What are the things to note when sharing trades under the "copy by a fixed margin" mode?

1. Traders should try to avoid unsuccessful shared trades, as it may lead to a discrepancy between their earnings and the earnings of their copiers. Common reasons for Copy Trading failures under the "copy by a fixed margin" mode:
Trader places orders in cross margin mode.
The leverage used by the trader is higher than the leverage limit for Copy Trading. For details on leverage limits, please refer to: https://support.bingx.com/hc/articles/360056989014

2. If a trader's number of copiers and their combined Copy Trading funds reach a significant scale, it is possible that the trader's Copy Trading group may exceed the total position limit. In such cases, the Copy Trading funds of his/her copiers will be lesser than their preset Copy Trading funds for a single order. Traders can provide explanations on the Feed of their homepage. For details on the maximum position limit for Copy Trading groups, please refer to: https://support.bingx.com/hc/articles/360056989014

3. Avoid trading low-cap cryptocurrencies with high leverage and in large positions. Reason: The opening price, closing price and PnL ratio of copiers may differ from the trader as a result of objective factors such as market fluctuations and market depth. In extreme market conditions, these differences can widen and lead to profitable trades for you but losses for your copiers.

 

What are the things to note when sharing trades under the "copy by position" mode?

"Copy by position" mode includes Perpetual Futures Copy Trading and Binance Futures Copy Trading. When using "copy by position" mode in Copy Trading, traders should take note of the following:

1. Avoid making significant deposits while holding positions.
Reason: It may lead to changes in the trader's ROI and trigger position reductions for copiers. In "copy by position" mode, the positions of traders and copiers are aligned. When a trader makes a substantial deposit while holding positions, it lowers the trader's position ratio. Copiers' positions will then be automatically aligned with the trader, triggering the copiers' position reductions.
The ROI displayed on the trader's homepage is calculated using the time-weighted return method, and the ROI will be affected by changes in the unrealized PnL of positions held by the trader.

Take the 30D ROI as an example:
Last 30D ROI = (1+ROI of week 1)*(1+ROI of week 2)...*(1+ROI of week n) - 1.
Weekly ROI = (net equity at the end of the week + withdrawals for the week) / (net equity at the beginning of the week + deposits for the week)
Since the calculation method for the weekly ROI includes withdrawals and deposits, significant deposits or withdrawals by traders can affect the calculation of the weekly ROI, resulting in changes in the trader's ROI when no trading activities have occurred.

2. Avoid trading low-cap cryptocurrencies with high leverage and in large positions.
Reason: The opening price, closing price and PnL ratio of copiers may differ from the trader as a result of objective factors such as market fluctuations and market depth. In extreme market conditions, these differences can widen and lead to profitable trades for you but losses for your copiers.

3. Avoid strategies such as hedging, Grid Trading, Martingale strategy, or high-frequency trading.
Reason: The above types of strategies require traders and copiers' positions to be strictly aligned. Due to objective factors such as market fluctuations and depth, the positions may be misaligned, resulting in losses for copiers.

 

What are the things to note for sharing trades in Spot Grid Copy Trading?

1. Please keep track of the effectiveness of the grid strategy. If the current strategy is no longer suitable for the current market conditions, traders are advised to adjust the strategy and communicate the changes to their copiers on the Feed of their homepage.
2. Profit share for Spot Grid Copy Trading is only settled when the grid strategy is closed.
3. Users need to be a copy trading trader in the first place to share trades in Spot Grid.

 

Contact Us
BingX exclusive support for Copy Trading: trader.support@bingx.com
BingX exclusive trader support on Telegram: @BingXRyan
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BingX Operation Team
2023-06-02
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Risk Warning: Cryptocurrency prices are subject to high market risk and price volatility. You should only invest in products that you are familiar with and where you understand the associated risks. You should carefully consider your investment experience, financial situation, investment objectives and risk tolerance and consult an independent financial adviser prior to making any investment. This material should not be construed as financial advice. Past performance is not a reliable indicator of future performance. The value of your investment can go down as well as up, and you may not get back the amount you invested. You are solely responsible for your investment decisions. BingX is not responsible for any losses you may incur. For more information, please refer to our Terms of Use and Risk Warning.