Taotoro Copy Trading Mechanisms
Refined Copy Trading at Taotoro
Strategy Selection and Capital Allocation
Investors select an AI-managed strategy (e.g., Conservative, High-Risk) and allocate digital assets like BTC to it. For instance, an investor might assign 5 BTC to the High-Risk strategy.
AI-Prescribed Stop Loss and Take Profit Guidelines
Taotoro's AI proposes Stop Loss and Take Profit percentages based on the selected strategy and prevailing market conditions. Investors have the liberty to modify these limits to match their risk preference. For example, the AI may suggest a 12% Stop Loss and a 30% Take Profit threshold, but the investor decides to set them at 10% and 35%, respectively.
Automated Trade Execution and Revisions
After defining the strategy and risk limits, Taotoro's AI conducts trades, continually adjusting based on market fluctuations and the established Stop Loss and Take Profit parameters.
Instantaneous Alerts
Investors are notified instantly via SMS or email about critical trades, market shifts, or when Stop Loss or Take Profit thresholds are reached.
Direct Smart Contract Interactions
Investors interact with smart contracts tailored to each trading strategy. Selecting a strategy triggers automated trade execution through these contracts, eliminating centralized control and diminishing risk while boosting the security and efficiency of transactions.
Financial Metrics
ROI Calculation Including Stop Loss and Take Profit Adjustments
Example Scenario
Enhanced Volatility Analysis
Taotoro's interface provides sophisticated volatility assessments for specific tokens like 'GEM' and the wider cryptocurrency market, essential for investors to gauge their investment's risk profile.
Standard Deviation and Volatility Indices
The platform measures the standard deviation of returns for tokens such as 'GEM', offering a quantitative insight into its price volatility. It also features a Cryptocurrency Volatility Index (CVIX), aiding in the understanding of market sentiment and risk. Volatility is assessed based on the frequency and extent of price changes:
Immediate Market Volatility Notifications
Taotoro monitors global market volatility, alerting investors to significant upticks that might represent either increased risk or opportunities. For instance, in a scenario where the crypto market experiences a surge in volatility, indicating a key trading window or risk, Taotoro notifies investors through the platform and SMS/email alerts.
Volatility Interpretation for Investment Strategies
A rise in volatility might suggest greater trading chances but also comes with elevated risk. Taotoro's notifications allow investors to remain informed, enabling them to make prompt decisions to exploit market trends or safeguard their assets.
Alert Customization
Investors can tailor alert settings to their risk appetite and investment approach, with more conservative investors opting for alerts at lower volatility levels and those willing to take more risk selecting alerts for higher volatility changes.
Case Example with 'GEM' Token
Should the 'GEM' token exhibit a sudden spike in volatility, Taotoro's system alerts the investor. If the 'GEM' token's standard deviation crosses a specific threshold, signaling a potential risk or opportunity, an immediate alert is sent. The investor can then swiftly evaluate the situation using Taotoro’s comprehensive analytics and decide on strategy adjustments, such as amending Stop Loss or Take Profit settings, or reallocating their investment.
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