Avoid Trading Directly Before or During Limit Moves
Please try not to be in a trade directly prior to or during a limit up/down move. CME Group updates daily price limit levels for each instrument here: CME price limits.
Limit Halts and Flash Crashes Can Trigger Liquidation
Erratic movements can cause data lag issues and/or price spikes. This can trigger Rithmic to liquidate your positions based on the trailing drawdown limit. If this happens, your account has likely been disqualified.
⚡ Why These Events Are Dangerous
During a limit halt, flash crash, or extreme volatility event, the market may move faster than normal systems can update. This can create temporary but serious issues with pricing, liquidity, fills, and platform data.
Price Spikes
Sudden moves can push your account value below your trailing drawdown threshold.
Data Lag
Market data may update slower than expected during extreme volatility.
Liquidation Risk
Rithmic may liquidate your positions if drawdown rules are triggered.
Your Responsibility as a Trader
While Tradentry does not have a general rule against trading during news, it is your responsibility to avoid events that are likely to cause erratic market movements, such as FOMC meetings, major economic releases, limit moves, or abnormal volatility conditions.
If you choose to trade during these conditions, you accept the risk that volatility, platform behavior, data delays, price spikes, or liquidation events may affect your account.
Software, Hardware, Data, or Trader Errors
Tradentry is not responsible for any issues or glitches involving software, hardware, market data, platform behavior, connection problems, or errors made by the trader.
Final answer: if you are in a trade during a limit halt, flash crash, or extreme volatility event and your account violates the trailing drawdown limit, your account may be liquidated and likely disqualified.