Risk Multiplier by Balance

When utilizing the risk multiplier by balance feature, Ectype's trade copier calculates a proportional lot size for each copied trade based on the balance of both the Copy from and Send To accounts. This dynamic approach ensures a balanced and risk-sensitive trading experience.

How it Works.

Let's break down the process:

1. Balance Proportion:

   • The copier considers the balance of the Copy from and Send To accounts to calculate a proportional lot size for each trade.

   • For example, with a multiplier of 1, if the Copy From account has a balance of 10,000 and the Send To account is 5,000, the Send To lot size will be half of the Copy From lot size.

   Formula:

   (Send To Balance / Copy From Balance) * Copy From Lot Size​

2. Multiplier Adjustment:

   • The multiplier value allows further adjustment of the lot size.

   • A multiplier of 2 will double the Send To lot size, while a multiplier of 1 will halve it.

   Formula:

   (Send To Balance / Copy From Balance) * Copy From Lot Size * Multiplier

Example Scenario

Let's illustrate this with a practical example:

• Copy From Account Balance: $10,000

• Send To Account Balance: $5,000

• Copy From Lot Size: 1 (standard lot)

With a multiplier of 1, the Send To lot size would be calculated as follows:

(5,000 / 10,000) * 1 * 1 = 0.5

The Send To lot size in this case would be 0.5, representing half the lot size of the Copy From account.​Tips:

• Maintain a consistent risk management strategy by adjusting the multiplier accordingly.

• Understand the impact of the multiplier on the proportional lot size and tailor it to match your risk tolerance.