What are ThinkCapital's guidelines regarding gambling or reckless trading behavior on the platform?

At ThinkCapital, we prioritize responsible trading and prohibit any behavior resembling gambling or reckless betting. We expect traders to use sound risk management strategies, and we do not allow high-risk speculative trading that undermines long-term consistency.

What is Gambling in Trading?

Gambling in trading refers to high-risk actions aimed at quick gains without proper analysis or risk management. This includes overleveraging, overexposure, excessive scalping, all-in strategies, and doubling down on losing trades. These behaviors increase the risk of losing capital and are not permitted on our platform.

Examples of Gambling Practices

1. Overleveraging: Opening large positions that use most of your margin. Even small market movements can result in large losses, leading to breaches of ThinkCapital’s rules.
   • Example: A trader uses 80% of their margin on one trade, causing a breach when the market moves slightly against them.
2. Overexposure: Betting heavily on correlated assets, mistakenly thinking it’s diversification. This amplifies risk on a single asset.
   • Example: A trader opens long positions on USD/JPY, EUR/USD, and GBP/USD. All bets depend on the performance of the US Dollar, creating overexposure.
3. Excessive Scalping: Placing and closing trades within one minute repeatedly, which is not allowed. Scalping in this manner shows no responsible trading intent.
   • Example: A trader places 100 trades, with over 50 of them closed in less than 60 seconds. This is considered excessive scalping.
4. Martingale Strategy: Continuously opening new positions in the same direction after losses to recover, which compounds risk and breaches our risk limits.
   • Example: A trader opens five consecutive long positions after losing, increasing exposure without risk management, and breaching our rules.
5. All-in or Betting Behavior: Risking a large portion of your balance in a single trade without proper risk management, ignoring long-term trading principles.
   • Example: A trader places 10% of their account balance in one trade without a Stop Loss, putting the entire account at risk.
6. One-Sided Bets: Holding a large position without diversification or proper risk controls, such as ignoring Stop Losses.
   • Example: A trader doubles down on a losing position, hoping the market will reverse, leading to significant risk exposure.
7. Account Rolling: Purchasing multiple evaluation accounts to engage in high-risk strategies, assuming you can simply switch accounts if one fails.
   • Example: A trader buys multiple accounts and uses high-risk strategies on one, planning to continue on others if the first account fails. This practice is prohibited.

Consequences of Gambling Behavior

• Initial Warning: Traders caught engaging in gambling-like behavior will receive a formal warning and be advised to adjust their strategies.
• Escalation of Violations: Continued violations may result in account restrictions, progress resets, or limited access until the trader demonstrates responsible trading behavior.
• Account Breach and Termination: Persistent non-compliance will lead to account suspension or termination, and the trader may be permanently barred from participating in ThinkCapital programs.

Promoting Responsible Trading Practices

Trading is not gambling. Success comes from disciplined strategies, proper risk management, and consistency. At ThinkCapital, we support traders who take a professional approach and encourage long-term growth. Quick, high-risk bets without a plan are not tolerated.