1. What is MAE (Maximum Adverse Excursion)? #
MAE measures how far a trade moves against you before recovery or closure.
High MAE indicates that too much of the account’s available drawdown is being risked on a single position.
MAE is one of the strongest indicators of whether a trader is managing risk with discipline or allowing trades to approach liquidation.
2. What triggers an MAE Warning? #
A Warning Flag is issued when: You breach 50% of the Maximum Allowed MAE on any Gladiator account based on the drawdown the account was purchased with irrespective of profits on the account.
Examples:
- $25K Intraday (Max DD $1,250) → MAE limit = $625
- $50K Intraday (Max DD $2,500) → MAE limit = $1,250
- $100K Intraday (Max DD $5,000) → MAE limit = $2,500
- $25K EOD (Max DD $1,225) → MAE limit = $612.50
- $50K EOD (Max DD $2,250) → MAE limit = $1,125
- $100K EOD (Max DD $4,500) → MAE limit = $2,250
3) How are MAE Warnings counted if multiple trades exceed MAE on the same day? #
MAE Warnings are counted per trading day, not per trade.
If one or more trades on the same account exceed the MAE limit during the same trading day, that day is recorded as one MAE Warning.
Example: If a trader places 10 trades in one day and several of them breach the MAE limit, the account receives one MAE Warning for that day, not multiple.
Each new trading day that breaches MAE counts as another warning, up to the maximum of 3 MAE Warnings per account lifetime.
4) Does the MAE limit increase if I’m in profit? #
No.
- MAE is always based on the original max drawdown
- Profit buffer does not increase the MAE allowance
5) How many MAE Warnings are allowed? #
- 3 MAE Warnings total per account lifetime
6) What happens when I get 1 MAE Warning? #
- Your current Benchmark progress resets:
- Qualifying trading days reset to 0/5
- No impact on previously accumulated benchmarks on the account
- You may continue trading if the account is still active
7) What happens when I get 2 MAE Warnings? #
Same impact as the first warning.
8) What happens when I get 3 MAE Warnings? #
- The account is permanently failed
- No appeals
- No reinstatement
9) Can MAE Warnings be appealed? #
No, MAE Warnings are system enforced and non appealable
10) Does MAE apply across all accounts or per account? #
Per account.
The 3 warning limit is tied to that specific account’s lifespan.
