What Is This Rule?
FFN monitors trade execution data at the end of every trading session to identify high-frequency trading patterns. This rule exists to ensure that trading activity on FFN accounts reflects strategies that are viable in a real, live market — not patterns that are only possible in a simulated environment.
This rule applies to all account types and phases. It will not affect the vast majority of traders.
The Rule
No more than 30% of trades placed within a single trading session may have a round-trip duration of at or under 5 seconds.
A trading session is defined as 6:00 PM ET to 5:00 PM ET the following day, Monday through Friday. Compliance is assessed at market close at the end of each session. This report is run automatically at the close of every trading day.
Why This Rule Exists
Rapid entry and exit patterns at or under 5 seconds — sometimes referred to as order spamming or unrealistic scalping — are not executable in a live funded account due to real market conditions, slippage, and execution latency. FFN does not permit strategies that exploit the simulated environment in ways that would not translate to a live account.
Consequences
| Violation | Consequence |
|---|---|
| More than 30% of trades in a single session have a round-trip duration at or under 5 seconds | Account is considered failed. The account and all profits are forfeited immediately. There is no appeal process. |
| Repeated violations across multiple sessions | Further consequences up to and including a permanent ban from FFN. |
| 🚫 No Appeals for HFT Violations: If your account is failed under this rule, there is no appeal process. All profits in the account are forfeited. |
Important Notes
- This rule applies to both manual and automated trading strategies. If your EA or algorithm executes a significant portion of trades at or under 5 seconds, it is subject to this rule regardless of whether it is manual or automated.
- Compliance is measured on a per-session basis — not as a rolling average across multiple days. Each session is assessed independently.
- If your account is failed under this rule, there is no appeal process. All profits in the account are forfeited.
Q: How do I know if my strategy is at risk?
A: If you are manually scalping or running an automated strategy that regularly opens and closes positions at or under 5 seconds, review your trade history. If you are unsure whether your strategy meets this threshold, contact FFN support or your risk manager before your next session.
Q: Does this rule apply during evaluation?
A: Yes. This rule applies across all account phases — evaluation, exhibition, and funded.
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