1. Ensuring copy trading effectiveness
1.1 Strategy balance
If the difference between a strategy balance and an subscriber's balance is significant, there is a risk of copy trading errors. In such a case, the following can happen: a coin proportion on the subscriber's account can be less than the minimum amount required to place an order on the exchange. In such a case, the subscriber will not be able to copy the order.
Monitor your exchange balance — you should only have funds involved in trading. If you have large balance and trade with small amount of coins, then please contact Coinmatics Support team (via online chat or email [email protected]) to increase minimum exchange balance for subscription. By default the minimum exchange balance for copy trading is 150 USDT (equivalent).
1.2 Non-trading operations
Frequent deposit / withdrawal operations can lead to sufficient portfolio mismatch. Successful copy trading requires that the distribution of coins in the portfolio of your strategy and in the portfolio of your subscribers coincide.
Also, non-trading operations can cause incorrect calculation of the strategy's profit and, as a result, scare off your potential subscribers.
Minimize the number of deposits / withdrawals and other non-trading operations on your exchange account.
1.3 Referral bonuses
Frequent accruals of referral bonuses can lead to portfolios mismatch. Successful copy trading requires that the distribution of coins in the portfolio of your strategy and in the portfolio of your subscribers coincide.
Do not use for copy trading an account to which you receive referral bonuses or other periodic rewards.
1.4 Liquidity of pairs
Remember that after your trade, the subscribers' trades will follow. Trading in low-liquid pairs can lead to price spikes for a large number of subscribers (note that an subscriber's deal is executed at a market price).
Give preference to pairs with high liquidity.
1.5 Dust coins
Another potential reason for copy trading errors is having a large number of diverse coins in the portfolio, which have a small share in the portfolio volume (dust coins).
This can make it impossible for the subscriber to align their portfolio. For successful copy trading, the portfolios of the strategy and the subscriber should coincide.
Get rid of dust coins.
2. Strategy attractiveness
2.1 Strategy description
Describe your strategy in detail: approach to trading, preferred trading methods, currency pairs, preferred investment period, and other information. This will help your potential subscribers better understand your approach and decide to subscribe to your strategy.
Add a detailed description of the strategy as prompted.
Significant drawdowns lower strategy rating and may turn off potential strategy subscribers.
Avoid significant drawdowns.
2.3 Verify your identity
Passing the trader's identity verification (KYC) procedure increases the strategy rating and potential subscribers' reliability.
Pass through identity verification.
3. Tips for futures trading
3.1 Leverage value
High leverage holds risks for subscribers. A strategy trading with a very large leverage (more than x10) can be disabled.
Avoid high leverage.
We hope this article was helpful to you. If you still have any questions, please contact our support team at [email protected].