Copytrading is a service for automatic copying of trades of a Master Trader by a user. Trades are copied in proportions of trades to the trader’s balance. For example, if a trader has placed an order for 10% of his total balance, then the user will also have an order for 10% of his balance. In order to avoid errors that may arise due to differences in balances, a minimum balance is set for the user to start Copytrading.
Important! For adequate copying of trades, it is necessary to connect a SEPARATE ACCOUNT to each channel, where no other trades are opened and other automated instruments are not connected.
To start copying trades of a Master Trader, you need:
- Have a subscription to the channel
- Have a balance of the coin that the Master Trader is trading (USDT or BTC)
- Have a balance equal to or higher than the minimum balance specified in the channel
- Launch copying
- The service is organized according to the principle of Positions. A position is one or more orders to buy or sell of one asset.
- The aim of the Position is to extract the maximum profit based on the results of trades performed for one asset.
- A set of positions is one or several orders to buy one asset.
- Reducing a position is one or several orders to sell one asset.
- Gaining and Reducing Positions may occur unevenly. For example, one lot was bought for $ 1000, and 2 lots were sold for $500, and vice versa.
- When making deals on a new asset, new Positions will be opened.
- All previously executed by the Master Trader trades and open Positions will not be taken into account when connecting a new user.
- When trading on Binance Futures, it is important that hedge mode is disabled!
- When changing the balance (depositing or withdrawing funds to the account wallet) it is necessary to stop Copytrading and relaunch it to avoid system errors.
Exceptions in mechanics:
- The user joined Copy Trading after some of the trades for the Position had already been opened on Master trader account, and the Master Trader decided to sell the old and new volumes simultaneously, what exceeds the user’s volume — all the volume the user bought will be sold, that is, the maximum is sold.
- The master trader makes a sale for an amount that, when copied by the user, is less than the minimum trading lot on the exchange — the user will make a sale for the amount of the minimum trade on the exchange. At the same time, if the balance of the Position is less than the minimum lot on the exchange, then the user will sell the entire volume, and the user’s position will be closed earlier than the Master trader’s one.