When you are first new to trading it can be overwhelming with all of the different strategies, systems and methods.
Learning everything needed to become a successful trader can be time consuming.
There is a quicker way to making money in the markets even if you are a brand new trader with very little knowledge of how to trade yourself and it is known as ‘Copy Trading’.
Copy trading allows you to piggy back and follow traders who are already profitable and making consistent gains. You can follow their traders and also make money yourself without having to make your own trades. Cool right?
In this post we go through exactly how you can start making money from copy trading, the best platform to signup with to find the most profitable traders and the exact steps to start making money today.
What is the Best Platform For Copy Trading?
eToro at eToro.com is a social trading broker that is similar to Facebook in structure. It is a hangout for people who trade Forex, cryptocurrencies, commodities, CFD stocks, and indices online.
It was founded by three entrepreneurs named Yoni and Ronen Assia together with their partner David Ring in a goal to make trading accessible to anyone, anywhere, and reduce a trader’s dependency on the traditional financial institution.
What Does eToro Offer?
With eToro, trading is now made easy as it connects investors/traders around the world in a single place. Trading requires a lot of skills, experience, and analysis, but in eToro, you don’t need to have any knowledge to start making money with it.
It’s not as heavy as the stock exchange so you don’t need to think twice before trading online or need a big investment to start.
eToro is a type of broker in its own unique way. Social trading is an alternative to the good old traditional financial investment model. Traditional trading requires charting tools and personal insights to make greater profits.
With social trading, you get the same advantages that institutional traders get and more.
In eToro, you can also check profiles of other users, see their trade history, even check their earnings and see their completed transactions. You can also check their portfolios, connections, and detailed stats.
The best part of eToro is that it has a Copy Function that lets you invest in other traders and follow their trades.
This means that all of that trader’s transactions will automatically be copied and will be the same as yours.
So if a trader raises money by a certain percentage, you’ll raise profit as well. Now all you have to do is decide the amount you will use to copy the traders trades and it will happen AUTOMATICALLY!
Checkout eToro Copy Trader Here
Etoro Demo / Virtual Account
To make it even easier, you can practice trading without having to invest your own capital.
Practice does make perfect and with eToro’s feature, it will let you practice exactly as a real account so that it gives you the advantage when you start making trades in the market. It is a very accurate tool and user-friendly.
Easy to Make Trades and No Guessing
One of the big benefits of using the eToro charts over a more basic solution that needs downloading such as MT4 is how easy it is to make trades and that you are shown the exact trade variables in dollar amounts. This is a major plus.
As you can see in the image below; making trades is as easy as finding the markets you want to trade on and then using the buy/sell buttons.
You are given the option of how much in real dollar terms you want to trade, how much you want to risk and how much leverage you want to use.
If you place a stop or target into the platform you can see how much money you stand to make or lose. There is no risk of getting it wrong. See an example of a trade order below;
eToro make placing trades incredibly simple.
Mobile Trading Platform
Sitting all day in front a computer is not very butt-friendly.
With eToro, you can learn to trade without breaking your trading bank as it has an app that lets you trade anytime and anywhere.
eToro Allows You to Copy Trade Professional Traders
The idea of a copy trader is simple. In eToro you automatically see opened positions, you decide on who you will copy and then make decisions based on their gain percentage.
eToro allows you to both make trades yourself and also copy trades that other profitable traders on the platform are making.
This means you can find traders who have a record of making regular profits and make the same trades as them, risking only as much or as little money as you want and retaining full control on what your account does.
You are not giving anyone your money, just copying their trades.
The best way to start following traders who have the highest chance of making you regular profits is using the eToro stats and filters.
eToro have a huge amount of data they allow you to see about any trader you may be interested in following.
You can see how often they trade, how often they win and lose, how long they have been making profits (to make sure they have not just had a quick / short lucky run), if they often take risky trades or if they have large account draw-downs and a lot more.
See a few of these stats in the image below and make sure to use them when picking the best traders to invest your money with.
How to Copy Trade on eToro
Social Trading
Social trading networks were born from the idea of connecting like-minded individuals.
It allows investors to replicate an experts way of trading. It introduced new ways of analyzing financial data by giving you a place to compare and copy trades.
eToro’s social newsfeed, its copy trading system, and popular investor programs is the next generation’s powerful trading platform.
Copy trading
In eToro, the first thing you have to do is pick a trader that you think has the the chance to make you the most profit and decide the amount you want to invest. With a click of a button trades start being copied.
Copy and trade, quick and simple.
Why do so Many People Use eToro?
The answer is very simple! Because it’s easy and accurate.
It gives you an amazing advantage when you engage in making trades in the market.
You have a huge range of markets to choose from, you can select from a massive range of traders who have proven track records of making profits and then can split your risk by copying multiple traders.
eToro Market Types
A look at the trading markets available and you can quickly see that almost every market a trader could want to trade is available from;
- Stocks – individual stock markets
- Forex – from the major like EURUSD to all the cross and exotics FX pairs.
- Cryptocurrencies – a wide range of cryptomarkets to make trades on.
- Indices – Stock indices ranging from the UK100 through to the ITA40
- ETF’s – different exchange traded funds based on certain stocks or indexes.
- Commodities – such as Gold, Silver, Oil and more.
How to Get Started With eToro
#1: Signup With Either a Real or Free Virtual Account Here
Both accounts are free and do not have any ongoing costs.
#2: Deposit Money Into Your Trading Account
eToro have a wide range of deposit and withdrawal options that include;
- Credit Card
- PayPal
- Skrill
- China Union Pay
- Neteller
- GiroPay/Sofort
- Wire Transfer
- WebMoney
- Yandex
- UnionPay
#3: Start Demo / Real Trading
When you signup to eToro you will gain access to the free virtual account. You can now start practice trading with virtual money just like you would in the real markets.
When you are ready you can then begin using your real capital to trade yourself or invest in other traders to copy their trades.
#4: Follow Professional Profitable Traders
NOTE: This is optional because you can just trade selecting from all the different markets on eToro and not follow anyone.
Use the filters to find the best traders to copy and invest in and profit from their trades.
Make sure to follow multiple traders and traders that invest and trade in different markets. You can lower your overall risk and make sure you are diversified across a wide set of markets by copying different traders who trade in different sets of markets.
Get a Free eToro Trading Account Here
Regulations
Regulations are super important and eToro are regulated by eToro (Europe) Ltd., a registered Cypriot Investment Firm (CIF). eToro is regulated by the Cyprus Securities & Exchange Commission (CySEC). eToro UK is authorized and regulated by the Financial Conduct Authority (FCA). eToro (Europe) and eToro (UK) Ltd. are both operated under and comply with the Markets in Financial Instruments Directive.
What Countries Can Use eToro?
eToro operates in most parts of the world. However; eToro does not accept some countries and these are; USA, Canada, Japan, Brazil, Turkey, North-Korea, Iran, Cuba, Sudan, Syria.
Conclusion
eToro has been around since 2007 offering the best social trading and copy trading platforms for traders to use and also gives you a chance to practice social trading online with a huge range of options and simplicity.
Checkout eToro Copy Trader Here
