EOD Trailing Drawdown
A trailing drawdown that only moves up at the end of the trading day, not tick-by-tick during the session.
Definition
An end-of-day (EOD) trailing drawdown is a variation of the trailing drawdown where the high watermark — the point from which your loss is measured — only updates at the close of the trading day. Intraday peaks do not move the drawdown limit. This is a more favourable version of the trailing drawdown for traders who take large intraday swings.
Example
With an EOD trailing drawdown: if your account starts at $100K with a 5% trailing limit, and you hit $108K intraday but close the day at $103K, your drawdown limit only moves to $103K × 5% = $94,850 — not to $108K × 5% = $102,600 as it would with a live trailing drawdown. The intraday peak doesn't count.
Why It Matters
EOD trailing drawdowns are significantly more forgiving for active intraday traders. They allow larger intraday positions without the risk that a strong open followed by a weak close locks in an excessively high watermark. Futures-focused firms like Apex Trader Funding use this model.
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Related Terms
Trailing Drawdown
A drawdown limit that moves up as your account balance increases, but never moves down.
Static Drawdown
A fixed maximum loss limit calculated from your starting account balance, not your peak balance.
Max Drawdown
The overall account loss cap — the total amount an account can drop before the firm closes it.
← All termsLast updated 2026-04-21