At the start of each 24-hour period, a snapshot of the account’s current equity is taken. The “maximum daily loss” percentage is applied to this equity value to determine the maximum allowable loss before an account fails. The failure point is the current equity minus the allowable loss amount. If account equity falls to or below this level within the 24-hour window, the challenge account is failed.
Daily Drawdown Resets at 21:00 UTC.