Upcomers Challenge Phase 1 Complete: What I Learned and What's Next
I completed the first of three phases of the Upcomers $50k challenge. Here's what I learned, how I did, and what the next steps are.
Phase 1 Complete
I passed the first step towards getting funded through Upcomers. Phase 1 is complete with a profit goal of 3% and 3 trading days with 1% gains. I have been trading 2 strategies on this account, 1 for stocks and 1 for Forex. The Forex trades were more successful for hitting the 1% days. I had wins and losses with both strategies, currently 69% wins and 31% losses.
What I Learned
The first few trades were mostly learning how to use the platform and getting comfortable with their rules and how their rules work with my risk management. The 1% days were my biggest learning curve. I started the challenge intending to take every position with a 0.5% total risk, cutting that to 0.25% if I had a string of losses or positions open with correlated pairs or stocks in the same sector. The two strategies I trade are both swing trades, and it isn’t always easy to predict if they close on the same day or if they will run beyond the 1:1 ratio. I ended up increasing the risk to 1% per trade to make sure I could hit the 1% day goal on a single trade with the 1:1 ratio on the Forex strategy. This worked, but I need to reduce the number of positions open at the same time to make sure I don’t risk the daily drawdown or max drawdown limits if the trades lose. The 6% drawdown feels generous, but I do not want to expose any more than 2% of the account at any given time. This makes progress slower but also gives me more room for consecutive losses without risking losing the account.
Overtrading is a real temptation with slow growth, but the 1% daily goal cuts both ways. It sounds small, but the pressure to hit it can push toward taking trades that aren’t there. I’ll need to manage that carefully and stick to the plan.
Phase One Breakdown
| Total Trades | 29 |
| Win Rate | 69.0% |
| Net P&L | +$1,711.65 |
| Wins / Losses | 20 / 9 |
| Avg Win | $179.81 |
| Avg Loss | $209.40 |
| Win/Loss Ratio | 0.86 |
| Trades | Win Rate | Net P&L | |
|---|---|---|---|
| Forex | 17 | 70.6% | +$1,013.84 |
| Stocks | 12 | 66.7% | +$697.81 |
Both strategies are performing as expected from my backtesting with a higher win rate rather than a higher R:R. I will continue to monitor the account, adjust my risk management and entries to make sure I am following the rules of the strategies. I am happy with the progress so far, but I know there is still a long way to go.
Phase Two
Phase 2 has the same goal of 3% profit and 3 trading days with 1% gains. I am going to stick with the same two strategies, increasing the risk to 1% per trade and only opening two positions at a time. I will be more selective to choose the best setup for each trade. Fortunately, since they are both swing trades, I have time to make a decision before entry. It can actually be harder to wait for the entry to happen and not enter too early. When a day closes with the 1% gain, I’m done for the day. I won’t chase another trade and risk losing the day. The goal is to pass the challenge and get funded.