Copy Trading has an irresistible allure for the armchair investor as it holds the promise of great wealth and independence.
God bless technology because before the internet most people could only claim to be investors due to their retirement savings.
Copy Trading enables traders to mimic the investment moves of those that know the ropes – the professionals that have walked the walk and talked the talk – people that you can bet on that are in the know, showing you the ropes where you could supposedly cash in even if you know absolutely nothing at all about the markets.
What exactly is copy trading?
• Copy Trading permits traders, regardless of their level of expertise, to enter the market.
• Many simply choose a list of the top-ranked traders and mimic their trade.
• It is not obligatory for the followers to educate themselves about trading before diving in, though.
• At the end of the day it is the successful traders that are trading on behalf of the copy traders.
• Chances of winning when partaking in Copy Trading are usually high, but remember that this is not necessarily always the case.
The plusses of Copy Trading and as Social Trading:
• Copy Trading is a good point of entry into the Forex market for any novice trader.
• The novice can now piggy back on those that know more about trading.
• We all have dreams and aspirations of becoming wealthy and making it big – with Copy Trading your dreams can become a reality – and is often a quick way out for those that don’t quite fit into the corporate environment.
• Take note, though, that Copy Trading is not for the faint of heart.
• Social Forex trading networks are platforms where traders of all levels can now connect with each other to share trading ideas (think social networking and how you connect with your family and friends on Twitter, LinkedIn, Facebook and other social media platforms – the only difference is that these are all about trading – a neat way forward in a technologically-advanced world).
• With Social Forex Trading you can swap trends and ideas as well as styles together with a whole range of tips and questionnaires.
• Novice traders will not always be in a position to copy trades of the leaders and experts but most certainly will be able to at least mimic some of those smart ideas and certain trading methods.
Copy Trading is a direct spin-off from the popularity of retail Forex trading. Perhaps one of the main benefits is that traders from all levels of expertise can now partake in the market, and not only the experts, resulting in considerable returns on investments.
With Copy Trading you can now imitate the style of trading from a variety of trading styles and not just one – whether it is with massive volumes or the execution of smaller capacities not traded on a regular basis – there is never a one size fits all solution to all trading needs.
With so many successful traders out there, and depending on your individual requirements, you can select the trading style of choice – in other words, the once you, as an individual, wish to copy.
Remember you don’t have to be so serious all the time:
• Trading and investing need not be boring and serious – have a little fun with Social Trading.
• An element of entertainment can be enjoyed by those sharing on Social Trading.
The market for Social Trading is rapidly expanding with innovative networks and solutions popping up all the time, and undoubtedly as time passes by there will be more providers added to the list!
As with all things in life some of these are bound to disappear with time – they come and go with great speed but there are others that have been around for a while and set to stay; examples of Social Trading companies that popped up and disappeared are TradeConnect, IBFX and Currensee, to name a couple.
Some of the leading Social trading platforms where copy traders can benefit and are set to stay, include:
• Zulu Trade – which is believed to be the largest social trading network across the globe – the large numbers include both traders and investors. Social media platforms such as ZuluTrade offers an entire menu for the copy trader. With its superior social interaction abilities it offers a complete and free functioning platform for Copy Trading.
• eToro Openbook is another platform where beginner investors can glean their knowledge from – this platform offers a broad spectrum of advice with its main focus on educating the apprentice investor. It is not only extremely user-friendly, but a complete demonstration is also available so that the beginner trader can benefit.
• Ayondo is the German stalwart which is spreading its wings and planting footprints throughout Europe. It is the first network to offer auto-trading for spread betting Forex accounts for the UK market. It offers a demo account together with a full range of tools including Forex, Indices, commodities and more.