Slippage

Managing your slippage is important, and can be quickly adjusted within RocketBot with just a few taps.

Slippage refers to the difference between the expected price of a trade and the price at which the trade is executed. This discrepancy is particularly prevalent in trading low marketcap coins due to their higher volatility and lower liquidity. Managing your slippage effectively can significantly impact your trading outcomes, reducing unexpected losses and improving the accuracy of your entry and exit points.

Tips for Managing Slippage in Low Marketcap Coin Trading

1. Use Limit Orders: Instead of market orders, opt for limit orders where you can set the maximum price you’re willing to pay for a buy order or the minimum price you’re willing to accept for a sell order. (coming soon to RocketBot)

2. Consider the Impact of Large Orders: Breaking up large orders into smaller ones can help minimize slippage, as large orders can significantly move the market, particularly for low marketcap coins.

3. Utilize Slippage Tolerance Settings: RocketBot allows you to set a slippage tolerance that automatically cancels the transaction if the slippage exceeds your specified level. Simply tap the "Settings" button on the /start screen to change your slippage settings. Setting your slippage very high (30%+) may be necessary to trade coins with low liquidity.