Top 6 Social
Social Trading will have you trading Forex
in a matter of hours by Copying the successful
trades of professional traders!
Social Trading Is Gaining Momentum
Social trading is a growing phenomenon without borders.
It is the merging of traditional forex trading with the proven success of social media networking.
This article is a brief guide into the on-line world of social trading platform providers.
If you don't know what I am talking about let me enlighten you.
Websites like eToro, Myfxbook and Zulutrade have revolutionized modern trading by allowing traders to connect with each other, interact and even follow each others trades.
This means that someone with less experience can enter the markets with a reasonable expectation of success because they can make the exact same trades as a more experienced trader.
It is even possible with some platforms to have trades execute automatically in your account.
Think of it like a set of training wheels for traders, a way to learn to trade with a safety net in place.
Choice of Platforms
There are quite a few platforms to choose from. Most offer the basic services which include forums and profiles.
Some are more advanced and include demo accounts, live trading accounts and the ability to link them to your forex brokerage account.
Some brokers have even seen the benefits of copy trading and are including it along with their traditional services as well.
The caveat is that copy trading is just as risky as any other form of trading.
You have to approach it with caution and take the time to learn how it works and how to choose the right traders to follow.
The first step is finding the right platform and this thought leads me to the point of this article; an introduction to the platforms and websites.
This is a list of 6 of the top forex social trading web sites, not in order. They are all a little different, what makes one the best for me may not mean the same to you.
Etoro is one of the largest and earliest innovators of social trading.
Initially offered as a software down load it has expanded into one of the most prolific social trading sites on the internet.
The company is based in Cyprus and offices across the globe including the UK, the US and Australia.
As of a recent count there are well over 3 million active users trading $10's of billion of dollars annually.
The platform allows users to watch each other and copy each others trades.
Traders can contact each other through profile pages and it also provides a forum where traders can interact.
Once an account is linked to Etoro all trades are automatically updated to the Etoro profile and tracked in a variety of statistical ways.
These statistics are crucial in choosing which traders to follow.
Etoro is not a broker so you will have to open an account with one of its approved brokers to fully utilize the website.
The Zulutrade is a platform that offers full social forex social trading.
This platform is based in New York with offices in Cyprus, Hong Kong, Shang Hai and Athens.
Zulutrade is a free service like Etoro and makes money through partnerships with it's supported brokers.
Traders can join, enter the forums or simply skip to the leader boards.
Traders are listed by a number of different criteria such as success rate, draw downs, risk profile and profit percent.
You choose several different traders and manage them in your account just like you would a mutual fund.
NetoTrade is a Cyprus based Forex broker that offers an in-house social trading platform powered by Sirix to copy traders.
NetoTrade is owned by London based Neto Trade Global Investment Limited, but they are regulated by the Cyprus Securities and Exchange Commission (CySEC).
The platform was started in 2010, but has grown to compete against the major social trading platforms over the last few years.
Since NetoTrade offers Sirix, one of the most feature rich social trading platforms, copy traders can enjoy a seamless social trading experience as both the brokerage account and the social trading platform are managed by the same company.
Besides offering a range of copy trading features like detailed performance tracking metrics and tools of the signal providers, copy traders can also enjoy traditional trading applications like MetaTrader to manage their trading account with NetoTrade.
Instaforex is based in Kaliningrad, Russia.
This is a broker that also offers social trading services as part of its full line of features.
Traders can register as a Trader or a Follower.
Trades are tracked by the platform and displayed on a leader board.
ForexCopy Followers have access to a full listing of traders and their data so they can make informed decisions about whom to follow.
Although Instaforex does not have a forum yet it does have some other advantages the other copy trading website don't because it is a full service forex and cfd broker.
On the website you will find detailed information for traders of all levels as well as one of the industries top trading platforms.
Myfxbook is another website offering social trading as part of a larger forex services package.
Myfxbook is an on line portfolio management tool that is also linked to a complex network of traders.
The platform is compatible with over 100 brokers allowing traders to track and monitor their trading accounts.
There is a forum with threads for all levels of traders and a new auto-trader that allows you link your account for copy trading.
You can join the forum, connect with other traders and then choose to follow one or more in your account.
Trades are then automatically entered into your linked account.
All you have to do is monitor your account and your traders performance, adjusting your traders as necessary.
Ayondo is a new social trading platform that allows traders of all levels to build a following.
The platform lets you begin with a practice account until you are ready to graduate to using real money.
You can place your own trades or follow someone else trades, as you build up a successful portfolio of trades you can also attract your own followers.
When you do get followers that copy your trades you can earn real money for each lot purchased.
Top Traders can moved up through a five stage hierarchy until they reach the top level, the Institutional Traders.
Institutional traders receive as much as $5 per lot generated by their followers and are also eligible for other incentives as well.