Etoro is the largest online forex broker in the world, as they currently have over 1.8 million clients spread throughout hundreds of different countries.
If you are looking to open up your first online forex account, I would definitely suggest taking a look at Etoro. Etoro gives you the opportunity to trade with a free account so that you can give their software a good test before deciding to trade with real money.
You will learn to invest in people, not in currencies.
You don´t need to learn all the charts and technics about forex
You will receive a list with the best traders on etoro to copy.
You will learn to build your "company" as a CEO.
Short course and to the point!
To start copy trading all you need to do is open an account at www.SimplyForex.com (my etoro ref.)
Then use the investment network to search out the top financial traders.
When you've spotted a trader you'd like to copy, simply choose a portion of your funds to invest and get started.
BUT the problem is there are so many and their success doesn’t only depend on their graphic performance on Etoro.
·There are many other factors which influence a good trader
·Deposit $ 200 (minimum) or more!
·Open an account
For NEWS and UPDATES please check the Lesson Nr. 9 !!
For NEWS and UPDATES please check the Lesson Nr. 9 !!
How do you go about selecting the traders to follow?
1.Good money management (uses no more then 50% equity)
2. A maximum of10 open trades
3. Look for traders with a proven track record (ideally at least 12 months)
4.No 100% loss in the past 100 trades (I accept losses - that‘s normal - but 100% is a bad sign for a trader).
5.No copytraders – just trades by himself
6.Activity: at least 10 trades per week
7.The smoother the chart graphic is, the better the trader
8.In my list I look for traders with as many different currency pairs as possible (diversification)
9. Look for one good commodity trader
10. Look to diversify geographically: search for 2 traders per continent so you can trade around the clock.
11. Follow short term eToro traders (i.e. traders who don’t leave positions open for weeks or months)
12. Follow traders who demonstrate a professional money management strategy - i.e. traders who risk a small percentage of their balance per trade and not traders who “bet” 10% or more on a single trade
13. Avoid traders with 100% (or > 90%) winning ratio, this only means they leave every position open until it becomes profitable, eventually locking up and losing all your capital as they widen their stop levels
14. Try to follow and copy traders who watch the market and use clearly defined stop levels above or below certain trend lines, instead of arbitrary stops of 100 or 500 pips away
15. Search for traders who know when to cut their losses and understand that not every trade must be a win.
You need to copy them and then go on vacation. Don´t do anything, just wait and see …!
Copy only, if they are in red or they have not open trades!
I recommend you start with the green list.When you have more money you can start to invest in them all one by one!
All of these traders have been tested by me with a real account.
Some traders are risky, but they make more money.
Don´t play around and exchange the traders often.
Be patient with them at least 4 months in order for the traders to be effective!!
Caution:It is very important to understand that almost all forms and types of investments have inherent risks involved. Many everyday activities such as driving a car is also risky owing to thousands of deaths each year attributed to driving. However, forex trading can be regarded as being as dangerous as any other activity and so it really depends on how good of a trader you are. The more time and effort you put into learning the ins and outs of forex trading and using the right strategies the lower will be the risk that you take.
UPDATES!! March 2016
Check this New video:
A better, more stable system The CopyTrader 2.0 has passed our beta-testing stage and is now in full swing, with more stable results across all points.
We have fixed most of the known bugs, and thanks to the new Copy Stop Loss and Pause/Resume features we have managed to achieve optimal synchronicity between copied investor – copier accounts, to preserve more accurate trade proportions.
We are certain that the CopyTrader 2.0 will make your Copy Trading experience smoother and more rewarding. Promoting responsible trading We, as a company, are committed to encouraging our traders to invest responsibly in order to promote portfolios that are stable and profitable in the long term.
Trading responsibly is all about minimizing risk, and minimizing risk is all about protecting your investments, which is why, we are about to implement a new default Copy Stop Loss setting and equity allocation limits.
As of November 2nd, whenever you open a new copy relationship, the CSL will automatically be set at 40%, so that 60% of your investment will be protected by default.
By putting in place a default CSL setting, we are making sure that you are less exposed to risk and that you can invest safely, knowing that a good portion of your investment is guaranteed to come back. Of course, this is just a precaution and you can always change the CSL from the default setting to your preferred amount.
In addition, as of November 19th the minimum copy amount will change from $50 to $100. It will mean that you will be much less likely to miss any of the trades your copied investor makes (due to the minimum trade amount of $1 and the proportion between their equity and your allocated copy amount), and will therefore have better synchronization between the two accounts.
More flexible allocation You ask, we deliver. As a result of your valuable feedback, on November 2nd we will be changing our 20% allocation limit to 40%. This means that you will now be able to copy any one investor with as much as 40% of your equity. So if, for example, you have $1200 in your account, you will now be able to copy 3 traders with $400 allocated to each.
The 20% rule was initially put in place to protect your investment portfolio by making sure that it was diversified, however now that you have the Copy Stop Loss to protect your investment, we are sure that you will enjoy the added allocation flexibility.
Can all these changes affect your open copy positions? Well, yes and no. While you will definitely feel that the experience has became much smoother, you will not be required to add money to your existing copy relationships (unless you want to add money to them, in which case you will have to bring the copy amount up to at least $100), and the CSL for your currently open Copied Traders will not be affected. However, from Nov. 2nd and onward, every time you copy a trader, your copy relationship will be subjected to the changes listed above.
Please check the latest updates! Lesson no. 9
Please check the latest updates! Lesson no. 9
Please check the latest updates! Lesson no. 9
According to my experience this is a list of the TOP Traders to copy
The internet has been a great leveler and no more so than in the realm of finance. Many people fail to realize just how much the financial markets have been transformed in the last few years – both with the move to fully electronic trading as well as the internet opening up access to the wider public.
Etoro Passive FX Strategy
What if you were a company president?You have a specific budget and you can employ up to 10 employees.What will you do? Naturally, you will search for the best people as a good investment for this money.Imagine that these 10 employees work around the clock and bring profit for you.Now, what would it be like if these 10 employees each had 10 workers who help them?Would you just take advantage of the work of your 10 employees or would you use the advantage of having the benefits of 100 workers, though you have only invested in 10? Now you can further imagine if each of the 10 employee’s helpers also each had 10 workers (10x10x10 =1000) for the same amount of investment. Would you stick with your 10 or would you take advantage of the 1000 people? Now, I hope you understand what it has to do with FX trading.As a etoro “company boss” you have the possibility to either choose 10 people to copy or you can choose 10 people to copy who each is also copying 10 good traders. This is the multiplication concept.I was astonished to see how many trades I made in a day when I started this. I got rid of the single traders (someone who trades for himself without copying) even at a loss, but within a few hours I won back what I had lost. I want you to be successful too and together we can develop a strategy from which we all can profit.Do you want to join me in this process?
Check MARCH 15. 2017 .pdf
Here the newest copy trader alert January 2017
The first thing to look for is what we are all interested in: profits! Has the trader been consistently profitable over a reasonable period of time?
Of course, it is perfectly possible that someone could have seen huge profits over a short period of time but unfortunately, this does not necessarily mean that they will be able to continue to be profitable in the medium to long term.
Although a trader may be fully convinced that they have a great system, it could just be that they have been quite lucky and caught a nice trend in a particular market. So a few good months does not necessarily mean that a trader has a good system. Will their system still be able make money once the current trend has stalled or reversed and higher volatility has come back in to the market?
I have seen many people diving in to copy traders with some big short-term gains only to find they have copied at exactly the wrong time. It is advisable to only consider those traders with enough history to demonstrate consistent profitability over a reasonable period of time, and preferably in a range of markets.
Controlling loses, or drawdowns, is one of the most important factors in becoming successful in the long term. It may be possible to make 20% or more in a month through high-risk trading but when those risks do not pay off, you may well find yourself with a 50% loss or more the following month. In the medium to long term, you will usually find that high-risk traders have gone backwards. So maintaining low drawdowns through a sensible money management strategy is perhaps one of the most important criteria to long-term success in trading, and by default, copying.
What many people don’t consider is that say you incur a 5% drawdown, you then need to gain 5.26% to get back to break-even. However, lose 50% and you now need a whopping 100% gain just to get back to break-even, and with higher drawdowns, the gains needed start to grow exponentially.
I see some traders ask copiers to set the copy stop-loss (CSL) at the maximum level of 95%. Of course, nobody ever expects that they will ever lose that much but it does happen. By incurring a 95% drawdown, you will need an unlikely 1900% gain just to get back to break-even before you can even start making any money.
High percentage gains can be a useful indication of high-risk trading since the only way to make excessively large gains is to trade with higher leverage and/or big stakes. This is fine when it goes the right way, but nobody can ever win 100% and just one bad trade can easily bust a high-risk strategy.
The eToro risk score is not perfect but it is a useful metric as part of your research into gauging how risky copying a particular trader might be. Large swings in equity, trading with high leverage and large stakes are all important factors which are taken into consideration within the Risk Score calculation.
eToro trader risk levels are the following:
Variations of the fundamentally flawed Martingale betting system have become very popular among inexperienced traders. This is where traders simply keep averaging down as the market goes against them. Perhaps, only entering trades with as little as 1-2% of equity per trade, but it is not uncommon to see 20-30 losing trades or more running at any one time. This type of high-stakes trading can, of course, can lead to huge swings in equity.
It has become so popular amongst beginners because at first, the system can often appear to have an amazing success rate with historical stats showing 100% winning banked trades. However, take a look at the portfolio of open trades and you may find many losing open trades.
Martingale traders will run these trades for many months or even years, continuously extending stop-losses in the hope that the trades may eventually be closed even a few pips in profit. The 100% success rate only comes to an end when the trader runs out of funds available to extend stop-losses and loses 100% of equity.
We all want to see big profits as soon as we enter a trade, or in this case, a copy. Nobody wants to have to wait. This same issue applies double to copiers who may be new to the whole thing and are excited about the opportunity to make money.
However, constant screen watching should be avoided. It will drive you crazy as short-term market valuations fluctuate. Sometimes, markets are extremely volatile and sometimes, they can be flat for weeks, perhaps stuck in a range where it is very difficult to find a decent trade. So if you are constantly watching your screens to see how much profits are rolling in from your copy, it can be extremely frustrating when you do not to see much movement, or worse, prices may be going against you, causing a bit of drawdown.
After spending a lot of time searching, studying stats, and perhaps copying traders in demo for a period of time, your portfolio should be monitored, but there is no need to obsess over every short-term move and get spooked into jumping from copying one trader to another and then another just because someone recently had a big win. The big win may never be repeated and it could be that you stopped copying the other traders just as the market takes off in their predicted direction. Worst case scenario is that you can jump from loss to loss and more losses.
When a trader takes a trade, it is far more advisable to decide in advance how much you are willing to invest, place your copy stop-loss and then be patient as you monitor the situation. Whatever happens with any individual trade, if you have done your research and chosen your trader wisely, you should see what we all want to see: solid consistent gains giving long-term success.
Excellent! Source with Permission: http://forexillustrated.com/how-to-find-the-best-traders-to-copy-7-tips-from-an-elite-investor/
Here the New Trader Alert! October 2016
Updates for Juni 2016
NEW!! Deposit $ 200 (minimum is $ 200) or more!
Chek the resources for .pdf Alert!
You can download the .pdf for newest updates!
I have over 18 years of forex experience. I have studied the charts, made trades according to the news, technical analysis, fibonacci, candlestick charts, fx indicators, robot traders. I focused on different currency pairs, gold, silver, index and so on, but I realised in my career that there is a better way to trade: Your brain is the best instrument to use.
Why shouldn't I invest more in knowing traders and their behavior than in studying currencies?
There are already platforms where you can copy traders, which I thought was a brilliant idea.
After months of research and copying hundreds of traders, I have now found a good mixture of successful traders, who are helping my account grow continously.
Now I work like a manager, looking for the best employees on Etoro and hire them for my "Simply Forex Company".