The5ers is a renowned prop firm for traders who want to turn their trading passion into a full blown trading career. You can start with their BootCamp specifically designed for beginners who want to join The5ers and start prop trading. Bootcamp is a 3 step challenge. If you want to get funded fast, you can select the 2 step High Stakes or 1 step Hyper Growth challenge. But  first, you need to discover the rules that will help you continue a for a long term on The5ers.

The5ers are committed to honesty, clarity, and total transparency in the processes and rules. They offer a scaling up to $4 million in funded trading and industry best spreads.

In this blog we will explain what The5ers Daily Pause and Stop Out mean. How it affects the traders performance and account, and how to mange them to continue trading on The5ers for a long term.

If you also want to read other The5ers important blogs and gather more information about The5ers prop firm, refer to the The Trusted Prop The5ers Blogs.

What is The5ers Daily Pause?

The Daily Pause is the The5ers loss protection strategy. The daily pause is a loss protection that helps traders avoid significant losses. It is a the5ers risk management parameter that protects traders from running into high losses. The Daily Pause works on the Hyper Growth stage in all stages and the Bootcamp funded stage.

How does The5ers daily pause work?

When an account hits the daily pause level, all open trades get closed, and the account remains disabled until the next trading day.
The daily pause is taken from midnight 00:00 GMT+3 from the balance or equity of your account, the highest between them.
Suppose your balance is $10,500 at midnight, your daily pause level will be 3% of $10,500. This means if your equity falls below $10,185 you will be paused for that trading day, and your account will only reopen after 00:00 GMT+2.

What is The5ers Stop Out?

The equity stop-out level (The5ers drawdown) is the lowest value of the account allowed. Once the account equity value is below this level, the fund will close all running trades, and disable trading and access. No matter how much the trader profits in the account, the maximum loss (drawdown) allowance increases. The trader can always choose to keep profits in the account in order to increase the maximum drawdown amount. Any payouts requested will reduce the account balance, hence reducing the maximum drawdown.

How does The5ers Stop Out work?

Example for Hyper-Growth: If the initial balance is $10,000 and the maximum drawdown of 6% is $600 then the account will be closed below the equity level of $9,400, Let’s say your account goes up to $10,300, the maximum drawdown is now $900.
 

Example for High Stakes: If the initial balance is $5,000 and the maximum drawdown of 10% is $500 then the account will be closed below the equity level of $4,500. Let’s say your account goes up to $5,300, the maximum drawdown is now $800.
 

Example for Bootcamp: If the initial balance is $10,000 and the maximum drawdown 5% is $500, the account will be closed below the equity level of $9,500. Let’s say your account goes up to $10,300, the maximum drawdown is now $800.
 

The5ers Stop Out & Daily Pause Risk Management Parameters

The5ers Stop Out & Daily Pause are critical risk management parameters that a trader must maintain to survive in the the system.
 

Let us look at the Stop Out and Daily Pause levels and targets in each The5ers account: HyperGrowth, High Stakes, and Bootcamp. As you can see, the stop out and daily pause applies to the HyperGrowth challenge and funded stage while for the Bootcamp program it applies to the funded stage.

1. The5ers HyperGrowth Account

The5ers Risk Management: HyperGrowth Stop Out & Daily Pause Targets Table

Here is a quick overview of The5ers HyperGrowth 1 step challenge rules to pass the evaluation:

2.  The5ers High Stakes Account

The5ers Risk Management: High Stakes Maximum Daily Loss & Maximum Loss targets Table

Here is a quick overview of The5ers High Stakes 2 step challenge rules to pass the evaluation:

3. The5ers Bootcamp Account

The5ers Risk Management: BootCamp Stop Out & Daily Pause  Target Table

Here is a quick overview of The5ers BootCamp 3 step challenge rules to pass the evaluation:

Conclusion

The5ers has built a strong reputation in the prop trading industry by prioritizing structured risk management and long-term trader sustainability. Its drawdown rules especially the distinction between a Daily Pause and a Stop Out, reflects a trader-first approach that encourages discipline rather than sudden disqualification.
 

If you are considering to start funded trading with The5ers, then choosing the right funded account type is key:
   • The5ers Bootcamp - a structured 3-step challenge for gradual skill development
   • The 5ers High-Stakes - a 2-step challenge designed for experienced traders
   • The5ers High Growth - a streamlined 1-step challenge with faster access to scaling
 

For traders who want a deeper breakdown of rules, payouts, and real-world trading conditions, we recommend reading the full The5ers review on The Trusted Prop where we cover everything you need to know before getting started.