Copy Trading
What is Copy Trading?
"CopyTrade" is a financial trading support function that provides a convenient way to trade for users who are not familiar with investment strategies or do not have time to learn them. In financial trading, multiple categories and complex strategies are involved, which put the investor's professional knowledge and experience to the test. The "CopyTrade" function allows users to follow the trading strategies of investment experts without the need for much investment knowledge. The followers' trades are based on the experience and practical actions of these experts, who are usually successful investors with long practice and proven results.
RockFlow's "CopyTrade" function consists of three main aspects: discovering experts, understanding the dynamics of the experts and following the orders to copy their work. Firstly, users can use the RockStar list to discover the high-yielding investors. Secondly, users can follow the experts and learn about their trading trends, including the stocks they follow, the time they place orders, etc. This dynamic information allows users to better understand the trading strategies of experts and therefore better follow their orders. Finally, users can directly follow orders when they see the trading dynamics of the experts, buy or sell the corresponding stocks, thus reproducing the expert's trading strategy.
In short, "CopyTrade" is a powerful tool which allows investors to better grasp investment opportunities, provides a convenient way for investors who are not familiar with investment strategies or do not have time to learn them, and helps them to make better investment decisions.
What is Auto Copy?
Auto Copy is an innovative feature from RockFlow that lets you automatically replicate another user's trades. After setting up an Auto Copy plan, the system will mirror the trades of the RockStar you follow based on predefined rules, allowing for effortless auto-buying and selling. This enables users to easily follow successful traders and potentially earn profits.
RockFlow’s Auto Copy aims to keep your position ratio aligned with the RockStar’s. For instance, if a RockStar buys Tesla stock making up 10% of their portfolio, and you have allocated $500 to your Auto Copy plan, the system will buy $50 worth of Tesla for you, keeping the same 10% ratio. This alignment helps your portfolio movements closely track the RockStar’s performance.
However, due to US stock market trading hours and fractional share rules, issues may arise. For example, if a RockStar buys 1 share of Nvidia in pre-market, and you're set to buy 0.1 shares, the trade will fail since fractional shares aren’t available during pre-market hours. Similarly, if the RockStar closes a position in a low-liquidity stock, your trade might fail, leaving you with the position until it expires, potentially causing a loss. To handle such cases, RockFlow offers the “Intraday Adjustment” feature, which adjusts your holdings after the market opens to correct any issues from the previous day.
RockFlow also provides additional features like "Position Copy," "Spread Protection," and "Fractional Trading" to further enhance the Auto Copy experience. These features are customizable, and RockFlow will recommend optimal settings based on your preferences, but you can adjust them as needed. Generally, the more you invest and the closer your capital is to the RockStar’s, the better your experience will be.
Currently, Auto Copy uses your main account’s buying power for trades, and any position closures will affect your main account directly. If you already hold a stock that the RockStar also owns, RockFlow will avoid altering your existing holdings. A sub-account feature is being developed to separate Auto Copy trades from your main account in the future.