MEXC COPY TRADING: A BEGINNER’S GUIDE (FOR FOLLOWERS)
Introduction
MEXC is distinguished as a premier cryptocurrency trading platform, this platform allows users to register without requiring KYC or verification. MEXC has a high-performance trading engine, with a group of expert personnel in blockchain technology and finance, the exchange puts user security first and offers support in localized languages and provides a customer support round the clock. Because of its advanced technology, the exchange can process more than a million transaction per second, which makes it an extremely great for traders. If you are an experienced trader or a novice, MEXC is a great platform to help you advance your financial career. With more than 2000 cryptocurrencies available for trading on the Spot and Futures markets, the platform offers a wide variety of tokens. Moreover, MEXC offers an extensive array of services focused on cryptocurrencies, including copy trading, crypto earning, staking, and more.
In this article I will be writing on MEXC copy trading for newbies or novice to help them earn from professional traders with just one click.
Amazing right ?!
Let’s get started with Copy Trading, MEXC Futures has newest services that will transform your trading and building your finance by utilizing the knowledge of seasoned traders.!
The trading of cryptocurrencies is a skilled art that needs a deep understanding of both fundamental and technical analysis. A lot of new traders find it difficult to create profitable trading plans and strategies, which forces them to speculate ignorantly and lose their money in the market. Expert traders have the experience and as such have a discipline to map out profitable setups in the market and also trade them with effective risk management discipline to stay longer in the game. They also add extra tools or technical indicators to make these procedures easier for them to be profitable.
What is cryptocurrency copy trading?
Cryptocurrency copy trading is an automated approach that allows users to replicate the trading strategies of a professional trader. This makes it possible to buy and sell cryptocurrency assets to make money without having to invest a lot of time in learning how to trade or conduct analysis of the market. MEXC platform has made this technology possible for both professional traders and newbies to earn.
In essence, copy trading in cryptocurrencies involves finding experienced traders and simply copying their strategies. Engaging in copy doesn’t require you mastering trading skills or spending time on charts to do analysis. Instead, the program replicates the actions of the seasoned traders in the field.
On the MEXC copy trading platform, we have the Traders and the Followers.
A follower is a user who copies the trades of a professional trader while a trader is a trading professional who executes trades for users to copy. A trader has many years of experience and must be very knowledgeable about the crypto market to stay profitable.
Benefits of Copy Trading for Traders and followers:
Traders: With this system of copy trading, traders will put out their professional trading experience to good use and earn up to 10% profit share from their followers’ trades if they are in profit .
Followers: The system will automatically duplicate the chosen trader’s trading approach you are following and place an order in a few easy steps. Followers, no matter how busy they get, will never miss a trade opportunity, and also the emotions attached to trading phycology are lesser.
This article is exclusively for followers to earn from professional traders in the market.
Simple illustration of copy trading :
Let’s say you have funded $200 in your trading account and the trader you are following opens a buying position on a particular crypto assets with 5% of his trading account size, the same trade would appear in your trading account, that means $10 from your account would be used to execute the buy order. You may decide to manage the risk per trade to any level you want by setting your stop loss and take profit.
Why MEXC for copy Trading ?
The safety of user’s funds has always been the first concern at MEXC. In order to give users more security and comfort when trading on the platform, MEXC informed the general public about their Proof of Reserves which went live at 9:30 on February 22, 2023 (UTC+0). The assets of MEXC users as a whole in the Proof of Reserves can be compared to the assets of the MEXC on-chain wallet address. MEXC demonstrates that it has adequate asset reserves if its on-chain assets are larger than or equal to the total assets of its customers. It’s important to note that MEXC is a leader in liquidity, security and compliance. MEXC is among the few exchanges with no record of security breach and a group of committed pioneers who comply with local laws in order to run their business without interruption everywhere in the world. By choosing MEXC copy trading you have gained unlimited access to the bountiful trading world of MEXC with over 500+ trading pairs for you.
HOW TO GET STARTED WITH MEXC COPY TRADING.
In this article I will be using the MEXC Mobile application for this copy trading.
Before opening a MEXC copy trading account, you need a regular MEXC account. If you don’t have one, you can go to link below, click and register with your valid email address. Then follow these steps:
1. Sign up here for your MEXC Account:
2. Input your working email address and create a strong password that you can easily remember. Paste your referral code into the area provided if you have one.
3. Click [Sign up] to continue. You can use your mobile phone number in place of your email address.
4. You will receive a verification email or SMS shortly after. Follow the instructions in the email or SMS to complete your registration.
For this copy trading, you will need to fund your account with USDT assets which is equivalent to the united states dollar , you can transfer from another exchange to your wallet or you can buy here:
You can watch a video on MEXC YouTube Channel on how to deposit crypto with the link below:
https://youtu.be/kOs6smXsH0c?si=wBs3VOq3dWJvoc66
You can buy USDT here: https://otc.mexc.com/
Once you have successfully transferred or bought your USDT asset check your wallet to confirm your asset balance once your transaction has been approved .
From the home interface “ click on more”.
Once you have clicked on more navigate to the filters and click on Trade and Select copy trading .
Once you have clicked on copy trading , the picture below shows the home interface of MEXC copy trading platform .
STEP 1 : The first step in copy trading is discovering a good Lead trader to follow.
Finding the proper trader is the first step in choosing to engage in cryptocurrency copy trading on MEXC . The skill level of the trader has an impact on copy trading efficiency. You thoroughly investigate the available traders and evaluate their abilities in relation to a variety of factors, including the number of followers, the total amount of funds they handle, the profitability of their trades, and the risk level.
A person’s personal preferences ultimately determine the range of criteria they select. A novice investor in cryptocurrencies must carefully consider their priorities before deciding on a trading strategy.
MEXC has more than 200 registered Traders for new copy traders. MEXC shows every traders performance based on past performance in the market .These statistics will help you in selecting the right trader .
MEXC also has different filter to help you in selecting the right trader;
Example showing the traders 7 days Return on Investment, 7 days profit and losses, 7 day win rates , total Return on investment and so on. Every follower is entitled to this information.
Let’s go ahead and select a trader from the list of several traders to see his performance.
From the list of Traders I will be choosing a random Trader “Ultraman”.
Once you click on a particular trader the metrics of the trader will be shown to see his performance:
From my perspective the following were observed from Ultraman’s metrics :
The following data were gotten as at the time I performed my analysis:
1.His sharing ratio is 10% , what ever profit you make following Ultraman the system gives Ultraman 10% of the profit.
2. Ultraman man has a total equity of $3351.18.
3. Ultraman has several trading pairs you choose to copy.
4. This trader has a total profit and loss of + $1255.21, which is very impressive.
5. Ultraman has a total of 8 followers
6. Has 100% win rate with total of 9 trades which he got all in profit.
7. And trades 3 times in a week.
All these metrics are not enough, I will go ahead to see his lead trade statistics.
From Ultraman lead trade statistics, as at the time I captured this screenshot he has no current position. From his history he has a total of 9 trades showing the information of the trade and how much was made from each position and the duration of the trade.
From my analysis I would say Ultraman is a profitable trader.
I will click on follow button and love sign button to add copy Ultraman’s trades and add him to my watch list :
STEP 2 :
The next phase is to ensure you have enough funds in your spot wallet .
I will be funding my wallet with 38.42USDT
To see your USDT balance, navigate to the Spot Assets page. Although there is now a 5 USDT minimum copy trade amount, for optimal copy trading experience, make sure you have at least 40 USDT in your asset balance.
Going with Ultraman, the copy trading platform will show the profit share ratio. All trading pairs that are accessible for copy trading are chosen in the general settings by default. Users have the ability to independently modify the copy trade futures pairings and copy trade mode. There must be a minimum of one trading pair chosen.
MEXC copy trading has two modes ; General and the Advanced mode settings.
GENERAL MODE SETTINGS :
For this copy trading I will be using a balance of $38.42 deposited in my spot account .When opening a position and replicating a trader’s trade, the money allotted to the copy trade is referred to as the copy trade amount.
The USDT asset balance of your primary spot account determines the maximum amount for a copy trade, with a minimum of 5 USDT.
You can also use the transfer funds if there is not enough money in the spot account from your futures or fiat wallet.
Copy trade mode : by default, Fixed Amount mode is selected, users can decide to switch to another mode, which is the multiplier mode .
Fixed Amount mode: The amount that should be allotted for each copy trade must be entered by followers.
When you set the copy trade amount to 5 USDT, for instance, and you choose the Fixed Amount mode, the system will create an order for you with a 5 USDT margin each time a trader initiates a position.
For this guide I will be using 5 USDT.
Multiplier mode :In order to apply a multiplier to each copy trade, followers must specify the ratio they wish to use ( the ratio of the trader’s position to the copy trade position). For instance, if you follow Ultraman , you can set the multiplier mode to 5 X . You will need to allocate 5 * 5 = 25 USDT in this copy trade later on when Ultraman has a lead trade with a 5 USDT order margin . It is fully or partially executed.
Setting take profit and stop loss TP/SL: orders carries a certain risk of failing because of things like market swings. In order to mitigate risk and enhance the likelihood of TP/SL orders being successfully triggered, the stop-loss ratio should not surpass 75%, and the take-profit and stop-loss values should be no less than 3%.The take-profit and stop-loss ratios will be automatically applied to each and every copy trade after they are specified. Followers who successfully copy trades can also individually set TP/SL on the trades they are currently replicating.
The next step is to set your take profit and stop loss, for this guide I will be using 50% and 10 %.
· After submitting wait for the trader to begin copy trading after execution
· Navigate to the Copy Trading page and select My Copy transactions to view and manage any active copy transactions.
· The take profit/stop loss ratio can be configured for a trade.
· You can either wait for your position to close automatically when the trader ends their position, or you can click Close to manually end the duplicate trade and close the position.
· To check the PNL of your closed positions, click History, Copy Trade History.
Traders Liquidation settings:
On MEXC copy trading platform we have two types of the liquidation settings to help you in managing your portfolio while copying trades safely.
· “Follow to Close”: Regardless of whether the follower’s copy trade position causes liquidation, the corresponding copy trade position will be closed when a trader’s lead trade position goes through liquidation.
· “Do Not Follow”: If this option is chosen, the follower may keep the copied trade position if it hasn’t caused liquidation when the trader goes through liquidation.
Note that followers will now be notified via a notification mails or message to assume control of their copy trade position.
ADVANCED MODE :
For the Advanced Settings to set up it gives the users customized leverage multipliers and slippage for specific trading pairs.
Leverage : Leverages helps the followers to scale up their profit margin and it can be disastrous if its not being used properly. It can trigger liquidation of trades faster when the Lead trader is in loss which might later be in profit.
You can apply the same leverage multiplier as the trader: The leverage multiplier for each copied trade will match that of the trader.
You can also customize the leverage multiplier: The customized value, which can be independently defined for long and short positions, will determine the leverage multiplier for each copy trade.
. You are free to leave the “Leverage” field empty because it is an optional field. You will be utilizing the same leverage multiplier as the trader if you don’t specify it.
As seen in the illustration, the leverage multiplier for short positions is not set; instead, it is set at 40x for long positions, meaning that it will match the trader’s leverage and also 40x for short positions , it can be changed to a higher leverage if you want.
Slippage:
Set a slippage to prevent significant differences between your and the trader’s entry prices. The system will place an order if no slippage is configured, but be aware of potential risks in volatile markets.
The system can choose between two options: no customized slippage, where market orders are placed in duplicate transactions, or customized slippage, where the trader’s entry price and slippage settings are combined.
Once you are done with all your settings, go ahead to confirm the transaction and read carefully before submitting.
To view further details, such as copy trade amount , copy trade mode, profit and loss , Trader ID, navigate and click on “My traders”
How to See Traders You Follow:
To see the list of traders you follow, navigate to the My Copy Trades page and select My Traders.
How to See Watchlist Traders :To see the traders you are keeping an eye on, navigate to the My Copy Trades page and select Watchlist.
How to Modify Copy Trade: You can decide to add or reduce your funds on your copy trade amount if you feel what you have isn't enough or is too high depending on what you are ready to risk . Click on the Icon beside the copy trade amount to add more funds to your trades or reduce the amount.
How to unfollow trader :
As a follower you have the right to unfollow a your trader. Here’s how to do it:
- Go to the My Copy Trades page and choose “My Traders”.
- In the Action column, select the trader you want to unfollow by clicking on “Unfollow”.
Note that it’s not possible for you to unfollow a trader if you have open duplicate trades with them. The money in the copy trade sub-account will be moved to the main spot account if you’re not following anyone.
CONCLUSION:
With the fantastic features and unwavering dedication to security and transparency, MEXC distinguishes itself as a reliable leading copy trading platform available for you anytime . MEXC Copy Trading is a great option whether you’re a seasoned trader looking for fresh chances or a new trader just starting out. The use of copy trading by newbies has grown in popularity. Novice traders can take advantage of their experience while lowering risk by automatically copying the moves of successful traders.
Disclaimer
You should not rely on the advice of traders or signal providers, since MEXC is not liable for their trading decisions. It is important to exercise caution when interpreting past performance as a predictor of future outcomes. With copy trading, traders should seek independent financial counsel both before and after, as MEXC cannot guarantee the earnings or losses of signal providers. It is important to take into account differences between previous performance and current outcomes.
Although copy trading capabilities have inherent dangers, you are advised to think about your financial situation and risk tolerance before using them. It is important for you to remember that copy trading can also result in large losses. It is entirely up to you to decide whether or not to follow or replicate trades from the signal sources.
You are best protected by knowledge. Keep up with market developments and think about diversifying to perhaps distribute risk. Regularly review your tactics because they might not work today if they didn’t yesterday. First and foremost, only risk money you can afford to lose. It’s an ancient proverb, but it’s true. Be sure that if you lose the money you’re investing, it won’t have an impact on your stability financially.
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