Forex Community Trading |
Posted: June 20, 2021 |
How is the community composed? In social trading, the community is usually made up of private investors. Normally, only a few users are professional traders who earn their money predominantly or exclusively with daily trading on the stock exchange. The descriptions of the investors make it easy to determine who is a hobby trader and who is a professional trader. On the profile of a trader registered on the platform, the portfolio history and strategy as well as personal profit and loss statistics can be viewed. This high level of transparency in social trading enables interested parties to assess the experience of every trader - and the associated chances of success of their trading strategies. Traders have the advantage that they do not have to independently assess which traders are successful, as they follow experienced coaches in the curated trading offered here. Participate in the success as a CopyTrader or Follower Investors participate in the trading success of top traders in different ways on social / copy trading platforms. With some providers, purchases and sales of the social trader are replicated, i.e. they are mirrored or copied one to one. This automatic replication is also known as mirror trading or copy trading. So there is the possibility to participate in the copy trading experiences of others, Copy traders and followers can therefore automatically track every purchase and sale by the top trader. The profits are also automatically booked into the account of the copy trader or follower in the same ratio. The situation is similar to curated investment. What does the broker earn in social trading? Is there also a social trading definition for providers? Or to put it another way: What does a social trading provider earn? Investors who follow a trader and want to participate in his success usually have to pay a certain fee. Some social trading platforms make their money by having investors open trading positions. As a rule, however, there is no direct fee for opening positions. Rather, traders pay an indirect fee via the so-called spread. This is the difference between the buying and selling price of the positions. The costs ( spreads ) for social trading vary depending on the selected product, but there are no additional transaction costs.
|
||||||||||||||||
|