All trades that broke the regulation will not be counted if there is a Soft Breach. You are still able to trade with your Funded or Assessment Account, though. A Hard Breach occurs when you go against the Maximum Drawdown or Daily Loss Limit guidelines. You risk failing the assessment or losing your Funded Account if you have a Hard Breach. You can only commit two soft breaches of the specific Soft Breach rule. The third one will be considered Hard Breach.