unrealized peak balance increases in real time. If realized mode is enabled, your daily loss limit will not move up until your realized balance increases.

  <br />The profit trigger option allows you to set a trigger amount that prevents your daily loss limit from following your peak balance until your realized gains reach a certain value.<br /><br />The Trailing Limit Type (Dollar or Percent). The Dollar option locks when equity falls more than the Daily Loss Limit amount below the high-water mark. The Percent option means Trading locks when equity drops X% of account equity (peak balance) from the high-water mark. If not distance to drawdown is available, the full balance is used.
</ParamField>

<Tip>
  Set your Daily Loss Limit before connecting a live account. Even a small, configured limit is better than no protection during initial setup. You can always adjust the value after your first session.
</Tip>


This documentation is built and hosted on [Mintlify](https://mintlify.com), a developer documentation platform.