What is the Daily Loss Limit (Evaluation and Funded phases)?

The Daily Loss Limit is the maximum amount an account may lose on a single trading day. A violation of the Daily Loss Limit is considered a hard breach, and the account will be terminated. The Daily Loss Limit follows an intraday trailing drawdown. This level trails the greater of the daily balance high water mark and the daily equity high water mark.
Example: On a $100,000 account with a 2.5% Daily Loss Limit, the starting breach level for the day is $97,500. If during the day equity reaches $102,000 and balance reaches $101,000, the higher value of $102,000 becomes the daily high-water mark. The new breach threshold becomes $99,450, which is 2.5% below $102,000. If the account equity falls below that amount during the day, the account breaches. If the day ends with both balance and equity at $101,000, then the next day begins with a new breach threshold of $98,475, which is 2.5% below $101,000.