The Excitement That Turned into Regret
I started copy trading with big hopes. I saw some lead traders with crazy ROI — 100%, 200%, even more! Without thinking too much, I followed them. I thought, "If they're making this much profit, I can too!" But I was wrong — badly wrong.
Mistake #1: Only Looking at ROI
The first thing that attracted me was ROI. But I didn’t know that someone who makes 100% profit can also lose just as much. Later, I realized ROI doesn’t show the full picture. What matters more is MDD (Maximum Drawdown) — how much loss they can go through. A high ROI with high MDD is risky.
Mistake #2: Ignoring the MDD
I didn’t check the MDD of the trader I followed. Turns out, their MDD was massive. That means they had big ups and downs. When their trade went wrong, I was stuck with a huge loss.
Mistake #3: Not Checking Lock-up Period
Another mistake: I didn’t notice there was a 30-day lock-up period. That means I couldn’t unfollow the trader even if I wanted to. I was stuck, watching my balance fall and couldn’t do anything.
Mistake #4: Copying High-Leverage Portfolio
I copied a portfolio with high leverage and didn’t even place a stop-loss. That was just asking for trouble. When things went south, they went really south. One time, I dropped from $100 to $40, then back up to $90. I thought I was recovering. But I got greedy and didn’t close the trade. Minutes later — liquidation. Account gone.
What I Learned:
Always check MDD. Choose traders with MDD under 10%.
Always set stop-loss and take-profit. Have a clear mindset — how much profit is enough.
Never get greedy. If you hit your target, exit
.
Avoid portfolios with lock-up periods.
Use lower leverage than the trader. 2x to 3x is safer.
Check their performance over 180 days, not just the last 7 days.
Pick traders who trade with discipline, not wild risk-takers.
Final Words:
I shared all this so you don’t repeat my mistakes. Copy trading looks easy, but one wrong move can wipe your funds. Stay smart, trade safe, and always do your homework.
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Would you follow a trader just based on ROI? Or do you
check MDD too?
Let’s talk in the comments!