Copy Trading - One of the best ways to make money?

Trading is a risky and often expensive adventure for beginners, but when done correctly it’s one of the best ways to make money for people willing to take a little risk (in my opinion). However without a lot of knowledge and dicipline it is almost impossible to be profitable long term. It’s important to learn what to do, and what NOT to do. Copy Trading is not trading yourself, but following professional traders on copy trading platforms. This allows you to see, what they’re doing and why they’re doing it. Read on if you want to learn what copy trading is all about.

Copy trading involves social trading platforms

Make money with money by Copy Trading
Who is copy trading for?
What platforms offer copy trading?
How do I follow traders?

Make money with money by copy trading?

Who doesn’t like to make extra money on the side? The problem is that most people are not willing learn how to make money with money or don’t want to put in effort as they’re already to busy with their day-jobs.
 

Copy trading is offered on copy trading platforms where you can follow and copy trades of experts or other (professional) traders. On copy trading platforms you can look up other traders profiles and check their results. When you find a successful trader, you can copy the profile and your account will automatically open and close the (future) trades of the profile you are copying. For people who want to start trading but don’t want to watch the market, lack experience or just don’t know how, this can be an easy way to earn some extra money online with the risks of a more experienced trader! There are several social trading platforms offering social or copy trading

Who is copy trading for?

Trading is without a doubt one of the best ways to make money. It takes a long time to master and not many people are succesfull in doing so.

Copy trading is a alternative to start of trading as it allows you to start trading quickly while using more professional traders’ experience. It’s a good way to get started with trading for people who are willing to take more risk to make money with money and gain a higher return with “spare money”.

Copy trading carries significant risk and you should invest no more than you can spare.

It’s not for people who are looking to get rich quickly or people who want to invest their savings with low risk for a longer term.

What platforms offer copy trading?

There are online platforms available where you can trade by yourself, or manually copy trades of experiences traders who give out signals. Copy trading platforms are like social media trading platforms where you can follow “friends” (read: traders) and automatically copy every trade they open and close. It allows new traders to start trading by using the knowledge of experienced knowledge of more professional traders.

The most well known and used copy trading platforms are eToro and Zulutrade. They both have been around since 2007 and offer the possibility to test out their platforms using demo-accounts (which I recommend doing). Unfortunately these copy trading platforms are not available to US-residents. They both have user-friendly interfaces and it easy to get started.

Avatrade is another platform which offers automated trading.

How do I select a trader to copy?

eToro and Zulutrade have a search filter where you can browse profiles based on different criteria like: profits in the last 1,3,6,12 months, maximum drawdown, most copied and more. When you find a trader you can allocate an amount of your account-balance to that trader and you are set, your account will now open their future positions proportionally to your account balance!

Want to try copy trading?

Sign up and try it out using a demo-account!
eToro copy trading platform review
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Tom

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