Is Copy Trading profitable ?

 Best Platform for Copy Trading 2024

Copy trading has been one of the most popular ways to earn passive income in the financial market in recent years. By using special platforms and the features that allow them to copy experienced traders, the beginners can potentially earn as much as the professionals.

List of brokers that support Copy Trading:

• 🔥 1. XM $30 Free For new users Copy Trading linked to MQL5 - https://bit.ly/3QdvPU9 💪

• Exness
• FBS
• Fxtm
• AvaTrade
• NAGA
• Forex Copier

Top Forex Brokers for Copy Trading

eToro Copy Trading Program

The Broker for Social Traders and Cryptocurrency Traders

Bitcoin traders who prefer social trading and have no requirements for trading solutions built on the MT4/MT5 infrastructure will feel right at home with eToro. This broker continues to be among the best social trading brokers and caters to over 11 million retail traders. The main trading tools are CopyTrader and CopyPortfolios, but eToro does not support automated trading solutions. Traders have a more complete choice of crypto assets, with 93, especially when compared to most other non-crypto forex brokers. In 2019, eToro acquired Danish blockchain company Firmo and Belgian crypto portfolio tracking app Delta.

CySEC, FCA, FSA, ASIC

Foundation year: 2007

Minimum deposit: $50 - $10,000

Maximum leverage: 1:30

Since eToro is more active in the cryptocurrency sector, it deserves to be considered as the best Bitcoin trading platform, especially among non-crypto forex brokers. eToro's operation in the United States is a pure crypto game, and this company is well positioned to expand its reach across the sector in the future. Also, eToro launched its cryptocurrency wallet for Android and iOS devices. Many Bitcoin traders prefer to trade from their mobile devices and follow other like-minded enthusiasts on social media. They can benefit from the sentiment indicator launched in 2019 for digital assets using Twitter. The community represents eToro's most significant asset, so research, as well as education,

Advantages

1. Excellent selection of capital assets and extensive crypto options.
2. Cryptocurrency wallet for Android and iOS
3. A simple social trading procedure
4. Twitter Based Digital Asset Sentiment Indicator

 Disadvantages

1. Low leverage and higher minimum deposit
2. MT4 trading platform is not supported
3. The internal withdrawal fees plus the highest fees
4. Basic trading costs Below average for resources

 

 Exness Copy trading program

Exness Social Trading gives you the chance to invest in successful strategies of other traders from all over the world. Choose a strategy, invest funds and earn from every profitable trade.
They verify all strategy providers before they can offer their strategies to you.
Build a Portfolio
Diversify your portfolio and reduce your exposure to risk.
Transparent Results
You can analyse the performance of each strategy before you invest.
It’s easy to get started in social trading. You can use their flexible filters to find a strategy that suits your appetite for risk, invest funds and earn when the strategy returns a profit

Official website: https://www.exness.com

FBS Copy Trading Program

One of the tools for obtaining passive income from the FBS broker is the transaction copying service. The company offers a proprietary trading platform. The special feature of CopyTrade from FBS is that it is designed only for mobile devices.

The broker has developed a separate application for copying trades, which is available for smartphones and tablets on Android and iOS. Traders Union has prepared an overview of FBS’s copy trading platform and will discuss the main features of the service.

Copying traders on FBS without risk involves transactions with an automatic Stop Loss of 10%. If the Stop Loss is triggered, the broker compensates the clients for the loss. However, the special offer only applies to three trades - one for three different traders. To select traders for conditionally risk-free trades, you need to click on the Risk-Free Investments field on the main page of the of their app after sign up.

Official website: fbs.com

FXTM Copy trading program

We have made FXTM one of our top rated broker because, in addition to its long history, it enjoys a very high level of regulation and reputation, and offers a very competitive commission structure that tends to keep the cost of trading low.

FXTM, or "ForexTime", has been around for a long time - they were founded in 2011. They have been steadily expanding their business in recent years, and are well regulated by the UK, Cyprus, Mauritius and South Africa. The brand is owned by private companies incorporated in the UK, Cyprus and Mauritius. FXTM clients have access to over 57 currency pairs and crosses, precious metals, major energies, equity indices, major cryptocurrencies and some individual US stocks. Speaking of stocks, FXTM is quite unique in the area of ​​stock trading in that it allows direct trading through actual legal ownership, not just wrapped up as CFDs like almost all other similar brokers offer.

Foundation year: 2011

Minimum deposit: $10

Maximum leverage: 1:2000

FXTM offers traders a choice between two of the most popular execution models: clients can open an ECN-type account or one that trades using "direct processing". Clients can choose directly between two trading platforms, offering both MetaTrader 4 and MetaTrader 5.

Through its regulator in Mauritius, FXTM offers leverage of up to 1,000 to 1. In the UK and Cyprus, they are prevented by law from offering more. 30 to 1.

If you are looking for a broker with a good copy trading program, FXTM's "FXTM Invest" copy trading program is worth a look.

Advantages

• Low minimum deposit and high leverage
• South African Rand deposits via eWallets and local wire transfers
• Free plugins for MT4 and VPS hosting
• Good educational tools
• Disadvantages
• Low selection of commodities, metals and crypto-currencies
• Internal withdrawal fees and an inactivity fee

Official website: https://fxtm.com  

AvaTrade Copy trading

Social trading system that works with dozens of brokers.

AvaTrade is not a broker, but a technology provider that partners with brokers. Like eToro, it is not part of the group of automated Forex brokers, but caters to social trading, where it holds a leading position. All aspects related to trading, such as the trading platform, asset selection, cost structure, leverage, and deposit and withdrawal options, remain up to the broker. AvaTrade has 35 brokers using its copy-trading services, providing traders with the widest selection of potential portfolios to copy, exceeding 25,000,000. Brokers can increase spreads for accounts connected through AvaTrade, but all trading conditions are identical to those offered by selected brokers to regular wallets not subscribed to AvaTrade. Trading tools such as AvaGuard, which protects copiers from failed signal providers, Automator, aimed at automating the copying process, and subscription-based Combo Plus, used for fully automated copy trading , provide AvaTrade clients with a competitive advantage.

Foundation year: 2006

platform type: MetaTrader 4, Web Based

One of the most notable benefits of AvaTrade over other social trading brokers is the compensation model for signal providers. Two options are available: a classic volume-based and a profit-sharing alternative with a monthly subscription fee and 25% profit sharing. With over $1.2 trillion in trading volume, AvaTrade remains a highly sought after social trading platform. In 2014, this technology provider expanded into the competitive Japanese Forex market. It was followed by the receipt in 2015 of the portfolio management license from the European Union, making it a licensed portfolio management company. In 2017, China-based Formax Group acquired AvaTrade and all of its patents.

Official website: https://avatrade.fr

Advantages

1. Friendly and functional website
2. good customer support

Disadvantages

1. One type of account
2. no demo account

Advantages of Copy Trading: 

1. Copy trading is for individuals who want exposure to the financial markets but don't have the time to learn how to trade. It is a form of account management, and several regulators are investigating the reclassification of Copy trading platforms as investment advisors. Copy traders should always monitor their accounts and never blindly trust a strategy.
2. It gives you the advantage to see and to automatically copy a successful trader on the market. when they make profit you make too.
3. it helps Beginners to learn how to become successful, because they can learn from the strategies of the successful traders, each time he/she enter trades

Risks of Copy Trading

Between 70% and 85% of retail traders lose money, and copiers have the opportunity to copy among the 30% and 25% successful traders on the market. The risk is that traders can leave at any time, forcing copiers to search for new providers.

Factors to Consider When Choosing a Copy Trading Broker

I recommend that Copy traders keep the following points in mind when searching for the best Copy trading platforms, or to save time, choose one from our list where we have done the hard work for you.

• Commissions and Fees

Many brokers increase the spreads or commissions of their copy trading platforms to compensate traders. Others generally have higher fees for their copy trading service. Traders should find a broker that maintains a highly competitive cost structure to increase their profitability.

• Funding Methods and Withdrawals

Traders should always trade with a broker that offers their preferred funding and withdrawal methods. Low cost online payment processors offer the best service for most traders.

• Customer Support

While most traders never need customer support, Copy traders should ensure that support is available 24/5, as Copy trading platforms may have issues or Copy traders they need help navigating the options.

• Offer of Complete Resources for the Trader

Copy trading platforms that offer comprehensive trader resources and trading tools allow traders to achieve better returns. Therefore, Copy traders will benefit from a more competitive trading environment.

• Regulation

Traders should always trade with a regulated broker and ignore unregulated ones, regardless of the offer. There are rare exceptions, but traders should proceed with caution.

• Automated Copy Trading

After a copy trader selects the desired trader(s) and allocates capital to each, the Copy trading platform will reflect all trades made by the trader. The process is 100% automated without the intervention of the copier. It is the most used form of Copy trading.

• Semi-automated Copy Trading

Copiers who want more intervention will prefer this option. It allows copiers to review all the trader's positions in real time and choose which ones to copy. Copiers can then choose to automatically close the copied trades or adjust stop loss and take profit levels .

• Manual Copy Trading

Copiers who want to place and manage trades, but need trading signals, will place manual copy trades. There are great resources, free and paid, and copiers have full control over all aspects of trading.

Tips for Copy Trading Success

Here are four tips for successful copy trading and for copiers to get the best results:

• Select the right broker – It is the backbone and safety net of any copy trader. We recommend that you select the right broker for your trading needs with a trustworthy reputation and a trader-friendly cost structure.
• Find the right account : Trading from an account suitable to your capital will allow you to improve your trading results.
• Choosing an experienced long term successful trader : This is the most difficult aspect. We urge traders to research each of them and select one with a similar account size.
• Proper Settings : Copiers must implement the same settings as the traders they follow. Otherwise, copied trades may lead to losses.

What is the best Copy trading platform?

The best copy trading platform will offer a variety of trading strategies and in-depth research tools.

How much will copy trading cost me?

It depends on the additional costs of the copy trading platform and the fees of the trader.

What is the minimum amount needed to copy a trader?

Many copy trading platforms require as little as $100, but it can vary depending on the trader.

How does copy trading work? How is Copy trading set up?

Copy Traders must select the traders to copy and allocate capital. The Copy trading platform offers easy setup options and takes care of the rest.

How long does it take for copied trades to execute on my account?

Most of the Copy trading platforms execute the copied trades instantly.

Can other traders copy me?

Yes, if a trader account is registered on the copy trading platform.

Do I need previous trading experience to participate in Copy trading?

Although no previous experience is necessary, I highly recommend having some basic knowledge.

Is copy trading risky?

Since 70% to 85% of retail traders lose money, copy trading allow you to choose among the 30% and 25% successful trader which reduce risk if you copy the right successful trader.

How can I find good traders to copy?

Copy trading platform provides statistics and performance history of all traders. Past performance does not guarantee future success 100% but long term successful experienced trader gives positive result. Bitcoin traders who prefer social trading and have no requirements for trading solutions built on the MT4/MT5 infrastructure will feel right at home with Exnes, eToro... These brokers continues to be among the best social trading brokers and caters to over 11 million retail traders. The main trading tools are CopyTrader and CopyPortfolios, but eToro does not support automated trading solutions. Traders have a more complete choice of crypto assets, with 93, especially when compared to most other non-crypto forex brokers. In 2019, eToro acquired Danish blockchain company Firmo and Belgian crypto portfolio tracking app Delta.

Can You Make Money With Copy Trading?

Yes you can if you choose a long term successful trader that has not been winning the market by luck.

Copy trading allows beginners to participate in the financial markets

How Do I Choose the Best Trading System for Forex Copy Trading?

An active community of traders and extensive strategies will ensure you a more profitable result.

How to Copy an Operation?

Sign up for a Copy trading platform, select traders to follow and allocate capital.

Differences between Copy Trading and Mirror Trading

Both are similar, but mirror trading copies the entire strategy without human intervention or interaction with traders. Copy trading allows copiers to choose which traders to copy, adjust copied trades, and provides more freedom in general.

Trading Strategies

Mirror trading is more suitable for advanced traders with larger portfolios. It can consist of input from hundreds of traders and encompasses more macroeconomic data. Copy trading can follow a single trader and is a better approach for individual traders.

Trading Volumes

Retail traders trade significantly lower volumes than professionals, which makes copy trading the most suitable option. While the former can trade 100 units, the latter start at 10,000, which requires more capital.

Institutional and Retail Clients

Mirror trading originated in professional trading circles, while copy trading originated in online brokers serving retail clients.

Advantages of Copy Trading

Copy trading is for individuals who want exposure to the financial markets but don't have the time to learn how to trade. It is a form of account management, and several regulators are investigating the reclassification of Copy trading platforms as investment advisors. Copy traders should always monitor their accounts and never blindly trust a strategy.

Market Liquidity with Copy Trading

If traders take positions in illiquid assets, volatility can increase and cause unacceptable drawdowns in portfolios. Since the copiers have no input, they may gain a higher than desired risk exposure.

Do I need previous trading experience to participate in Copy trading?

Although no previous experience is necessary, But we highly recommend having some basic knowledge.