Thank you for all of your help. I am attaching a link so you can see a picture...please let me know what you think.[/img]
First off... thanks for linking the photo that was very helpful!
Knowing how you have been watering it would be very important to know. Since the tree currently has so little viable foliage you would be fine to just defoliate it completely (remove all leaf matter by trimming it off) and let the tree push a new set of leaves. As a tropical tree in a tropical enviornment, there is no danger to do more damage than has already been done. It will respond and live... or it will not. The leaves that are there aren't doing anything. Also be sure to cut off any flower buds as they will take valuable energy away from the tree.
I am curious about the rock... is it draning from underneath somewhere when you water it? Typically most trees in a rock or pot will have a way for water to flush through the container. If it's not... then the rock may be holding too much water... and while hibiscus like to drink a lot when they are growing (and especially when blooming) being really soggy pisses them off. You should check the soil and see if it is saturated or dry, the best method is using a chopstick to gently probe the deeper parts of the soil. If it comes up really wet, it may not have adequate drainage through the rock which can also be a problem. Because the tree has no leaves which are viable, you will not want to water in the manner which I was saying previously... watering daily assumes a healthy set of foliage. You'll want to keep the soil moist but not wet until it's drawing more water from the soil after it has a full set of leaves again.
Is the tree firmly in the rock? If you take hold of the lower trunk and attempt to shift it around is it tight? I'm trying to figure out if the tree has been in this rock for a very long time or not... also did you buy it from a store or an actual bonsai vendor? Those kinds of things are very helpful to know when assessing why a tree is reacting the way it is.
Not to contridict bonsaiboy, but keeping this tree in shade isn't useful at this point, filtered light/morning sun will actually be better for a defoliated tree as sunlight will simulate latent buds which need to be activated. Full sun is the goal for hibiscus in the end though... you want lots of light to get into the foliage to stimulate growth. If you still had a set of viable leaves, then yes... shade can be helpful for a stressed plant. Fortunately hibiscus is a weed, and is usually quite tough, it's happy to recover from stress with consistent care.
I have to say... you did well picking your first bonsai... it's got a lot of character and potential. Nice thing is that if you get to the point where you want to style it into a more defined/refined state, you can easily airlayer some babies off for yourself. But that's a lesson for another day. lol
One other thing... if it does try to put on flower buds when it replaces it's leaves, be sure to remove them. Reproduction is not where you want it to put it's energy... no matter how pretty they may be.
Let me know about the watering schedule, soil water content, and how secure that tree is in the rock. Thanks!