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Topstep Trader Review: Is it legit, safe and trustworthy for UAE citizens and residents?

In the year 2012, Michael Patak established TopstepTrader. According to INC.5000, TopstepTrader is one of the 5,000 firms in the United States that are expanding at the quickest rate. This is a resounding indication that the goods and services offered by TopstepTraders are precisely what the vast majority of traders are looking for. Visit TopStepTrader Website.

The idea is not particularly complicated. Traders that meet the requirements can use the cash provided by TopstepTraders to trade futures on a funded account, and they will keep the first $5,000 in earnings made on the account, as well as 80 percent of the gains made after that.

In order to participate in the competition known as Trading Combine, you will need to pay a monthly subscription that begins at $132 per month if you use our discount coupon.

The following are some other noteworthy facts (taken from the TopstepTrader website):

Over 10,000 traders have used the funds provided by Topstep.
6 033 funded accounts in 2020 and 8 389 funded accounts in 2021
Withdrawals totaling more than $2,000,000 processed in 2020; withdrawals totaling more than $3,200,000 handled in 2021
97 percent of traders are happy with their funding.
Coaching for performance is accessible.
There are 13 different trading platforms offered (TSTrader, NinjaTrader and TradingView recommended by TST)
Trustpilot A TrustScore of 4.4 out of 5

In the past two years, there have been more than 10,000 traders who have been successful in getting their accounts financed as a reward.

It makes no difference if you are a citizen of the United States or if you live in any other country in the whole wide world. The global community of traders comes from 143 different nations all over the world.

Start trading with a free 14-day practice account with $150,000 (no credit card necessary) in the first stage. Alternatively, you may enter the challenge of TopstepTrader's Trading Combine to determine if you will be considered for a Funded Trading Account.

Both the Trading Combine and the Funded Trader Preparation accounts on TopstepTrader are simulated trading environments in which you engage in real-time trading while your performance is evaluated to determine whether or not you will be accepted as a funded trader.

Only futures are available for trading. You have complete access to trade all sorts of products offered by CME Group using one of these two alternatives, including the ES (E-mini S&P 500), NQ (E-mini NASDAQ 100), and CL (Oil).

As soon as you have sufficient funds in your trading account, you will be able to participate in product trades on the EUREX market. Now is the time for further information and specifics on the process of becoming a trader who is financed.

Demonstrate that you have what it takes to succeed in TopstepTrader's Trading Combine. When you enter the Trading Combine, you will be given an unlimited amount of time to achieve the objective by trading in accordance with the guidelines. You will, however, be responsible for making the monthly payment for the membership beginning on the day that you signed up and continuing until the month in which you either reach the goal or cancel your subscription.

At any moment during a Trading Combine, for the sum of $99, you will have the opportunity to reset both the balance on your account as well as the regulations that govern it. This reset cost is in addition to the monthly payment, and it will have no impact whatsoever on the amount that you are obligated to pay each month.

You will have the option of beginning the simulation with a starting balance of either $50,000, $100,000, or $150,000. The price for a 50k account under the usual pricing structure starts at $165. You also have the option to choose the $100k account, which costs $325 per month, or the $150k account, which costs $375 per month. The $50,000 account is by far the most common option.

There will be variations in the monthly price, the profit objective, the maximum position size, the daily loss limit, the weekly loss limit, the trailing maximum drawdown, and the daily loss limit, depending on the option that you select.

When you successfully finish the Trading Combine, the starting amount of your funded account will be determined by the account balance that you choose in the Trading Combine. This is an additional factor that should not be overlooked because of its significance.

Therefore, if you open an account with Trading Combine that has a starting amount of $50,000 and a monthly cost of $165, then in the event that you are successful, you will have access to a funded account that has a balance of $50,000.

During the course of the Trading Combine, there are two stages that you are required to complete:

Trade for at least five days (the days do not need to be in a row) without violating any of the Trading Combine's rules, and make at least the minimum amount of profit it requires.


This first phase is less difficult to complete than the others since the rules are restricted to only:

Achieve the desired level of earnings,
Make sure you're using the right maximum position size,
Do not allow your account balance to reach or exceed the trailing maximum drawdown, and do not allow your daily loss to go above the daily loss limit (which is monitored and calculated in real time during the trading day).

Consider the following scenario: you have decided to use a starting balance of $50,000.

You are required to engage in active trading for a total of five days, although those days do not need to be consecutive. After that, you must achieve a profit objective of $3,000. (no time limit)
You are only allowed to trade a maximum of 5 contracts at once; if you try to trade more, your transaction will be rejected.
The daily loss limit is $1,000, and you are considered to have failed the challenge if you ever go below this level.
If, at the end of a trading day during the challenge, your trailing maximum drawdown is less than $2,000, then you did not succeed in meeting the requirements of the challenge.
What exactly is the purpose of step 1?

You demonstrate to the company that you have a consistent performance and that you are aware of what you are doing.
Your tactics are adaptable to a variety of different market scenarios.
By selecting a different beginning balance, you are subject to a new set of guidelines. It is quite necessary to choose the appropriate plan with consideration. Last but not least, you will have successfully completed step 1 of the Trading Combine provided you play by the rules and make the predetermined amount of profit.

Step 2: Form a Trading Combine

Formerly known as "TopstepTrader's Funded Trader Preparation," step 2 of the TopstepTrading Trading Combine is now known as "TopstepTrading's Trading Combine."

After you have completed step 1, your account will be assessed after the trade reports you have generated are posted at 4 PM Central Time. After you have gotten an email from TopstepTrader verifying that step 2 is active, you will proceed to the next, more difficult step.

The second step of the Trading Combine resets everything to its beginning state. If you have selected the Starting Balance option, which is $50,000, then the following applies:

You are required to engage in active trading for ten days
You need to once more achieve the desired level of profits.
Starting out, the scaling plan only allows you to trade a maximum of two contracts at once; however, as more money is added to the account, the number of lots you may trade increases. If you trade more, you failed
The daily loss limit is $1,000, and you are considered to have failed the challenge if you ever go below this level.
If, at the end of a trading day during the challenge, your trailing maximum drawdown is less than $2,000, then you did not succeed in meeting the requirements of the challenge.
You now now need to be wary of the maximum amount of money that may be lost every week.
During big economic announcements, you are not permitted to engage in trading.
It is essential to proceed according to the scaling strategy (the maximum number of lots you can trade depends on the account balance)
It is essential that you be aware that the resetting of step 2 may be done in the same manner as step 1. If you choose to reset your account while in step 2, you will remain in step 2 of the challenge; however, you are free to reset your account as many as you choose. On the other hand, there is a one-time charge of $99 associated with every reset.

The second phase is more difficult than the first since there are fewer contracts to manage and the restrictions are stricter. However, you still need to meet the same profit objective that you did in the first step.

Before you can get started, you need to get a grasp on a lot of different specifics. Because if you are not aware of the specific specifics, you run the risk of failing because you were unaware that there was a restriction until it was too late.

As an instance, if you successfully completed step 1 by trading 5 lots each time and then immediately began step 2 by trading 5 lots, you would have failed step 2 due to the fact that in step 2 you are required to adhere to the Step 2 scaling plan.

The charts present the data in a variety of formats, including candlesticks, bars, lines, heiken ashi, renko, point and figure, and bid/ask volume, amongst others. You also have the option to display bars in time periods, ticks, volume, range, or momentum range on the charts.

The charts are clearly better than average, although they have a tendency to be clumsy at times. This is mostly because they do not have auto-scaling like other charting applications, such as TradingView.

A market replay function may be used using TopstepTrader's integration with the Tradovate platform. When compared to other market replayers such as TradingSim and thinkOnDemand, it falls short in some key areas.

You have the ability to choose your start date and time, as well as your pace and starting balance, with Topstep. Both TradingSim and thinkOnDemand contain the above mentioned characteristics in addition to many more. Some examples of these additional features are TradingSim's ability to fast-forward to any period and thinkOnDemand's extensive selection of asset classes that are accessible for simulated trading.

Traders on the simulation are able to trade any product offered by CME Group, while sponsored traders additionally have access to items offered by EUREX.

Combine Reset: If you blow up an account while you are in the "Combine" phase of your trading strategy (the simulation), TopstepTrader will charge you $100 to reset the account.

Commissions: TopstepTrader claims to give "free" commissions in addition to exchange and regulatory fees; however, they charge $0.18 per contract as a "transaction fee," which isn't charged by other firms such as NinjaTrader, eSignal, MarketDelta, and others. Commissions: TopstepTrader claims to give "free" commissions in addition to exchange and regulatory fees.

There are two procedures involved in getting money transferred into your account. As you can see up above, the first step is to demonstrate that you are capable of becoming a productive trader. This requires reaching specific milestones, which include limiting your losses and reaching a certain profit goal. After that, you need to demonstrate that, despite being profitable, you are able to trade without taking on a great deal of risk. This can be accomplished by scaling into and out of your large positions, avoiding holding positions into economic releases, and maintaining a loss limit for each week that you trade.

The fact that the real account size statistics are a little bit abstracted is the most major criticism that can be leveled against the funded account scheme. TopstepTrader may inform you that they are financing you with $100,000 or $150,000, but the "trailing max drawdown" is the most money you can ever lose. For example, in an account that has been filled with $50,000, their trailing max drawdown is $2,000. This indicates that the maximum drawdown that can occur at any moment throughout the trading day is $2,000 of the equity in your account. To further highlight the idea, here is a chart courtesy of TopstepTrader:

Another issue that is frequently leveled with TopstepTrader is that they have historically financed a very limited number of traders. Since the company first opened its doors in 2012, they have provided funding for 1,537 projects, which demonstrates the rigorous criteria they use to select projects to finance. After obtaining funding, a significant number of traders eventually find themselves eliminated shortly thereafter and returned to the trading simulation. Many people believe that this only illustrates how unusual it is for traders to be successful, and that it is more of a reflection on the difficulties of trading in general than on TopstepTrader.

According to the data provided by TopstepTrader, the company has only funded 1,537 traders in total, has an average weekly profit of $549, and the vast majority of their traders are not active at any given time. As a result, it would appear that the majority of TopstepTrader's revenue comes from the sale of subscriptions to their trading simulation and the promise of obtaining a funded trading account.

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However, it is certain that TopstepTrader would be an outstanding tool for determining whether or not you have the potential to be a prosperous trader. If you are unable to secure funding, it is possible that your reputation as a trader is not as strong as you believed it to be.

In the end, TopstepTrader is honest about their company and how it operates. They do this by charging traders a fee to access the simulation because the great majority of traders will never get funded. Despite this, they will keep their promise and finance you if you are able to satisfy the funding standards that they have established.

 

 

Reviewed by Arpita Singh

Arpita SinghArpita Singh is the main writer at ForexBroker.ae. As a senior investment professional with 10+ years of experience working at top-tier Private Equity and Sovereign Wealth Fund; she is also responsible for fact-checking concepts, reviews, and related details about brokers and exchanges listed on this website. Full Bio.