Quick Answer — Sway Funded Rules Overview
- • As of April 2026: Sway Funded offers three account types — Rapid Challenge (1-step), Regular Challenge (2-step), and Instant Account (0-step) — each with different profit targets and drawdown rules.
- • The default drawdown on all accounts is an intraday trailing drawdown based on equity, meaning unrealized losses count against you in real time.
- • News trading is allowed with a 5-minute buffer around specific restricted events; weekend and overnight holding are fully permitted.
- • Copy trading from any source and EAs are both allowed; cross-account hedging across multiple Sway Funded accounts is prohibited.
- • Watch out: the intraday trailing drawdown floor moves up whenever you hit a new equity high — including from unrealized gains on open trades.
Research-based breakdown: I haven't traded Sway Funded personally — my funded accounts are in futures. Everything here comes from their official help center, Terms of Service, and the trading community. Where rules are ambiguous, I've flagged it.
For the full picture, read my complete Sway Funded review. See also the Sway Funded account types guide for full account context. For the absolute latest on rules, check Sway Funded's website or their help center.
Sway Funded is a Forex prop firm launched in February 2024 and based in Dubai, offering three account structures — Rapid Challenge (1-step), Regular Challenge (2-step), and Instant Account (0-step) — each governed by a distinct set of rules covering drawdown, profit targets, leverage, and trading restrictions.
I run futures accounts, not Forex, so I haven't personally traded with Sway Funded. What you'll find here is a thorough breakdown sourced from their official help center, Terms of Service, and trader discussions across the prop trading community. Where their documentation is ambiguous, I'll say so directly.
This overview covers every rule you need to know before depositing.
What Are the Three Sway Funded Account Types?
As of April 2026, Sway Funded offers three distinct account structures. Each has different profit targets, drawdown mechanics, and trading requirements.
Rapid Challenge (1-step): You need to hit a 15% profit target with a 5% daily loss limit and 10% overall trailing drawdown. Minimum 4 trading days, no time limit. Passes immediately after hitting the target if all rules are met.
Regular Challenge (2-step): Phase 1 requires a 10% profit target; Phase 2 requires 8%. Both phases share the same drawdown limits — 5% daily, 10% overall trailing. Each phase has a 4-day minimum, no time limit.
Instant Account (0-step): No evaluation phase. You get funded immediately but with tighter drawdown rules — 3% daily and 8% overall — plus a 20% consistency rule and a minimum of 8 trading days before requesting your first payout.
The Rapid Challenge targets aggressive traders comfortable trading bigger to hit 15% fast. The Regular Challenge spreads risk across two phases. The Instant Account removes the evaluation but imposes the strictest daily drawdown and adds the consistency rule.
How Does the Drawdown Work at Sway Funded?
This is the most important section in this entire article. Get this wrong and you'll blow your account before you realize what happened.
What Is the Default Drawdown?
The default drawdown at Sway Funded is an intraday trailing drawdown based on equity — not balance. This is the most restrictive version of trailing drawdown used in the prop industry.
Two things make it different from EOD (end-of-day) trailing systems:
1. Your unrealized open losses count immediately. If you're down $400 on an open trade on a $10,000 account, your effective equity is $9,600 — and that $9,600 is what the drawdown calculation uses.
2. The trailing floor moves up whenever you reach a new equity high, including unrealized gains. If you're up $300 on an open trade, your floor rises to reflect that $10,300 equity — even though the trade isn't closed.
On a $10,000 Rapid Challenge account with a 10% trailing drawdown, your initial floor sits at $9,000. If you close a trade for $500 profit (account equity = $10,500), the floor rises to $9,450. Now if you enter another trade and it drops $450 unrealized, your effective equity is $10,050 — which is still above the $9,450 floor, so you're fine. But if it drops another $100 to -$550, your equity hits $9,950 — still safe. The math catches traders when the floor has moved up significantly and an open trade goes against them.
What Does the Fixed Drawdown Add-On Do?
The Fixed Drawdown add-on converts the drawdown calculation to end-of-day only. Open trades no longer count against your drawdown until the server resets at 00:00 GMT+3. This removes the intraday equity trap and makes the account behave much more like a standard EOD trailing drawdown model.
For swing traders, news traders, or anyone who holds positions overnight, this add-on changes the entire risk profile of the account. I cover it in detail in the Fixed Drawdown add-on guide.
What Are the Daily Loss Limits?
As of April 2026, the daily loss limits at Sway Funded are:
- Rapid and Regular accounts: 5% of account balance per day
- Instant Account: 3% of account balance per day
The daily loss resets at 00:00 GMT+3 (server reset time). On a $10,000 account with a 5% daily limit, you cannot lose more than $500 in a single calendar day. On an Instant Account at $10,000, the limit is $300.
The daily limit is calculated from balance, not equity — which is a small mercy compared to the trailing drawdown. But the 3% limit on Instant Accounts is punishing. At 1:30 leverage on a $10,000 account, $300 doesn't give you much room if you're trading multiple instruments with real position sizes.
Does Sway Funded Have a Consistency Rule?
The 20% consistency rule only applies to the Instant Account. Rapid and Regular accounts have no consistency rule.
Here's how it works on the Instant Account: if any single trading day generates 20% or more of your total cumulative profit, your profit target adjusts upward to ensure that day doesn't account for a disproportionate share of your gains. Critically, this doesn't fail your account — it shifts the goalposts.
No consistency requirement on Rapid or Regular means you can have one exceptional trading day and it won't trigger any adjustment. That's a meaningful difference if you're trading news events or high-conviction setups where large single-day moves are part of your strategy.
What Trading Strategies Are Allowed?
News Trading
News trading is allowed. There's a 5-minute buffer around specific high-impact events that are listed in your client dashboard. You can't open or close trades in that 5-minute window around those specific events. Check the dashboard before each session — the restricted events list isn't static.
Weekend and Overnight Holding
Fully permitted on all account types. Sway Funded does not require positions to be closed before the weekend or at session end. Triple swap applies on Fridays (standard Forex broker practice for weekend rollover), so factor that into your cost calculations on positions you plan to hold over the weekend.
Copy Trading
Allowed from any source. You can use external signal services, copy from your own live account, or run a strategy on one platform and mirror it to Sway Funded. The rules that apply to your trades — drawdown, daily loss, leverage limits, prohibited strategies — apply regardless of how those trades are generated.
EAs and Automated Trading
Permitted, with exceptions. High-frequency trading, arbitrage, and latency exploitation are prohibited. If your EA is a standard rule-based system that doesn't exploit data latency or platform inefficiencies, it's compliant. When in doubt, contact Sway Funded support before running it — their help center confirms the baseline restrictions.
Hedging
Within a single account, hedging is allowed. You can hold opposing positions on the same instrument simultaneously.
Cross-account hedging — using multiple Sway Funded accounts to hedge against each other — is prohibited and auto-detected. This includes running a long on one Sway account and a short on another to neutralize risk. Getting caught doing this is a ban, not just a rule breach on one account.
What Are the Leverage Limits at Sway Funded?
As of April 2026, leverage at Sway Funded varies by asset class and account type:
| Asset Class | Rapid / Regular Accounts | Instant Account |
|---|---|---|
| Forex | 1:50 | 1:30 |
| Commodities | 1:20 | 1:20 |
| Indices | 1:20 | 1:20 |
| Crypto | 1:10 | 1:10 |
| Stocks | 1:10 | 1:10 |
The Instant Account's lower Forex leverage (1:30 vs 1:50) combined with its tighter 3% daily loss limit means your position sizing windows are narrower across the board. Plan accordingly.
What Are the Payout Rules?
Payouts at Sway Funded are crypto only — BTC, ETH, USDT, or TRX. There is no bank transfer or PayPal option. A 1.5% fee applies to all payouts.
The default profit split is 80/20 in your favor. A 90% split add-on is available for purchase. To request a payout, you need a minimum of $10 net profit and at least 4 trading days completed (8 for Instant Accounts). Processing takes 24 hours.
The crypto-only limitation is a real constraint for traders in regions with restrictive crypto regulations or those who prefer fiat withdrawal options. Factor this in before buying a challenge.
What Are the Account Limits and Administrative Rules?
Maximum simultaneous accounts: 10. You can hold up to 10 Sway Funded accounts at the same time.
Inactivity rule: A challenge expires after 6 consecutive months of no trading activity. This applies to evaluation accounts. There's no stated inactivity rule for funded accounts in the public documentation, but verify this with support if you plan extended breaks.
Margin call warning: Triggered at 100% margin level.
Auto-liquidation: Triggered at 70% margin level. All open positions are closed automatically at this point.
Discount code: FIRST gives 50% off your first challenge as of April 2026.
What Platform Does Sway Funded Use?
Sway Funded runs on Liquid Charts and Liquid Charts Pro, provided by Liquid Brokers. There is no MT4, MT5, or cTrader support. If your current strategy is built around MetaTrader, you'll need to adapt.
Spreads start from 0.0 pips with a $7 per lot commission. The platform covers 245 to 300+ instruments across Forex, commodities, indices, crypto, and stocks.
Frequently Asked Questions
Does Sway Funded use intraday or end-of-day drawdown?
Sway Funded uses intraday trailing drawdown based on equity by default on all account types. This means unrealized open losses count against your drawdown in real time, and the trailing floor moves up whenever you reach a new equity high — including from unrealized gains. Traders can purchase the Fixed Drawdown add-on to convert to an end-of-day calculation.
What is the profit target for Sway Funded's Rapid Challenge?
As of April 2026, the Sway Funded Rapid Challenge has a 15% profit target with no time limit and a minimum of 4 trading days. The drawdown limits are 5% daily and 10% overall trailing. Traders who purchase the 20/10 add-on double both limits, raising the Rapid Challenge profit target to 30%.
Does Sway Funded allow news trading?
Yes, Sway Funded allows news trading. There is a 5-minute buffer period around specific high-impact events listed in your client dashboard — you cannot open or close trades during that window for those events. Outside of those restricted windows, news trading is fully permitted on all account types.
Can you hold trades over the weekend at Sway Funded?
Yes, Sway Funded fully permits weekend and overnight holding on all account types. There is no rule requiring positions to be closed before the weekend or at session end. Triple swap applies on Fridays due to standard Forex rollover conventions for the weekend gap.
What is the Sway Funded consistency rule?
The 20% consistency rule only applies to the Sway Funded Instant Account. If a single trading day generates 20% or more of your total cumulative profit, the profit target adjusts upward to compensate. This adjustment doesn't fail the account — it changes the target. Rapid Challenge and Regular Challenge accounts have no consistency rule.
Is copy trading allowed at Sway Funded?
Yes, Sway Funded permits copy trading from any external source, including signal services and personal live accounts. All standard Sway Funded rules still apply to copied trades — including drawdown limits, daily loss limits, leverage restrictions, and prohibited strategies like HFT and arbitrage.
What leverage does Sway Funded offer on Forex?
As of April 2026, Sway Funded offers 1:50 leverage on Forex for Rapid and Regular Challenge accounts, and 1:30 for Instant Accounts. Commodities and indices are 1:20 across all account types. Crypto and stocks are 1:10 across all account types.
How do Sway Funded payouts work?
Sway Funded pays out in cryptocurrency only — BTC, ETH, USDT, or TRX — with a 1.5% processing fee on all withdrawals. The default profit split is 80%, upgradeable to 90% with an add-on. A minimum of $10 net profit and 4 trading days are required before requesting a payout (8 days for Instant Accounts). Processing takes 24 hours.
Is cross-account hedging allowed at Sway Funded?
No, cross-account hedging between multiple Sway Funded accounts is explicitly prohibited and auto-detected. Holding a long on one Sway account and a short on another to neutralize risk is a breach that can result in a ban. Within a single account, standard hedging — holding opposing positions on the same instrument — is permitted.
What happens to a Sway Funded challenge if you go inactive?
A Sway Funded evaluation challenge expires after 6 consecutive months of trading inactivity. Since there is no time limit to complete the evaluation targets, the only way to lose an evaluation account to time is by not trading at all for 6 months. Regular trading activity — even minimal — keeps the challenge alive.
The bottom line: Sway Funded's rule set is more permissive than most Forex prop firms on paper — no time limits, news trading allowed, copy trading allowed, weekend holding permitted. But the intraday equity-based trailing drawdown is genuinely unforgiving and catches traders who underestimate how quickly the floor moves. If you're considering Sway Funded, either trade with tight enough position sizes that the intraday floor doesn't matter, or buy the Fixed Drawdown add-on and trade the account like a normal EOD model. Anyone who ignores the drawdown mechanics and just focuses on the profit targets will breach an account they should have passed.
