In short. The profit target is the gain a trader must reach to pass a prop firm evaluation, usually 6 to 10 % of the nominal account size: $3,000 on a 50K account, $6,000 on a 100K. It is reached in closed profit, and the firm checks that no rule was broken on the way.
What makes a target easy or hard is its ratio to the drawdown. A $3,000 target with a $2,500 drawdown can be hit with one and a half 'drawdowns' of gain; a $9,000 target with a $3,000 drawdown needs three. The second asks for a much better edge, or much more time.
Some firms cap how much of the target one day may contribute (a consistency rule). Hitting the target in one big day then breaks the rule and the target has to be 'rebuilt' with smaller days. Check the rule before celebrating a large day.
Questions traders ask
What is Profit target?
The profit target is the gain a trader must reach to pass a prop firm evaluation, usually 6 to 10 % of the nominal account size: $3,000 on a 50K account, $6,000 on a 100K. It is reached in closed profit, and the firm checks that no rule was broken on the way.