History[ edit ] Copy trading and mirror trading developed from automated tradingalso known as algorithmic trading around It was an automated trading system where traders were sharing their own trading history that others could follow. Tradency was one of the first to propose an autotrading system incalled by them Mirror Trader.
What is copy trading? Copy trading is popular with traders who lack expertise in a specific market and those who have limited time to commit to trading.
Here, we explain what copy trading is and how it works. Callum Cliffe Financial writer, London What is copy trading?
He is the most followed trader in Singapore with more thantraders reading his blog every month And do you know what they found? So what now?
Remember that even if you are following the methods of an experienced trader, your capital is still at risk. How does copy trading work?
Copy trading works by relying on social networks and social trading systems. When one trader opens a position, they can broadcast this information to other traders on the network, who can then decide whether they want to open the same position — or their automated trading systems can do it without additional input from the trader.
Often, the primary trader who broadcasts their positions has experience in the underlying market — and the copy traders might lack experience in this specific market, or they might be entirely new to the financial markets as a whole. Forex copy trading is a popular strategy, because price movements are often small but frequent, and constant monitoring is required. However, as previously mentioned, before committing real capital to the advice of another market participant, you should carry out some analysis of your own — even if you are trader copying trades with the underlying market.
IG Academy and IG Community can help you here, with resources and message boards to bring you up to speed with anything that you feel you could know more about. We also offer in-platform trading signalsalerts and technical chart indicators. These enable you to receive notifications about how a market is behaving.
Read full article January 26,AM copy trading If you want a portfolio that matches the performance of investing pros, copy trading may help. Copy Trading Definition Copy trading is more or less what it sounds like. You choose an expert trader to follow, then copy their trading movements. The key is choosing a trader to follow whose investment style and goals align with yours. You can do copy trading on your own or through a copy trading platform.
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