Futures trading is highly speculative, leveraged, and not suitable for everyone. Trade only with risk capital—money you can afford to lose without affecting living expenses, emergency savings, debt obligations, or long-term financial goals.
1. Purpose and scope
This Risk Disclosure is provided by K3C DIGITAL LLC in connection with Automatic Pilot Method (“APM” or the “Software”), licensed NinjaTrader 8 software designed to apply predefined rules to MNQ futures.
This page is supplemental. It does not replace disclosures, account agreements, margin information, or suitability requirements provided by your broker, futures commission merchant, introducing broker, exchange, prop firm, data provider, or platform provider. Read every applicable third-party document before opening or trading an account.
2. No guarantee of profit
No trading strategy, algorithm, software, stop-loss order, risk setting, historical result, or automation can guarantee profit, prevent loss, or predict future markets. APM may generate losing trades, consecutive losses, drawdowns, and results materially worse than previously observed or presented.
No report, screenshot, example, testimonial, marketing material, or support communication is a promise of fast, recurring, predictable, or risk-free income.
3. Customer-controlled account and funds
K3C DIGITAL LLC does not open, control, access, hold, receive, transfer, withdraw, invest, or manage customer funds and has no discretionary authority over customer accounts.
You retain control of your computer or VPS, NinjaTrader installation, broker connection, capital, contract quantity, risk settings, enabled status, and decision to start or stop APM. You are responsible for all orders and positions in the account you select.
4. Leverage, margin, and losses beyond deposits
Futures contracts are highly leveraged. A relatively small margin deposit can control a position with a much larger notional value. Small market movements can therefore create rapid and substantial gains or losses.
- You may lose all funds deposited with your broker
- You may be required to deposit additional margin on short notice
- Your broker may liquidate positions without waiting for your approval
- Liquidation may occur at an unfavorable price and may not prevent a deficit
- Depending on the account and broker, you may owe more than your original deposit
Margin requirements may change without notice, including during volatile markets.
5. MNQ and market volatility
MNQ futures are tied to the Nasdaq-100 index and may react sharply to economic releases, interest-rate expectations, company news, geopolitical events, market openings, order imbalances, and changes in liquidity. Prices may move rapidly or gap between levels.
A one-trade daily limit limits trade frequency; it does not limit every possible loss. One trade can still produce a substantial loss, and a sequence of one-trade days can create a significant drawdown.
6. Liquidity, execution, and slippage
The price displayed when an order is generated may differ from the fill price. Results can be affected by bid/ask spreads, liquidity, order-book depth, latency, volatility, partial fills, rejected orders, exchange rules, broker routing, data delays, and market impact.
Slippage can increase losses and reduce profits. During fast or illiquid conditions, it may be difficult or impossible to enter, modify, or exit a position at the intended price.
7. Stop-loss and target-order limitations
A stop-loss, stop-limit, target, bracket, OCO, or other contingent order does not guarantee execution at the selected price or guarantee that losses will be limited to an intended amount. Market gaps, insufficient liquidity, fast markets, trading halts, price limits, disconnections, rejected orders, or broker and exchange behavior may cause an order to fill at a worse price, fill only partially, remain unfilled, or be canceled.
Protective orders may be held locally, by a broker, by an exchange, or by another service depending on the platform and connection. You must understand where orders reside and what happens if NinjaTrader, your computer, VPS, broker, data feed, or internet connection fails.
8. Automated-system and technology risks
Automation can execute errors as consistently and quickly as valid instructions. Software may fail, behave unexpectedly, or become incompatible after changes to NinjaTrader, Windows, a broker connection, market data, exchange specifications, symbols, contract expirations, or third-party services.
- Power, internet, computer, or VPS interruption
- Frozen platform, delayed data, corrupted files, clock or time-zone errors
- Duplicate, rejected, missing, delayed, or incorrectly sized orders
- Failure to roll to the correct futures contract
- Unexpected restart, update, disconnection, or synchronization problem
- Cybersecurity incident, unauthorized access, or compromised credentials
No uptime, compatibility, or uninterrupted-operation guarantee is provided.
9. Configuration and user-error risks
Contract quantity, selected account, instrument, contract month, chart settings, session template, time zone, strategy parameters, broker connection, enabled status, and other configurations can materially affect results. An incorrect setting may cause unexpected orders, excessive size, missed trades, or losses.
You are responsible for reviewing every setting, using the intended MNQ contract, confirming the correct account, testing in simulation, monitoring initial operation, and knowing how to disable the Software and close positions manually.
10. Third-party services and rules
APM depends on services we do not control, including NinjaTrader, Windows, exchanges, brokers, clearing firms, data providers, internet providers, VPS providers, and prop firms. Their pricing, rules, margin requirements, technology, availability, and permissions may change without notice.
A third party may prohibit automation, reject orders, change account rules, restrict a strategy, terminate an account, or experience an outage. Mention of a third party does not imply affiliation, approval, sponsorship, endorsement, or guaranteed compatibility.
11. CFTC notice for hypothetical or simulated results
This notice applies to each backtest, simulation, hypothetical result, model result, or Strategy Analyzer report and should also appear beside each such presentation.
These results are based on simulated or hypothetical performance results that have certain inherent limitations. Unlike the results shown in an actual performance record, these results do not represent actual trading. Also, because these trades have not actually been executed, these results may have under- or over-compensated for the impact, if any, of certain market factors, such as lack of liquidity. Simulated or hypothetical trading programs are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to these being shown.
12. Past and reported performance
Past performance is not necessarily indicative of future results. Even an actual trading record may not be reproducible because market conditions, contract selection, costs, settings, fills, capital, and technology change. Screenshots and selected periods may not show every loss, expense, drawdown, or operational issue.
Review the complete date range, number of trades, profit and loss, drawdown, commissions, slippage assumptions, and whether results are live or simulated before making a decision.
13. Fees and break-even risk
Your results are reduced by the Software purchase price and by commissions, exchange and regulatory fees, bid/ask spreads, slippage, data subscriptions, platform fees, broker charges, VPS costs, prop-firm fees, taxes, and other expenses. Costs can turn a gross profit into a net loss and raise the return required to break even.
Unless expressly stated, a report may not include every cost applicable to your account.
14. Prop-firm and evaluation-account risks
Each prop firm sets its own automation, consistency, drawdown, position-size, news-event, payout, inactivity, prohibited-strategy, and account-termination rules. Those rules may change without notice. APM does not guarantee that you will pass an evaluation, receive a payout, retain an account, or comply with every rule.
Evaluation, activation, reset, data, and account fees may be lost. Confirm written permission for automated strategies directly with the firm before use.
15. Regulatory, legal, and tax risks
Rules governing futures, automated trading, brokers, prop firms, software, and taxes vary by location and may change. You are responsible for confirming that your use of APM is lawful and permitted by every applicable authority and provider.
We do not provide legal or tax advice. Consult qualified professionals regarding registration, reporting, recordkeeping, tax treatment, and other obligations.
16. Suitability, sizing, and monitoring
APM does not determine whether futures trading is suitable for you. Contract quantity that is acceptable for one person may be excessive for another. Never select size based only on desired profit. Consider capital, worst-case loss, drawdown, margin, obligations, experience, and ability to withstand losses.
Automation is not permission to ignore your account. Maintain alerts and emergency procedures, review positions and orders, reconcile broker records, and know how to disable the strategy and flatten the account.
17. No individualized advice or broker relationship
APM applies a standardized ruleset and does not consider your personal finances, objectives, experience, portfolio, tax situation, or risk tolerance. Product materials and support are not individualized financial, investment, legal, tax, brokerage, or accounting advice.
Purchasing the Software does not open a brokerage account or create a fiduciary, discretionary-management, broker, agency, or partnership relationship.
18. Customer acknowledgment
By purchasing, installing, activating, or using APM, you acknowledge that you have read and understood this disclosure; futures trading can result in substantial losses; no result is guaranteed; automated software can fail; and you remain responsible for your account, configuration, risk, monitoring, and decision to trade.
If you do not understand or accept these risks, do not purchase or use APM and do not trade futures.
19. Contact
Questions about this disclosure may be sent to:
K3C DIGITAL LLC
contact@omatheusborba-mpa.com