Copy Trading Limits and Risk Management

 

1. Take Profit and Stop Loss Settings

  

Users can preset take profit and stop loss conditions for each copy trade order to help protect profits and control potential losses.

  

Stop Loss Ratio

Limits the maximum loss for a single order. When the loss reaches the preset ratio, the system will automatically close the position at market price.

The stop loss ratio can be set up to 400%.

Example: If the stop loss ratio is set to 10%, the system will immediately close the position at market price once the order reaches a 10% loss, helping prevent further losses.

  

Take Profit Ratio

When an order reaches the expected profit target, the system will automatically take profit and lock in gains.

The take profit ratio can be set up to 400%.

Example: If the take profit ratio is set to 50%, the system will automatically close the position for profit once the order reaches a 50% gain.

  

  

2. Copy Trading Amount Limits

  

To reduce risks caused by excessive exposure or insufficient account balance, the system applies minimum and maximum limits to copy trading amounts.

  

Maximum Follow Amount

When following a single trader, the maximum margin that can be allocated to each trading pair is 5,000 USDT. Once the margin used for that trading pair reaches 5,000 USDT, the system will stop following new orders from the trader until existing positions are closed and margin is released.

  

Copy Trade Failure Notice

If the available account balance is insufficient, or if the calculated copy trade amount is not enough to open at least 1 contract (minimum trading unit), the copy trade may fail. Please ensure that sufficient available balance remains in the account.

  

  

3. Maximum Copy Trade Margin

  

Unlike the maximum follow amount limit for a single trading pair mentioned above, Maximum Copy Trade Margin is used to limit the maximum amount allocated to a single copy trade order.

If the required margin exceeds the preset amount, the system will place the order based on the configured maximum limit. Once the position is closed, the released margin can continue to be used for subsequent copy trades.

  

  

4. Copy Trade Closing Mechanism

   

By default, the system synchronizes the trader’s position-closing actions. Depending on different scenarios, copy trade positions may be closed in the following ways:

  

Synchronized Closing (Most Common)

When the trader closes a position, the system will immediately close the corresponding copy trade position at market price.

  

Take Profit / Stop Loss Closing

If the copy trade order triggers the preset take profit or stop loss conditions, the system will automatically execute take profit or stop loss closing.

  

Manual Closing

Copy traders can manually close positions at any time through the “My Copy Trades” page, regardless of the trader’s actions.