The Daily Drawdown is initially calculated as 5% of your account's starting balance or the "scaled" balance (the balance after a payout). At each market rollover (2:00 am UTC+4), the Daily Drawdown is recalculated based on the higher value between your account’s equity and balance at the start of the new trading day.
Example:
At the beginning of a new trading day (2:00 am UTC+4), if your simulated account’s equity is $103,000 while the balance is $100,000, the Daily Drawdown (5%) will be calculated based on the higher value, which is $103,000.
5% of $103,000 equals $5,150, meaning the daily stop-out level would be set at approximately $97,850 (rounded to $98,000 for simplicity) for that day. At the next market rollover, your equity and balance will be reassessed to calculate the new Daily Drawdown limit.