⚠️ Risk & Ratio Management

Copy trading can boost gains but also magnifies risk — poor settings can quickly drain your balance. Use disciplined limits and filters to protect your funds, since you’re mirroring trades, not the leader’s risk profile. Olympus offers safeguards, but their effectiveness depends on how you configure them.

😬 Risk Management

1️⃣ Follow the 5% Rule

A simple survival guideline:

Risk no more than ~2-5% of your total wallet per trade.

Example: If your balance is $1,000 → keep any single trade at or below ~$50.

This cap prevents a single bad prediction from derailing your entire portfolio.

2️⃣ Manage Trade Volume

Many high-volume traders open dozens of orders per day. Copying that behavior without a cap can over-leverage your balance in a single market.

Max Market Size is a lifetime cap on how much USD you invest in any one market. Every buy counts toward it; selling does not free up room. Set it (e.g., ~3–5% of your portfolio) so one market can’t swallow too much of your balance.

3️⃣ Use Stop-Loss & Take-Profit (Coming Soon)

Automated exits keep losses contained and lock in profits without requiring manual monitoring.

Useful for wallets trading highly volatile or fast-moving events.

⏳ This feature is coming soon and will be available in the Advanced tab.

💡 Best Practices

• ✅ Start small — use minimal ratios and trade caps first.
• ✅ Cap per-market and per-wallet trades.
• ✅ Diversify your followed wallets and categories.
• ✅ Check your dashboard often — adjust settings as your balance changes.

💸 Spread Costs Matter More Than Users Realize

Crossing a 3–5¢ spread repeatedly destroys expected return.

If a leader wallet always hits the ask/bid instead of resting limit orders, their strategy might be unprofitable even with correct predictions.

Copy-trading impact:

• You inherit their spread losses automatically
• Your smaller balance amplifies the effect (fees + slippage matter more at smaller sizes)
• Use Max Trade Size + Minimum Odds filters to avoid copying bad spread entries

🧘 Avoid High-Noise, High-Churn Traders

Leaders trading 10–20 categories simultaneously typically:

• Chase too many narratives
• Lack specialization
• Enter positions they have not researched deeply

Specialization correlates with profitability.

You should lower your ratio or avoid copying wallets that:

• Jump between sports, politics, crypto, weather, etc.
• Show inconsistent market themes
• Have high trade volume with no coherent pattern

🚨 Common Mistakes to Avoid

• ❌ Setting a high ratio without understanding portfolio size differences.
• ❌ Following hyperactive traders with no trade caps.
• ❌ Ignoring odds filters.
• ❌ Assuming Olympus "auto-manages" your risk (it doesn't — you do).

📐 Ratio Management

The ratio is the percentage of the leader's trade size you copy. Leader wallets vary wildly in size — wrong ratio is the #1 cause of user losses.

Core idea: Your ratio should reflect your balance vs. the leader's portfolio. If a wallet is 500× larger than you, you need a much smaller percentage or you're overexposed.

Safe ratio (rule of thumb):

Your Ratio ≈ Your Balance ÷ Leader Balance

Example: $1,000 ÷ $2,000,000 = 0.05%. If they trade $60,000, you trade $30.

Use the 🔄 Ratio Recalculator next to each wallet — it sets a recommended ratio from your portfolio, the leader's portfolio, and open positions. (It updates only when you press it.)

Common mistakes: Setting a high ratio for a leader 1,000× bigger; using the same ratio for all wallets; copying whales without a Max Market Size cap.