fix: remove broken capital controls, reset now queries broker for real balance

- Removed PUT /api/trading/capital (set capital) — only touched in-memory state
- Removed POST /api/trading/capital/adjust (add/withdraw) — same problem
- Reset endpoint now: liquidates Alpaca positions, cancels orders, clears DB,
  then queries Alpaca for real portfolio_value to set engine capital
- Frontend: replaced CapitalCard with simple ResetCard (one button)
- Removed useSetTradingCapital and useAdjustCapital hooks

frontend/src/api/hooks.ts

@@ -426,15 +426,6 @@ export function useSetTradingMode() {
   });
 }
 
-export function useSetTradingCapital() {
-  const qc = useQueryClient();
-  return useMutation({
-    mutationFn: (initial_capital: number) =>
-      apiPut<{ initial_capital: number; active_pool: number; reserve_pool: number }>('trading', '/api/trading/capital', { initial_capital }),
-    onSuccess: () => qc.invalidateQueries({ queryKey: ['trading-config'] }),
-  });
-}
-
 export function usePendingApprovals() {
   return useGet<Approval[]>(['pending-approvals'], 'query', '/api/admin/trading/approvals');
 }

frontend/src/api/tradingHooks.ts

@@ -309,12 +309,13 @@ export function useBacktestLaunch() {
   });
 }
 
-/** Full paper trading reset: clears all positions, orders, decisions, and resets capital. */
+/** Full paper trading reset: liquidates broker positions, cancels orders,
+ *  clears all local trading state, and syncs capital from the broker. */
 export function useResetPaperTrading() {
   const qc = useQueryClient();
   return useMutation({
-    mutationFn: (initial_capital: number) =>
+    mutationFn: (initial_capital: number = 0) =>
-      apiPost<{ reset: boolean; initial_capital: number; active_pool: number; reserve_pool: number }>(
+      apiPost<{ reset: boolean; initial_capital: number; active_pool: number; reserve_pool: number; broker: Record<string, number> }>(
         'trading', '/api/trading/reset', { initial_capital },
       ),
     onSuccess: () => {
@@ -326,21 +327,6 @@ export function useResetPaperTrading() {
   });
 }
 
-/** Add or subtract capital from the active pool without resetting anything else. */
-export function useAdjustCapital() {
-  const qc = useQueryClient();
-  return useMutation({
-    mutationFn: (amount: number) =>
-      apiPost<{ adjusted: number; active_pool: number; reserve_pool: number; total_value: number }>(
-        'trading', '/api/trading/capital/adjust', { amount },
-      ),
-    onSuccess: () => {
-      qc.invalidateQueries({ queryKey: ['trading-status'] });
-      qc.invalidateQueries({ queryKey: ['trading-metrics'] });
-    },
-  });
-}
-
 /** Update notification preferences. */
 export function useUpdateNotificationConfig() {
   const qc = useQueryClient();

frontend/src/pages/Trading.tsx

@@ -2,7 +2,6 @@ import { useState } from 'react';
 import {
   useTradingConfig,
   useSetTradingMode,
-  useSetTradingCapital,
   usePendingApprovals,
   useReviewApproval,
   useActiveLockouts,
@@ -11,7 +10,7 @@ import {
   useCompetitiveStatus,
   useToggleCompetitive,
 } from '../api/hooks';
-import { useResetPaperTrading, useAdjustCapital } from '../api/tradingHooks';
+import { useResetPaperTrading } from '../api/tradingHooks';
 import { StatusBadge, LoadingSpinner, Card } from '../components/ui';
 
 export function TradingPage() {
@@ -21,9 +20,7 @@ export function TradingPage() {
   const { data: macroStatus } = useMacroStatus();
   const { data: competitiveStatus } = useCompetitiveStatus();
   const setMode = useSetTradingMode();
-  const setCapital = useSetTradingCapital();
   const resetTrading = useResetPaperTrading();
-  const adjustCapital = useAdjustCapital();
   const reviewApproval = useReviewApproval();
   const toggleMacro = useToggleMacro();
   const toggleCompetitive = useToggleCompetitive();
@@ -92,14 +89,10 @@ export function TradingPage() {
         )}
       </Card>
 
-      {/* Paper Trading Capital */}
+      {/* Paper Trading Reset */}
-      <CapitalCard
+      <ResetCard
-        onSetCapital={(amount) => setCapital.mutate(amount)}
+        onReset={() => resetTrading.mutate(0)}
-        onReset={(amount) => resetTrading.mutate(amount)}
-        onAdjust={(amount) => adjustCapital.mutate(amount)}
-        isPending={setCapital.isPending}
         isResetting={resetTrading.isPending}
-        isAdjusting={adjustCapital.isPending}
       />
 
       {/* Macro Signal Layer Toggle */}
@@ -309,77 +302,45 @@ function ApprovalRow({ approval, onReview }: {
 }
 
 
-function CapitalCard({ onSetCapital, onReset, onAdjust, isPending, isResetting, isAdjusting }: {
+function ResetCard({ onReset, isResetting }: {
-  onSetCapital: (amount: number) => void;
+  onReset: () => void;
-  onReset: (amount: number) => void;
-  onAdjust: (amount: number) => void;
-  isPending: boolean;
   isResetting: boolean;
-  isAdjusting: boolean;
 }) {
-  const [amount, setAmount] = useState('100000');
-  const [adjustAmount, setAdjustAmount] = useState('');
   const [showConfirm, setShowConfirm] = useState(false);
-  const [showResetConfirm, setShowResetConfirm] = useState(false);
-
-  const presets = [10000, 50000, 100000, 500000];
-  const busy = isPending || isResetting || isAdjusting;
 
   return (
     <Card>
-      <h2 className="mb-3 text-sm font-medium text-gray-400">Paper Trading Capital</h2>
+      <h2 className="mb-3 text-sm font-medium text-gray-400">Paper Trading Account</h2>
-
+      <div className="flex items-center justify-between">
-      {/* Set Capital */}
-      <div className="flex flex-wrap items-end gap-3">
         <div>
-          <label htmlFor="capital-input" className="mb-1 block text-xs text-gray-500">Initial Capital ($)</label>
+          <p className="text-sm text-gray-300">Full Reset</p>
-          <input
+          <p className="text-[10px] text-gray-600">
-            id="capital-input"
+            Liquidates all broker positions, cancels open orders, wipes local trading history,
-            type="number"
+            and syncs capital from the broker account.
-            min="100"
+          </p>
-            step="1000"
-            value={amount}
-            onChange={(e) => setAmount(e.target.value)}
-            className="w-40 rounded-md border border-surface-700 bg-surface-900 px-3 py-1.5 text-sm text-gray-200 focus:border-brand-500 focus:outline-none"
-          />
-        </div>
-        <div className="flex gap-2">
-          {presets.map((p) => (
-            <button
-              key={p}
-              onClick={() => setAmount(String(p))}
-              className={`rounded-md border px-2 py-1.5 text-xs font-medium ${
-                amount === String(p)
-                  ? 'border-brand-500 bg-brand-600/20 text-brand-300'
-                  : 'border-surface-700 bg-surface-900 text-gray-400 hover:bg-surface-800'
-              }`}
-            >
-              ${(p / 1000).toFixed(0)}k
-            </button>
-          ))}
         </div>
         <button
           onClick={() => setShowConfirm(true)}
-          disabled={busy || !amount || Number(amount) <= 0}
+          disabled={isResetting}
-          className="rounded-md bg-brand-600 px-4 py-1.5 text-sm font-medium text-white hover:bg-brand-700 disabled:opacity-50"
+          className="rounded-md border border-red-700/50 bg-red-900/20 px-3 py-1.5 text-sm font-medium text-red-400 hover:bg-red-900/40 disabled:opacity-50"
         >
-          Set Capital
+          Reset Everything
         </button>
       </div>
-
       {showConfirm && (
-        <div className="mt-4 rounded-lg border border-orange-700/50 bg-orange-900/20 p-4">
+        <div className="mt-3 rounded-lg border border-red-700/50 bg-red-900/20 p-4">
-          <p className="text-sm text-orange-300">
+          <p className="text-sm text-red-300">
-            This will reset the paper trading pools to <span className="font-semibold">${Number(amount).toLocaleString()}</span>.
+            This will <span className="font-semibold">permanently delete</span> all positions, orders,
-            Any existing pool balances will be overwritten.
+            trading decisions, stop levels, portfolio snapshots, and backtest data.
+            All broker positions will be liquidated and capital will be set from the broker&apos;s account balance.
           </p>
           <div className="mt-3 flex gap-2">
             <button
-              onClick={() => { onSetCapital(Number(amount)); setShowConfirm(false); }}
+              onClick={() => { onReset(); setShowConfirm(false); }}
-              disabled={busy}
+              disabled={isResetting}
-              className="rounded-md bg-orange-600 px-3 py-1.5 text-sm font-medium text-white hover:bg-orange-700 disabled:opacity-50"
+              className="rounded-md bg-red-600 px-3 py-1.5 text-sm font-medium text-white hover:bg-red-700 disabled:opacity-50"
             >
-              {isPending ? 'Setting…' : 'Confirm'}
+              {isResetting ? 'Resetting…' : 'Yes, Reset Everything'}
             </button>
             <button
               onClick={() => setShowConfirm(false)}
@@ -390,80 +351,6 @@ function CapitalCard({ onSetCapital, onReset, onAdjust, isPending, isResetting,
           </div>
         </div>
       )}
-
-      {/* Add / Subtract Capital */}
-      <div className="mt-4 border-t border-surface-700 pt-4">
-        <h3 className="mb-2 text-xs font-medium text-gray-500">Adjust Capital</h3>
-        <div className="flex items-end gap-2">
-          <div>
-            <label htmlFor="adjust-input" className="mb-1 block text-xs text-gray-500">Amount ($)</label>
-            <input
-              id="adjust-input"
-              type="number"
-              step="100"
-              value={adjustAmount}
-              onChange={(e) => setAdjustAmount(e.target.value)}
-              placeholder="5000"
-              className="w-36 rounded-md border border-surface-700 bg-surface-900 px-3 py-1.5 text-sm text-gray-200 placeholder-gray-600 focus:border-brand-500 focus:outline-none"
-            />
-          </div>
-          <button
-            onClick={() => { onAdjust(Math.abs(Number(adjustAmount))); setAdjustAmount(''); }}
-            disabled={busy || !adjustAmount || Number(adjustAmount) <= 0}
-            className="rounded-md bg-green-700 px-3 py-1.5 text-sm font-medium text-white hover:bg-green-600 disabled:opacity-50"
-          >
-            + Add
-          </button>
-          <button
-            onClick={() => { onAdjust(-Math.abs(Number(adjustAmount))); setAdjustAmount(''); }}
-            disabled={busy || !adjustAmount || Number(adjustAmount) <= 0}
-            className="rounded-md bg-red-700 px-3 py-1.5 text-sm font-medium text-white hover:bg-red-600 disabled:opacity-50"
-          >
-            − Withdraw
-          </button>
-        </div>
-        {isAdjusting && <p className="mt-1 text-xs text-gray-500">Adjusting…</p>}
-      </div>
-
-      {/* Full Reset */}
-      <div className="mt-4 border-t border-surface-700 pt-4">
-        <div className="flex items-center justify-between">
-          <div>
-            <h3 className="text-xs font-medium text-gray-500">Full Reset</h3>
-            <p className="text-[10px] text-gray-600">Wipes all positions, orders, decisions, and history. Resets capital to the amount above.</p>
-          </div>
-          <button
-            onClick={() => setShowResetConfirm(true)}
-            disabled={busy || !amount || Number(amount) <= 0}
-            className="rounded-md border border-red-700/50 bg-red-900/20 px-3 py-1.5 text-sm font-medium text-red-400 hover:bg-red-900/40 disabled:opacity-50"
-          >
-            Reset Everything
-          </button>
-        </div>
-        {showResetConfirm && (
-          <div className="mt-3 rounded-lg border border-red-700/50 bg-red-900/20 p-4">
-            <p className="text-sm text-red-300">
-              This will <span className="font-semibold">permanently delete</span> all positions, orders, trading decisions, stop levels, portfolio snapshots, and backtest data.
-              Capital will be reset to <span className="font-semibold">${Number(amount).toLocaleString()}</span>.
-            </p>
-            <div className="mt-3 flex gap-2">
-              <button
-                onClick={() => { onReset(Number(amount)); setShowResetConfirm(false); }}
-                disabled={busy}
-                className="rounded-md bg-red-600 px-3 py-1.5 text-sm font-medium text-white hover:bg-red-700 disabled:opacity-50"
-              >
-                {isResetting ? 'Resetting…' : 'Yes, Reset Everything'}
-              </button>
-              <button
-                onClick={() => setShowResetConfirm(false)}
-                className="rounded-md border border-surface-700 px-3 py-1.5 text-sm text-gray-400 hover:bg-surface-800"
-              >
-                Cancel
-              </button>
-            </div>
-          </div>
-        )}
-      </div>
     </Card>
   );
 }

services/trading/app.py

@@ -60,9 +60,9 @@ class ConfigUpdateRequest(BaseModel):
 
 
 class CapitalRequest(BaseModel):
-    """Body for PUT /api/trading/capital."""
+    """Body for POST /api/trading/reset."""
 
-    initial_capital: float
+    initial_capital: float = 0.0
 
 
 class BacktestRequest(BaseModel):
@@ -300,131 +300,29 @@ async def resume_engine() -> dict[str, bool]:
     return {"paused": False}
 
 
-@app.put("/api/trading/capital")
-async def set_capital(body: CapitalRequest) -> dict[str, Any]:
-    """Set or reset the paper trading capital.
-
-    Allocates the given amount as initial capital, splitting between
-    active pool and reserve pool based on the current reserve_siphon_pct.
-    """
-    if engine is None:
-        raise HTTPException(503, "Engine not initialised")
-
-    capital = body.initial_capital
-    if capital <= 0:
-        raise HTTPException(400, "initial_capital must be positive")
-
-    reserve_pct = engine.config.reserve_siphon_pct
-    reserve = capital * reserve_pct
-    active = capital - reserve
-
-    ps = engine.portfolio_state
-    previous = {
-        "total_value": ps.total_value if ps else 0.0,
-        "active_pool": ps.active_pool if ps else 0.0,
-        "reserve_pool": ps.reserve_pool if ps else 0.0,
-    }
-
-    from services.trading.models import PortfolioState
-    engine.portfolio_state = PortfolioState(
-        total_value=capital,
-        cash=capital,
-        active_pool=active,
-        reserve_pool=reserve,
-    )
-
-    # Record in reserve pool ledger
-    if engine.pool:
-        try:
-            await engine.pool.execute(
-                "INSERT INTO reserve_pool_ledger (amount, balance_after, trigger_type, notes) "
-                "VALUES ($1, $2, 'capital_reset', $3)",
-                reserve, reserve,
-                f"Capital set to ${capital:,.2f} (active=${active:,.2f}, reserve=${reserve:,.2f})",
-            )
-        except Exception:
-            pass  # Non-critical
-
-    return {
-        "initial_capital": capital,
-        "active_pool": active,
-        "reserve_pool": reserve,
-        "reserve_siphon_pct": reserve_pct,
-        "previous": previous,
-    }
-
-
-@app.post("/api/trading/capital/adjust")
-async def adjust_capital(body: dict[str, Any]) -> dict[str, Any]:
-    """Add or subtract capital from the active pool without resetting anything.
-
-    Body: { "amount": 5000 } to add, { "amount": -2000 } to subtract.
-    Positions, orders, decisions, and history are untouched.
-    """
-    if engine is None:
-        raise HTTPException(503, "Engine not initialised")
-
-    amount = body.get("amount", 0)
-    if not isinstance(amount, (int, float)) or amount == 0:
-        raise HTTPException(400, "amount must be a non-zero number")
-
-    ps = engine.portfolio_state
-    if ps is None:
-        raise HTTPException(400, "No portfolio state — set capital first")
-
-    new_active = ps.active_pool + amount
-    if new_active < 0:
-        raise HTTPException(400, f"Cannot subtract ${abs(amount):,.2f} — only ${ps.active_pool:,.2f} available in active pool")
-
-    previous_active = ps.active_pool
-    ps.active_pool = new_active
-    ps.cash = ps.cash + amount
-    ps.total_value = ps.total_value + amount
-
-    # Record in reserve pool ledger for audit
-    if engine.pool:
-        try:
-            trigger = "manual_adjustment"
-            note = f"{'Added' if amount > 0 else 'Withdrew'} ${abs(amount):,.2f} (active pool: ${previous_active:,.2f} → ${new_active:,.2f})"
-            await engine.pool.execute(
-                "INSERT INTO reserve_pool_ledger (amount, balance_after, trigger_type, notes) "
-                "VALUES ($1, $2, $3, $4)",
-                amount, new_active, trigger, note,
-            )
-        except Exception:
-            pass
-
-    return {
-        "adjusted": amount,
-        "active_pool": ps.active_pool,
-        "reserve_pool": ps.reserve_pool,
-        "total_value": ps.total_value,
-    }
-
-
 @app.post("/api/trading/reset")
 async def reset_paper_trading(body: CapitalRequest) -> dict[str, Any]:
-    """Full paper trading reset: clear all positions, orders, decisions,
+    """Full paper trading reset: liquidate all broker positions, cancel open
-    stop levels, and snapshots, then reset capital to the specified amount.
+    orders, clear all local trading state, then query the broker for the
+    real account balance and set the engine's capital from that.
 
-    Also liquidates all positions and cancels all open orders on the
+    If initial_capital is provided and > 0, it overrides the broker balance
-    broker (Alpaca) so the paper account starts clean.
+    (useful when the broker is unavailable or you want a specific amount).
 
     This is a destructive operation — all trading history is wiped.
     """
     if engine is None:
         raise HTTPException(503, "Engine not initialised")
 
-    capital = body.initial_capital
+    # --- Reset broker (Alpaca) state and query real balance ---
-    if capital <= 0:
+    broker_result: dict[str, Any] = {
-        raise HTTPException(400, "initial_capital must be positive")
+        "orders_cancelled": 0,
-
+        "positions_closed": 0,
-    reserve_pct = engine.config.reserve_siphon_pct
+        "portfolio_value": 0.0,
-    reserve = capital * reserve_pct
+        "cash": 0.0,
-    active = capital - reserve
+        "buying_power": 0.0,
-
+    }
-    # --- Reset broker (Alpaca) state ---
+    broker_capital: float | None = None
-    broker_result: dict[str, Any] = {"orders_cancelled": 0, "positions_closed": 0}
     try:
         from services.adapters.broker_adapter import AlpacaBrokerAdapter
         from services.shared.config import load_config as _load_config
@@ -438,16 +336,39 @@ async def reset_paper_trading(body: CapitalRequest) -> dict[str, Any]:
             )
             broker_result["orders_cancelled"] = await adapter.cancel_all_orders()
             broker_result["positions_closed"] = await adapter.close_all_positions()
+
+            # Query the real account balance after liquidation
+            acct = await adapter.get_account()
+            broker_result["portfolio_value"] = acct.portfolio_value
+            broker_result["cash"] = acct.cash
+            broker_result["buying_power"] = acct.buying_power
+            broker_capital = acct.portfolio_value
+
             logger.info(
-                "Broker reset: cancelled %d orders, closed %d positions",
+                "Broker reset: cancelled %d orders, closed %d positions, "
+                "portfolio_value=%.2f, cash=%.2f",
                 broker_result["orders_cancelled"],
                 broker_result["positions_closed"],
+                acct.portfolio_value,
+                acct.cash,
             )
         else:
             logger.info("No broker API key configured — skipping broker reset")
     except Exception:
         logger.exception("Broker reset failed — continuing with DB/engine reset")
 
+    # Determine capital: explicit override > broker balance > default 100k
+    if body.initial_capital > 0:
+        capital = body.initial_capital
+    elif broker_capital and broker_capital > 0:
+        capital = broker_capital
+    else:
+        capital = 100_000.0
+
+    reserve_pct = engine.config.reserve_siphon_pct
+    reserve = capital * reserve_pct
+    active = capital - reserve
+
     # --- Clear trading state in the database ---
     if engine.pool:
         try: