How to Pass Your TEFS Prop Firm Challenge and Keep the Account

🎯 How to Pass Your TEFS Prop Firm Challenge and Keep the Account

At TEFS, you get professional trading tools, access to over 2,500 US stocks plus forex, futures, and crypto, and the opportunity to trade a large account without risking your own capital. Passing the TEFS challenge is possible for anyone who combines discipline, preparation, and a solid plan.

This is your roadmap to success.

📚 1. Understand the TEFS Challenge Rules

Before you even think about placing a trade, you need to know the rules that keep traders in the game.

●    Max Drawdown: The maximum your account can drop from your starting balance. It stays fixed. (Read more)

●    Max Daily Drawdown: The most you can lose in a single day, resetting daily. (Read more)

TEFS also explains the difference between these two in detail here: Max Drawdown vs Max Daily Drawdown.
Think of these limits as guardrails that keep your account from going over the cliff.

📝 2. Build a Real Trading Plan

A trading plan is your strategy manual. It should outline:

●    Entry and exit conditions

●    Risk per trade

●    Maximum daily loss

●    Risk-to-reward ratio

If your plan is “buy and hope,” it is not a plan. TEFS gives you the time and tools to trade thoughtfully without rushing through the challenge. Learn more about why traders fail and how to avoid it: Why Most Prop Traders Fail.

⚖️ 3. Master Risk Management and Leverage

Leverage is powerful but dangerous if used without control. TEFS offers leverage that can boost your buying power, but it can just as quickly magnify losses. (Unlock the Power of Leverage)

A safe approach:

●    0.5% to 1% risk per trade is sustainable

●    Over 2% is aggressive and risky

●    Always set stop-loss orders

●    Keep both floating and closed losses in check

😌 4. Control Your Emotions

Fear, greed, and revenge trading can turn a good trading day into a disaster.

●    Revenge trading: Trying to win back losses too quickly

●    Fear: Missing good opportunities due to hesitation

●    Greed: Holding winners too long and giving profits back

A calm trader is a consistent trader. TEFS recommends taking breaks, limiting trades per day, and journaling your decisions.

📈 5. Trade the Right Instruments

TEFS offers a wide range of markets: stocks, forex, metals, indices, commodities, and crypto. (Explore the Financial Instruments Offered by TEFS)

Pick markets you understand. If you do not know how an instrument moves, leave it alone until you have studied it.

🖥 6. Learn the TEFS Platform

Know how to place, modify, and close trades before you trade live. Wrong order types or execution errors can cost you your challenge. TEFS provides tutorials and live support so you can operate the platform confidently.

🛠 7. Prepare Before You Go Live

If your strategy fails on a demo account, it will fail faster on a live funded account. Preparation steps:

●    Backtest your strategy

●    Trade it in a demo environment

●    Keep a detailed trading journal

●    Adjust and refine before the challenge

🤖 8. Use Automation Wisely

Trading bots and indicators can help with execution and alerts, but they should support your strategy, not replace it. If you do not understand why a bot is making a trade, you are not in control.

🏆 The TEFS Success Formula

Passing a TEFS challenge comes down to:

●    Knowing the rules inside and out

●    Sticking to a tested trading plan

●    Managing risk with discipline

●    Controlling your emotions

●    Choosing instruments wisely

●    Preparing thoroughly before live trading

Follow these steps and you will trade with the confidence of someone who is already funded.