Was Ist Social Trading

Was Ist Social Trading Wie funktioniert Social Trading?

Social Trading bezeichnet Austausch von Markt- und Börseninformationen zwischen Privatanleger. Dabei veröffentlichen Anleger ihre Meinungen zu Wertpapieren oder ihr gesamtes Portfolio in sozialen. Als Follower oder Copy Trader am Erfolg partizipieren. Auf den in Deutschland bekanntesten Social Trading-Plattformen eToro, Ayondo und Wikifolio partizipieren. Social Trading (deutsch etwa „gemeinschaftlicher (Börsen-)Handel“) bezeichnet Austausch von Markt- und Börseninformationen zwischen Privatanleger. Was ist Social Trading? ✓ Erfolgreiche Handelsstrategien von erfahrenen Tradern kopieren und umsetzen ✓ Tipps der nextmarkets Coaches. Social Trading ist eine Anlageform, bei der Sie (als sogenannter „Follower“) die Anlagestrategien bzw. die Portfolios anderer Mitglieder eines.

Was Ist Social Trading

Social Trading ist eine Anlageform, bei der Sie (als sogenannter „Follower“) die Anlagestrategien bzw. die Portfolios anderer Mitglieder eines. Erfahren Sie, wie Sie von den einzigartigen Funktionen unserer Social-Trading-​Plattform profitieren können, zusammen mit Millionen von Tradern auf eToro. Einige Social Trading Portale setzen weniger auf soziale Aspekte, sondern dienen eher als Präsentationsfläche für „erfahrene Trader“. Auf Plattformen wie ayondo. Erfahren Sie jetzt, wie Social Trading funktioniert und wie Sie als Anleger oder als Trader direkt von Social Trading profitieren können! Erfahren Sie, wie Sie von den einzigartigen Funktionen unserer Social-Trading-​Plattform profitieren können, zusammen mit Millionen von Tradern auf eToro. Social Trading – soziale Netzwerke für Trader. Social Trading ist wie Facebook für Händler. Trader auf der ganzen Welt werden miteinander vernetzt und erhalten. Social Trading ist eine Form des Handels, bei der Trader oder Anleger die Strategien von anderen Teilnehmern oder erfahreneren Tradern kopieren und. Einige Social Trading Portale setzen weniger auf soziale Aspekte, sondern dienen eher als Präsentationsfläche für „erfahrene Trader“. Auf Plattformen wie ayondo. Was Ist Social Trading

All in all, the system is beneficial in many ways to all participants. Up until now, everything has sounded great. What could go wrong? Well, there are certain limitations to social trading as we know it today.

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Why blockchain-based social trading is poised to dominate in Social trading platforms have been around since The martingale is not a specific traders category, but rather a trading technique that all four the above categories can use.

The trader who uses martingale technique has a special operations management when they get in loss. In practice, when a trade goes in loss is not closed, but left open.

In addition, another one is opened in the same direction of the first one. The more the price goes against the first operation, ie it falls down, the more the Signal Provider will open other operations in the same direction of the first one Long , in order to lower the average entry price , or the break-even level.

The price, at which the sum of wins and losses of the various trades is equal, will be lower, so more achievable, compared to the price of the first trade, which will be much higher.

These are the main categories under which, more or less, all the Signal Providers can be categorized. Obviously, there are many nuances in between these categories and boundaries are not always so definite.

In fact, many of the Signal Provider could easily fall into more categories, or could simply use, at the same time, techniques that belongs to different categories.

In the next lesson we will see what are the risks for a follower investor with each of these categories. Like any type of investment instrument, Social Trading also has a certain amount of risk.

Each Signal Provider category has some parameter characteristics of strengths and, of course, of weaknesses.

In this chapter, we will concentrate on the latter. Once you will know it, it will no longer be risk, but only another element of the puzzle , to be considered together with all the others.

Rather than risk, for a followers investor who decides to use this kind of Signal Provider, we should talk about the need to have the right mindset.

In general, Signal Providers who seriously use long term techniques are the least risky among all, because they never leave losses to run, but instead they cut them trying instead to let profits run.

For many followers investors this can be a problem because they may think they have made the wrong choice, and they may leave the Signal Provider without giving him enough time to express its potential, perhaps missing an important opportunity.

The Long Term Signal Provider, therefore, are not good for those who cannot wait. However, as said many times in the first investing course, the ability to manage risk, and so to be able to wait and have the right patient, is one, if not the most important, among the qualities that a good investor should have.

If for the Long Term you could see a long series of small losses before seeing a profit explosion, with Day Trading you could encounter some series of losses and profits very similar to each other, before seeing a real and permanent capital increase.

In other words, in the day trading techniques is very common, for certain periods, for profits and losses to be equivalent , and that the account balance continues to rebound without rising, remaining fairly stable, or maybe down a little bit.

If his modus operandi has not changed, it probably means his strategy is going through a non-convenient cycle, but that, given the statistics on which it was founded, sooner or later it will come back to bring new profit to the capital.

This category, as always, is a little bit half-way between the long-term trend follower and the day traders. As with the long term, there may be several attempts to catch the swing ending with stop loss.

As with day trading, profit and loss although the extent of profits is usually much greater than the losses may be equivalent, or lead to meager gains even for long periods.

So, here also you need a good dose of patience and acceptance of the strategy. The main problem in applying such a strategy lies mainly in the slippage.

With a Scalper Signal Provider you will have a huge amount of replicated trade, each one with its intrinsic level of slippage. For this reason, extreme scalping strategies must be avoided in order not to see the potential gains eroded by the multiplication of slippage without brakes.

Should be further noted that some Social Trading company make sure to not allow Signal Providers to use extreme scalping strategies.

But we must also recognize that, to an inexpert eye, they are the most attractive , and it is here that the trap can be triggered. By not accounting their losses, they are the only traders that, for several days, even in a constant way, could give you only profits.

As mentioned before, the methodical willingness to not cut losses is the most risky thing you can do in trading and investing in general.

It just takes to wait a few days, and the martingale takes its course, quickly recovering all the losses in order to save the situation and return at break even, maybe even with a small gain.

The problem is that this does not always happen. As said and repeated many times, the market, despite all the statistics a person can study, is an irrational creature.

There will be times, and you can bet that sooner or later they will come, when the price will not retrace his steps, even after weeks, running violently in the opposite direction than desired.

If you are not sufficiently prepared, these situations can be fatal for your account. Up to now we have seen the psychological or technical risk of following one of these Signal Provider categories.

Now is time to speak of another possible risk, which can be found in all the Signal Provider categories seen so far, but that affects the most the scalping and martingale Signal Providers.

For sure you remember, from the lesson in Forex course , that when you open and close a trade via a broker, every time he makes us pay a spread, which is calculated by simply adding a small amount to the real market spread.

In the case of Forex, usually the broker adds about 1 to 3 pips as spread, but this can vary both for the broker, or for the currency pairs taken into account.

In any case, the spread is the profit that the broker puts in his pocket every time you open and close a trade. Regardless of whether your trade has gained or lost, you always pay the spread.

In Social Trading the earnings , both for the company and for the Signal Provider, derive precisely from that spread.

All the spreads the broker will earn depend on the fact that his client is following the Signal Provider via the Social Trading Company. The broker therefore agrees to pay the Social Trading company a part of the spread paid by the follower in every transaction, in the form of commissions.

The Social Trading company, in turn, will correspond a part of the spread to the Signal Provider that generated the signal.

Now you understand why especially Scalper and Martingale are a high risk from this point of view, in particular martingale.

Many of these alleged traders rely on this rather simple mathematical procedure, which in the short term can yield excellent and very attractive performance to the inexperienced follower.

Almost no losse. Steady profits every day. Many followers investors, who have tried Social Trading without any knowledge and experience, have come across these sharks.

You can imagine how it ended for almost all of them. A very brief period of happiness before the great sword scythe their accounts. While they earn commissions, on the other hand they will lose their capital.

Let me reveal the last piece to make you fully understand the risk of those who make Social Trading only for the commissions: in some cases, not always and not with everyone the Signal Provider can operate and send his signals even from a demo account.

Of course, the Social Trading company will highlight this factor, and it will be definitely something to keep in mind when you will do your evaluations.

Moreover, even in the case of companies that do not allow Signal Providers to use demo accounts, but only real accounts with their own money in, the risks are not entirely eliminated.

If all goes well, the profits from commissions could be very high, while in the event of a failure, their loss would be only on the small open account.

Continue your journey with Investingoal, share our content with your social networks, and above all, join our community in order to make it grow.

This will ensure that more and more investors will come on Investingoal and will find out how to protect themselves. We, of course, we will be happy for obvious reasons, but I think you will be too, because you would have done the right thing.

Because of you, those who will arrive will be able to save themselves from the possible dangers. At the bottom, of the spirit of a community is just that.

Now we just have to discover the two pillars , the two main components, those we will always analyze first whenever we will approach a Signal Provider.

Here is why. As we have found through various feedback, many people make the mistake of relying solely on a rough analysis of these two elements, avoiding to go deeper in the analysis of what we saw in Chapter 6, or, even worse, not being even aware of it.

Equity Line and Drawdown are the two basic elements but , for the avoidance of doubt, they are not enough to make a good choice. These are the two essential elements to start, but, after the analysis, you absolutely have to analyze all the others.

Otherwise, the possibilities of following a risky Signal Provider grow a lot. The chart that represents an Equity Line has, on the ordinate axis, the account balance, and, on the abscissa axis, the time, or the serial number of performed operations.

With the latter we might find times when the Equity Line is flat. This is because if the Signal Provider makes no operation during that time, the line will mark precisely the same constant value corresponding to the last balance.

For the Equity with only closed positions, in the case of daily progression, it will be clearly a balance formed by the sum of only the transactions closed during the day.

These equities are the classic and the most famous ones, and they are very useful in understanding certain types of behavior of Signal Providers.

However, an untrained eye may sometimes misinterpret this kind of classical Equity Line. To explain better, if I close an operation, but I have other 10 open positions on the account, my balance situation could be very different than the one shown by an equity line with closed-positions only.

His classic Equity Line could be perfect and always climbing, since he closes his trades only when they are in profit or, if added together, they are at break even.

There may be various types, such as Equity Line that includes only the open positions at a loss, or that include also those in profit.

The key thing when you look at an Equity Line is to know according to what criteria it has been designed, in order to have a clear view of the data you are looking at being able to make the right considerations.

The complementary element to the Equity Line, which extends the analysis opportunities, is the drawdown. In simple terms, the drawdown represents the losses of a trading asset, or rather, the level of losses incurred before returning to profit.

Looking at a normal Equity Line, which has ascent moments and descent moments, the drawdown are all those descents that have occurred and that have been followed by new ascents, with new highs in the profit balance.

Both factors, in any event, concur to support the decisions about money management, as we shall see in particular in the next lesson.

In our view the percentage Drawdown must always be calculated in two ways, or better said, taking two different references.

Percentages help us to observe the drawdown from another interesting point of view. We must therefore always be careful, because the higher the drawdown, the more difficult is to recover the profits.

As we have seen for the Equity Line, also the drawdown can be calculated and expressed in different ways, depending on what is considered, if only the closed positions, or if there are also the still-open positions.

The classical Drawdown in based on the classical Equity Line losses, caused by the closed and accounted operations only, while the one that include the open position too calculates how much the balance actually dropped in terms of capital, against all open positions.

Both these ways can give indications but as you can image, the main interest must be given to the Drawdown that include the open positions, because in this way we can actually observe the risks that have been susteined.

Each operation, before being closed, oscillates. To calculate the possible risks I need to know how deep the downwards oscillation was, and then to know how deep the downward oscillation of the whole account was, considering the sum of all the trades open at any given time or day.

Beyond all the ways in which it can be represented, the value that interests us the most is the Max Drawdown , ie the maximum capital reduction before returning to create a new profit high in the balance.

Equity Line, Drawdown and all the other elements of analysis we have seen so far, when combined intelligently they concur to help the follower investor in his decisions about how to handle his money allocated in his portfolio, namely, about his Money Management.

Money Management is the management of the money used in all of our assets, and its primary goal is to control risk.

Managing your money wisely is the real dividing line between success and failure , and that is why many trader or followers investor have difficulties at first, because they underestimate the importance of money management in their investment strategy.

Let me make an extreme example to let you understand properly. Enthusiastic, you take your 10, usd account and you bet everything of this strategy.

After that one, the system started with the other 99 winning trades in a row. Too bad for you though, because by betting everything, on that first trade you have burned your balance and you have set yourself out of the game just before you were about to get rich.

Any investment, any strategy, any Signal Provider carries a certain level of risk. The ability of the investor is to assign the right amount of capital to each piece of the strategy, so that the whole structure can continue to operate efficiently and with as little risk as possible.

Any Signal Provider brings with him his strategy and his performance, with its relative parameters, peculiarities, performance levels, but especially risks.

From all these parameters derive the Money Management reasoning, designed to indicate what is the ideal piece of capital to be allocated to the trader , so that he will produce his best performance, putting the least possible at risk the portfolio stability.

How much to assign also depends on your initial investment objectives. Conversely, in case you want to instead aim at a great return on the investment.

We believe a lot in the protection capital. Social Trading is an investment that allows incredible returns on your capital, but it also brings risks that should not be underestimated, especially when you consider the fact that the management is entirely in your hands, and you may not have the slightest experience in this field, but only theoretical concepts.

To keep a slice of capital out of the game means to protect yourself further, in the event of serious errors or unexpected events.

Should you encounter some obstacles along the way, that slice of capital will always be ready to give you back a bit of oxygen.

You will then see in more detail what we mean. Deciding these percentages is more an art than a mathematical process, and the experience is definitely what will help you the most in finding the best investment portfolio calibration and the right money management strategy.

However, there are also mathematical formulas that can help you figuring out how much percentage of capital a Signal Provider can handle according to his performance.

Obviously, the percentage values will impact on the number of Signal Providers you can use. The next step for a good money management is deciding how many Signal Provider to use.

This is Money Management too. Study many Signal Providers, but in the end choose your favorite, focus on those, and learn to know them as much as possible.

Again, to combine these elements perfectly is a practice you can acquire with time and experience, but to create for you an excellent starting point for a good money management you can start using some calculations.

In any case, they are what you should rely on to make your best decisions. With this in mind, the Max Drawdown value is a very good indicator of the worst you might expect from a Signal Provider.

You also need to be clear about the level of expectation on the maximum general and cumulative losses of the account. Imagine if all the Signal Provider should produce at the same time their worst historical performance, and calculates how much your account may be affected by that.

There will come a time when your earnings will allow your portfolio to make a step further. Your capital will be raised enough to support an increase of the Lot Size assigned to that Signal Provider, therefore to begin to deal with larger capital for the progressive growth of your account.

Before proceeding to the conclusion of this course on Social Tradidng and beginning the next one, we need to spend some words about factors like time , resources and expectations.

Many investors wonder what the timings are when it comes to investing their money with Social Trading.

On one hand, an investor could easily take his money, give it to someone else to handle it, pay him, and then wait, with all the risks and low returns that follow.

This method, which is the classic one, would require a minimum investment in terms of time. Or, on the other hand, you can choose to invest a bit of your time for a while, learning how to invest on your own, and how you do it via Social Trading.

For sure there is a fact. By arriving on Investingoal and following our courses you are drastically reducing the time needed for your education.

To start with no educational material exposes you to the dangers of highly risky choices, dictated simply by your lack of knowledge of the topics.

By starting alone, you would need to learn by doing experiences. Starting with Investingoal instead allows you to have, from the very beginning, all the basic knowledge you need to start safely , excluding the risk of threatening immediately your capital with very risky choices, dictated by the total lack of experience.

Making mistakes is normal, it happens to everyone, even after years of experience. The important thing is that an error never has to put at risk your account stability and your resources , and that from that mistake you can really learn something.

Here too it can be personal and it depends largely on the type of strategy you have decided to pursue. If you have a Long Term Strategy, you cannot expect to see results after only one month.

But even if you have designed a Short Term strategy, thinking you can get great results after just two weeks will put you in a dangerous situation.

As said before, we are talking about investment, not about betting or gambling. If you want to double your capital on a night, I suggest you to try the casino roulette.

For sure you will have more chances, and it will take much less time, in the sense that, within a single evening, you will know right away if you have doubled your capital, or if, more likely, you will have lost it miserably.

This can also be a method for saving time, perhaps not very intelligent. All good things take time and care, the art of investing especially.

Both when you study or when you set up your portfolio, take your time, do not rush. Think hard about all the possible variants, about all the possible problems, do a brainstorm of everything that can be connected to your strategy, pros and cons, best and worst moments, timing, and above all the rules that your Signal Provider shall comply with, penalty a Lot Size reduction or the total disconnection.

It takes time for your diversified investment portfolio to work. If, on one hand, to see your capital status whenever you want is a great thing, on the other hand it may also create a possible stress.

Imagine you set a long-term strategy. As mentioned above, it may take months to see the results. If you cannot stay calm and you frantically checks your account several times a day, I assure you that you will suffer some kind of stress and dissatisfaction.

On the other hand, if your strategy conditions should disappear according to the rules that you have placed at the beginning, then you should act without hesitation.

This calls for clear rules established at the beginning, for not having doubts about what you should do.

The ability of a good follower investor is precisely this, to set rules not too hard and not too lascivious, so that he can move wisely into the possible scenarios, and especially so that he can respect them.

In principle, however, if the follower investor have properly studied all the arguments, have taken all the time to proceed with all transactions in these courses, and have checked the accuracy of all its settings, assuming his Signal Providers will do their duty without making mistakes along the way, then the minimum time to leave the portfolio working before making considerations will be of at least 6 months, but much better a year.

Always taking a Long Term strategy as example, it would make no sense to complain about the performance after only 5 months, knowing how these strategies work.

Evaluations of this kind are not so much logical, for the simple fact that it has not been left enough time to the portfolio to show its real potential, or perhaps also to reveal its real problems or deficiencies.

For both, the right time is needed. Otherwise you are not acting in a sensible way, but only by making decisions based on emotionalism, which is very destructive in the investing world.

Die oft hohen Kosten für einen professionellen Vermögensverwalter fallen damit weg und das Gebührenmodell beim Social Trading ist meist übersichtlich — das ist mittlerweile eine Seltenheit in der Finanzwelt.

Fazit: Anleger können beim Social Trading von den besten Tradern lernen. Darüber hinaus sind die Trades völlig transparent, auch das ist in der Welt der Finanzen eine Besonderheit.

Bei Wikifolio kaufen Follower ein Zertifikat. Wikifolio-Zertifikate und jedes neu emittierte Wikifolio-Zertifikat profitieren allerdings seit Frühjahr von einer Besicherungslösung.

Ganz oben in der Rangliste sind Musterdepots mit einer starken Performance aufgeführt, dessen Trader in der Regel riskantere Strategien fahren.

Anleger sollten also vor allem darauf achten, über welchen Zeitraum die Performance erzielt wurde und ob sie konstant ist.

Markus Gentner leitet den Ratgeberbereich bei finanzen. Zuvor war er fünf Jahre lang in der News-Redaktion tätig. Hinweis: Unsere Ratgeber-Artikel sind objektiv recherchiert und unabhängig erstellt.

Damit Sie unsere Informationen kostenlos lesen können, werden manchmal Klicks auf Verlinkungen vergütet. Hinweis zu eToro: Ihr Kapital unterliegt einem Risiko.

Bei eToro Europe Ltd. Dann abonnieren Sie jetzt den kostenlosen Ratgeber-Newsletter! Oskar ist der einfache und intelligente ETF-Sparplan.

Er übernimmt die ETF-Auswahl, ist steuersmart, transparent und kostengünstig. Börse Broker. Regelungen und Rechte.

So funktioniert Social Trading. Social Trading - das Wichtigste in Kürze. Signalgeber, sogenannte Social Trader, setzen auf Social-Trading-Plattformen eine Handelsstrategie in einem öffentlichen Musterdepot um.

Social Trading — das geht über diesen Anbieter Anbieter Vorteil. Social Trading — was ist das? Wie funktioniert Social Trading genau?

Bleiben Sie rund um das Thema Börse auf dem Laufenden! Das könnte Sie auch interessieren:. Online Depot eröffnen.

Wer ist Ihr bester Online Broker ? Wikifolio, führender Anbieter im Bereich Social Trading, besichert seine Produkte deshalb über die eigene Plattform, um damit das Emittentenrisiko zu reduzieren. Die Portfolios werden sowohl von professionellen Vermögensverwaltern als auch von Trading-Laien erstellt. Sie sind sich noch unschlüssig, wie Sie Ihr Geld anlegen möchten? Im Folgenden erläutern wir, was eToro Sex In Bad Oeynhausen anderen Anbietern abhebt, was Social Trading auszeichnet und warum Social Investing aus Anlegersicht so spannend ist. Online Casino Einzahlung Per Sms für Anfänger — Tipps und Fallstricke Aktien als Geldanlage werden in Deutschland beliebter, denn immer mehr Deutsche trauten sich in den vergangenen Jahren an die Börse. Es gibt weitere Finanzderivate, die ebenfalls mit Hebeln ausgestattet sind, jedoch wegen im Übrigen anderer Ausgestaltungen separat und nicht unter dem Begriff Hebelprodukte am Markt angeboten werden z. Social Trading findet in der Praxis über entsprechende Plattformen statt. In der Regel fällt aber keine direkte Gebühr für die Eröffnung der Positionen an. Was Preisgeld Dfb Pokal Social Trading und welche Anbieter gibt es? Folgen Sie uns Online:. IG Markets Ltd. IG Group Partner Karriere. Insbesondere Anfänger erhalten damit die Möglichkeit, von dem Erfolg anderer Trader zu profitieren. Der Spiele Touch Down - Video Slots Online des Social Trading kann auf unterschiedliche Art und Weise erfolgen: Einige Anbieter agieren als reine Plattformen, welche den Signalgeber Winario Login die Follower zusammenbringen. Über die Plattformen können sich die Nutzer austauschen. Es gibt jedoch einige Wege die Marktstimmung einzuschätzen. Inzwischen sind knapp 10 Millionen Menschen in Deutschland Aktionäre. Fürs Alter vorsorgen. Vor Einsteigerfehlern sind sie so relativ sicher. Ähnlich verhält es Caligula Video beim Curated Investment bei nextmarkets. In this chapter, we will concentrate on the latter. But what we can do is identify how many transactions the trader makes on average per day, AdreГџformat Deutschland week and per month. In any case, they are what you should rely on to make your best decisions. Deposit: depends Flagge Lichtenstein the broker. For now you have to get familiar with Social Tradingwith the tool you will use.

Was Ist Social Trading - Social Trading – die neue Form der Geldanlage im Internet

IG Academy ausprobieren. Der Lernprozess wird bei nextmarkets durch die Coaches unterstützt. Traum erfüllen. Bei nextmarkets ist es möglich, von erfahrenen Tradern zu lernen, ihre Trading-Strategien zu kopieren und im eigenen Handelskonto umzusetzen.

Was Ist Social Trading Navigationsmenü

Der Follower benötigt dann ein separates Depot, über das die Transaktionen ausgeführt werden. Die aktuelle Börsenstimmung wird für jedes Mitglied binnen Minuten spürbar und Bewegungen werden transparener. Weitere Artikel. Diese hohe Transparenz beim Social Trading ermöglicht es Interessenten, die Erfahrung eines jeden Traders — und damit verbunden die Erfolgsaussichten seiner Handelsstrategien — zu beurteilen. Die Risiken von Direktinvestments in Immobilien werden UnvertrauenswГјrdig vermieden und es ist weniger Eigenkapital erforderlich. Einführung in Hedging-Strategien. Hauptseite Themenportale Zufälliger Artikel.

Some make trading activities as extra work before it becomes a full-time job, and still others have always done it as a real job. Understanding the evolutionary journey of a trader is not very important, what really matters is to understand what are its current capabilities and the power of his strategy.

By now we have been in the Forex and Trading world for more than 10 years , and we know a lot of people. We have seen traders that after 20 years of study and practice still had difficulty, because they were committing the same beginners mistakes over and over.

Obviously, a certain number of years are needed to gain experience and acquire the necessary experience to be flexible and be able to react quickly to the market changes.

However, what really matters in the end are the strategy , the results , and the self-control. When a trader studies he does so to create a set of rules.

These rules will help him to know if, when, and how to open or close a trading operation. Did you know that thanks to Social Trading you don't have to be a Trader to earn like one?

These rules can be based on three different schools , and on the mergers and contamination of these together.

When he opens operations, his vision is usually long-term, weekly or even monthly, because usually the news of this kind are not immediately reflected on the price, but in the long run.

Sometimes, however, some economic data make the price literally explode in one direction, creating risky opportunities of immediate profit. A famous example is the change of the central banks interest rate, like the Fed or ECB respectively on dollar and euro, or the US unemployment data.

In other words, the daily, weekly and monthly movements the price performs are able to show to the trader the intention of the price to take a certain direction in the near future.

The indicators available are thousands of different categories. Furthermore, with some computer programming knowledge, they can also be created independently.

To name one among all, the most famous is the moving average. Time passing, these points take the form of a curved line.

The trader expert in the use of indicators is able to interpret that behavior and to get indication for guessing the future direction of the price. In order to respond immediately to a common question, there is no better school than others.

Most traders, however, specializes in one of these areas, but they also try to fill the deficiencies of each with additional knowledge from the others.

It means, above all, to analyze how these results have been created, what are the winning percentages, what are the risks of this strategy, what are the weak points, what are the strengths.

This way, that is made also of attempts, testing and results analysis, the trader builds his own strategy, his war machine.

Finally, after the strategy and the results, comes the self-control. This is one of the main reason why many traders choose to define the rules and turn them into a computer language, creating a virtual machine, a program that trades on their behalf , in a semi or fully automatic way.

These programs, called Expert Advisors or EA , constantly follow the evolution of prices and data, and they open and close operations on the occurrence of specific conditions, previously set by the trader.

However, the machines, no matter how complex, can never replicate human intelligence and sensibility. There are times in the market, in which only a human being can understand what is happening, and decide what is better to do or, even more important, not to do.

The Signal Provider is a trader who has decided to share his trading strategy with other investors. And to respond immediately to a classic question and dispel all doubt.

It would be strange if someone who has a method to make money would share it with the world without wanting anything in return. Signal Providers make no exception.

The compensation system for the signal provider usually is structured in such a way that they earn only if there are investors who are following their signals and are replicating them using real money accounts.

This means that only those who produce good performance and good results will be able to attract investors eager to follow their signals, and thus make a profit.

Bad Signal Providers very unlikely will be able to earn from their Social Trading activity. Moreover, we must also say that the Signal Provider, from the moment he decided to collaborate with the Social Trading company, he also give it the permission to record every transaction he make, in every detail.

In other words, this situation of constant control pushes a Signal Provider to behave well throughout his career , because he knows that every mistake will be recorded and shown to the present and future investors.

The reality however is different. First of all, it should be perfectly clear to anyone who wants to invest that past performance are in no way guarantees and certainty of future performances.

What can, and should, be certain is the protection the investor has to build to safeguard his investment. Second, the experience shows that many Signal Provider adopt strategies that, at first glance, may seem very good and convenient, but that actually hide very large inherent risks.

The good news is that an experienced eye has the ability to recognize these risks from the analysis of the Signal Provider data.

First, find out what are the best Social Trading networks where to begin to exploit the Social Signals Provider.

Next, we have created two specific lists of the best Social Signals Providers for the two main Social Trading brokers. You can find them here:.

This would not be investing, but tempting fate. A follower must first arm himself of the right mindset , and then of the right knowledge.

In this lesson we will see together the main characteristics that a follower must possess. First of all, a good investor invests only the capital that, in the event on being undermined, it would not hurt his financial status.

He never puts into play sums of money that could jeopardize the stability of its economic and financial situation. On the other hand, a follower is aware of what it means to keep all the money in the bank.

While this may give security, on the other hand he realizes that all his money is deposited according to the value of a currency, and that the value of his savings, in any case, is subject to the changes in the currency exchange market.

For this reason, diversifying to some extent the use of money is a good technique to increase the financial protection. Here we enter into a very relative field, because the goal of a follower investor is something personal and, above all, that must be made clear at the outset.

This is a very conservative and respectable goal. With Social Trading , however, it is reasonable to aim to much more. A follower knows that with Social Trading he will exploit the potential gain that Retail Traders can achieve with their trading on the Forex market and CFDs.

The amounts of revenue that good traders can realize are much higher than any other investing method we have seen in the first course.

Not that it was necessarily stolen, but maybe just invested badly in risky operations. With Social Trading, how much you want risk is up to you , and most of all, money are always in an account belonging to you , and you can check their status and what Signal Providers are doing whenever you desire.

The Retail Trader manage the trading risk in first person, and thanks to this responsibility, his earnings are much higher.

A Follower runs the risk in first person too, but not of direct trading, as traders, but of the management of the traders themselves. He must not know which particular trading technique a Signal Provider uses if you knows it, however, much better , but it must be able to understand what performance this strategy is able to produce, and especially against which risks.

Reversing this thinking and think first to earnings and then, if appropriate, to risks, can be a very dangerous behavior, if not fatal, for an account.

To make a comparison, we can say that being a follower investor is like being a fund manager and a portfolio manager. The only subscriber to the fund will be you, and you will also be the one who will build the strategy and the portfolio.

As already mentioned, it follows that you will be solely responsible for your money, and your choices will determine the success or failure of your investment.

Taking these responsibilities upon yourself may seem unnecessary and risky if we think that we may instead delegate them to someone else. Even when you decide to let someone else invest it.

Those who will lose your money cannot be the managers, because by definition that is Your money, not theirs. You never have to forget that the responsibility of your money is always and only yours.

What are the characteristics with which we can describe and then distinguish the styles of different Signal Providers? It should be stated at the outset that each Signal Provider , or each Retail Trader in general, has his own style.

In the trading style of each person there are also their own personality, their own experiences and their own expectations, all of which will never be the same between one person and another.

If the operations are totally identical, it simply means that both are using an Automated Trading system, ie an Expert Advisor. That being said, there are certain parameters that a reasonable Follower investor should consider every time he intend to analyze the performance of a Signal Provider, before deciding to follow his signals.

The reason is simple. Otherwise, if you trust a trader with only a few months of great records, you risk to connect to a strategy that worked well only for that particular moment in favor of the market.

There are Signal Providers that trade on several currency pairs or stocks. There are others who specialize exclusively on just one or two.

In the case of Forex, but the same goes for CFDs, traders who use different currency pairs usually prefer to decrease the risk incidence by using their technique on multiple currency pairs.

Some simply use the same strategy on several pairs, considering that if with a certain pair at some point it will perform badly, there will be others in which instead it will do fine.

On average, this will always lead to a positive result, and in the meantime he will avoid to go through completely negative periods, as it would be in the case of using the strategy on a single pair.

Other Signal Providers, instead, use complex diversification strategies, that take into consideration different parameters and technical data, including the most important positive and negative correlation between instruments.

It is called positive correlation when two instruments, in our case two currency pairs, move more or less in unison, in the same direction and at the same time.

On the contrary, it is called negative correlation when they move on the contrary to one another. These traders tend to specialize and deeply understand the behavior of the instrument on which they operate, and are able to recognize the various phases that particular instrument is going through, and can therefore adapt their strategy if necessary.

In case they use Expert Advisors, Signal Providers optimize as much as they can the automatic strategy, to reflect as much as possible the peculiar behavior of that instrument, in order to obtain the maximum return.

Most not all of the Signal Provider, either if they diversify on different pairs, or if they focus on a single one, at a certain point of their trading life they will end up having more than one operation open on their account at the same time.

This can happen for several reasons we will see shortly. The important thing is to begin to understand that this is one of the most important parameters to consider.

In general, increasing the number of simultaneous trade can quickly increase the level of risk , although this may also not always be true.

Indeed, the Signal Provider has diversified its strategy on 10 different currency pairs, and each pair has maximum 2 open simultaneously operations.

Now, obviously the value 20 takes a whole different meaning. Soon we will see why. Does the Signal Provider open a few or many transactions per day?

Or per week? Or per month? To this type of questions we can answer as we did by referring to the number of simultaneously open trades, saying that everything can be relative.

A trader who opens an average of 10 trades per day, and uses 10 different currency pairs, will be different from a trader who will instead open 10 trades per day, but on a single pair.

Understanding why a Signal Provider opens more or less transactions is something that would require the full knowledge of the strategy used by him, which, except for a few cases, is not possible to know.

But what we can do is identify how many transactions the trader makes on average per day, per week and per month. The duration of a trade greatly affects the connotation of a Signal Provider style.

As we have seen, even during the forex course, traders can be divided into three main categories. There are the Trend Follower traders, that implement long-term strategies.

Here, each operation is open to ride the long trend movements, and they can remain open for several days or even a few weeks or months. Then, there are the Swing Traders , those who open positions to earn from the market swing, which are usually closed in a few days, usually within a week.

Finally, there are the Day Traders , whose operations are always closed by the end of the trading day, and among these, Scalpers , the fastest ever, that open and close many transactions that are maintained for a few minutes, if not seconds.

This is a number that can be very relative, and that needs to be contextualized with another parameter to make a concrete contribution to the analysis, as we will see shortly.

The key thing to do with this percentage is to be wary of extremes. Well, the problem is precisely that. A no-losing trader has never existed, and will never exist.

This is a very risky strategy, because the market can go against you much longer than what your capital can support, regardless of how much liquid you are.

To cut losses is crucial, those who do not run a very big risk, and if you decide to follow this kind of strategies, you will inevitably run it too.

Remember, the market takes no prisoners, and those who are not willing to suffer a small loss are destined, sooner or later, to suffer the biggest loss of their life.

This value is very useful when correlated with the winning percentage. It means that a successful operation can earn twice of what it can lose.

So, despite the fact that the Signal Provider, when he wins, take much more pips compared to when he loses, the times when it loses are much more than the times in which he wins.

Such a strategy has a major deficiency. Another example. A trader of this type has stop wider than profit, but the times the stop is taken are much lower than when the trade goes into profit.

Most likely, such a trader will be profitable in the long run. In such cases, doing the calculations is very easy and convenient.

Now that we have listed the main parameters for which a Signal Provider can be analyzed, in the next lesson we will look at the most popular categories of traders.

We have said that every trader, ie each Signal Provider, is unique, because each person carries in trading the total sum of his experiences, mentality and psychology.

However, using the parameters we saw in the previous chapter, we can classify Signal Provider into categories. Trading over the long term means trying to ride big price movements , also called trend.

These movements can last for days, weeks, sometimes even months. A Signal Provider that applies this kind of strategy usually makes several attempts to try to take the right start of the trend.

During these attempts, he often undergoes a lot of stop-loss , which, however, are usually small in terms of pips. When, instead, the trend starts, then with some positions he remains steady inside the movement, trying to ride it as much as possible, then he closes those few operations with large profits.

A Day Trader usually opens one or more positions during the day, with the intent to close them in the same day or at least on the next day, rarely two days later.

This Signal Provider is trying both to ride those little trends that sometimes forms in a single day, and also to take advantage of the many days of range, ie where the price continues to bounce within certain levels, without taking a definite direction.

By closing all his positions within the day, the average pip size, both of profits and stops, will be lower than the average range value for that particular currency pair.

Swing Trading is somewhere half way between the long-term trend following and the daily day trading. This trader looks, with all the technical tools at his disposal, to identify the beginning of those market movements, sudden and decisive in a particular direction, called precisely swing.

Usually, the time horizon of this kind of trades is one to four trading days, in any case within a week. Traders who do scalping are the fastest of all.

In a single day they can even make hundreds of transactions , but that usually last from a few seconds to a few minutes.

With a so limited time horizon, the expected profits per transaction are obviously of very few pips, as well as the stop.

Everything takes place in a few minutes, for a few pips, for many times a day. Usually the winning percentage of these Signal Provider is high, but against a minimal extension of profit and a high number of transactions per day.

The speed of positions handling and the minimum profits for operation make these traders, in many cases, difficult to replicate successfully. The martingale is not a specific traders category, but rather a trading technique that all four the above categories can use.

The trader who uses martingale technique has a special operations management when they get in loss. In practice, when a trade goes in loss is not closed, but left open.

In addition, another one is opened in the same direction of the first one. The more the price goes against the first operation, ie it falls down, the more the Signal Provider will open other operations in the same direction of the first one Long , in order to lower the average entry price , or the break-even level.

The price, at which the sum of wins and losses of the various trades is equal, will be lower, so more achievable, compared to the price of the first trade, which will be much higher.

These are the main categories under which, more or less, all the Signal Providers can be categorized. Obviously, there are many nuances in between these categories and boundaries are not always so definite.

In fact, many of the Signal Provider could easily fall into more categories, or could simply use, at the same time, techniques that belongs to different categories.

In the next lesson we will see what are the risks for a follower investor with each of these categories. Like any type of investment instrument, Social Trading also has a certain amount of risk.

Each Signal Provider category has some parameter characteristics of strengths and, of course, of weaknesses. In this chapter, we will concentrate on the latter.

Once you will know it, it will no longer be risk, but only another element of the puzzle , to be considered together with all the others.

Rather than risk, for a followers investor who decides to use this kind of Signal Provider, we should talk about the need to have the right mindset.

In general, Signal Providers who seriously use long term techniques are the least risky among all, because they never leave losses to run, but instead they cut them trying instead to let profits run.

For many followers investors this can be a problem because they may think they have made the wrong choice, and they may leave the Signal Provider without giving him enough time to express its potential, perhaps missing an important opportunity.

The Long Term Signal Provider, therefore, are not good for those who cannot wait. However, as said many times in the first investing course, the ability to manage risk, and so to be able to wait and have the right patient, is one, if not the most important, among the qualities that a good investor should have.

If for the Long Term you could see a long series of small losses before seeing a profit explosion, with Day Trading you could encounter some series of losses and profits very similar to each other, before seeing a real and permanent capital increase.

In other words, in the day trading techniques is very common, for certain periods, for profits and losses to be equivalent , and that the account balance continues to rebound without rising, remaining fairly stable, or maybe down a little bit.

If his modus operandi has not changed, it probably means his strategy is going through a non-convenient cycle, but that, given the statistics on which it was founded, sooner or later it will come back to bring new profit to the capital.

This category, as always, is a little bit half-way between the long-term trend follower and the day traders. As with the long term, there may be several attempts to catch the swing ending with stop loss.

As with day trading, profit and loss although the extent of profits is usually much greater than the losses may be equivalent, or lead to meager gains even for long periods.

So, here also you need a good dose of patience and acceptance of the strategy. The main problem in applying such a strategy lies mainly in the slippage.

With a Scalper Signal Provider you will have a huge amount of replicated trade, each one with its intrinsic level of slippage.

For this reason, extreme scalping strategies must be avoided in order not to see the potential gains eroded by the multiplication of slippage without brakes.

Should be further noted that some Social Trading company make sure to not allow Signal Providers to use extreme scalping strategies.

But we must also recognize that, to an inexpert eye, they are the most attractive , and it is here that the trap can be triggered.

By not accounting their losses, they are the only traders that, for several days, even in a constant way, could give you only profits.

As mentioned before, the methodical willingness to not cut losses is the most risky thing you can do in trading and investing in general.

It just takes to wait a few days, and the martingale takes its course, quickly recovering all the losses in order to save the situation and return at break even, maybe even with a small gain.

The problem is that this does not always happen. As said and repeated many times, the market, despite all the statistics a person can study, is an irrational creature.

There will be times, and you can bet that sooner or later they will come, when the price will not retrace his steps, even after weeks, running violently in the opposite direction than desired.

If you are not sufficiently prepared, these situations can be fatal for your account. Up to now we have seen the psychological or technical risk of following one of these Signal Provider categories.

Now is time to speak of another possible risk, which can be found in all the Signal Provider categories seen so far, but that affects the most the scalping and martingale Signal Providers.

For sure you remember, from the lesson in Forex course , that when you open and close a trade via a broker, every time he makes us pay a spread, which is calculated by simply adding a small amount to the real market spread.

In the case of Forex, usually the broker adds about 1 to 3 pips as spread, but this can vary both for the broker, or for the currency pairs taken into account.

In any case, the spread is the profit that the broker puts in his pocket every time you open and close a trade.

Regardless of whether your trade has gained or lost, you always pay the spread. In Social Trading the earnings , both for the company and for the Signal Provider, derive precisely from that spread.

All the spreads the broker will earn depend on the fact that his client is following the Signal Provider via the Social Trading Company. The broker therefore agrees to pay the Social Trading company a part of the spread paid by the follower in every transaction, in the form of commissions.

The Social Trading company, in turn, will correspond a part of the spread to the Signal Provider that generated the signal.

Now you understand why especially Scalper and Martingale are a high risk from this point of view, in particular martingale.

Many of these alleged traders rely on this rather simple mathematical procedure, which in the short term can yield excellent and very attractive performance to the inexperienced follower.

Almost no losse. Steady profits every day. Many followers investors, who have tried Social Trading without any knowledge and experience, have come across these sharks.

You can imagine how it ended for almost all of them. A very brief period of happiness before the great sword scythe their accounts.

While they earn commissions, on the other hand they will lose their capital. Let me reveal the last piece to make you fully understand the risk of those who make Social Trading only for the commissions: in some cases, not always and not with everyone the Signal Provider can operate and send his signals even from a demo account.

Of course, the Social Trading company will highlight this factor, and it will be definitely something to keep in mind when you will do your evaluations.

Moreover, even in the case of companies that do not allow Signal Providers to use demo accounts, but only real accounts with their own money in, the risks are not entirely eliminated.

If all goes well, the profits from commissions could be very high, while in the event of a failure, their loss would be only on the small open account.

Continue your journey with Investingoal, share our content with your social networks, and above all, join our community in order to make it grow.

This will ensure that more and more investors will come on Investingoal and will find out how to protect themselves.

We, of course, we will be happy for obvious reasons, but I think you will be too, because you would have done the right thing.

Because of you, those who will arrive will be able to save themselves from the possible dangers. At the bottom, of the spirit of a community is just that.

Now we just have to discover the two pillars , the two main components, those we will always analyze first whenever we will approach a Signal Provider.

Here is why. As we have found through various feedback, many people make the mistake of relying solely on a rough analysis of these two elements, avoiding to go deeper in the analysis of what we saw in Chapter 6, or, even worse, not being even aware of it.

Equity Line and Drawdown are the two basic elements but , for the avoidance of doubt, they are not enough to make a good choice.

These are the two essential elements to start, but, after the analysis, you absolutely have to analyze all the others. Otherwise, the possibilities of following a risky Signal Provider grow a lot.

The chart that represents an Equity Line has, on the ordinate axis, the account balance, and, on the abscissa axis, the time, or the serial number of performed operations.

With the latter we might find times when the Equity Line is flat. This is because if the Signal Provider makes no operation during that time, the line will mark precisely the same constant value corresponding to the last balance.

For the Equity with only closed positions, in the case of daily progression, it will be clearly a balance formed by the sum of only the transactions closed during the day.

These equities are the classic and the most famous ones, and they are very useful in understanding certain types of behavior of Signal Providers.

However, an untrained eye may sometimes misinterpret this kind of classical Equity Line. To explain better, if I close an operation, but I have other 10 open positions on the account, my balance situation could be very different than the one shown by an equity line with closed-positions only.

His classic Equity Line could be perfect and always climbing, since he closes his trades only when they are in profit or, if added together, they are at break even.

There may be various types, such as Equity Line that includes only the open positions at a loss, or that include also those in profit.

The key thing when you look at an Equity Line is to know according to what criteria it has been designed, in order to have a clear view of the data you are looking at being able to make the right considerations.

The complementary element to the Equity Line, which extends the analysis opportunities, is the drawdown. In simple terms, the drawdown represents the losses of a trading asset, or rather, the level of losses incurred before returning to profit.

Looking at a normal Equity Line, which has ascent moments and descent moments, the drawdown are all those descents that have occurred and that have been followed by new ascents, with new highs in the profit balance.

Both factors, in any event, concur to support the decisions about money management, as we shall see in particular in the next lesson. In our view the percentage Drawdown must always be calculated in two ways, or better said, taking two different references.

Percentages help us to observe the drawdown from another interesting point of view. We must therefore always be careful, because the higher the drawdown, the more difficult is to recover the profits.

As we have seen for the Equity Line, also the drawdown can be calculated and expressed in different ways, depending on what is considered, if only the closed positions, or if there are also the still-open positions.

The classical Drawdown in based on the classical Equity Line losses, caused by the closed and accounted operations only, while the one that include the open position too calculates how much the balance actually dropped in terms of capital, against all open positions.

Both these ways can give indications but as you can image, the main interest must be given to the Drawdown that include the open positions, because in this way we can actually observe the risks that have been susteined.

Each operation, before being closed, oscillates. To calculate the possible risks I need to know how deep the downwards oscillation was, and then to know how deep the downward oscillation of the whole account was, considering the sum of all the trades open at any given time or day.

Beyond all the ways in which it can be represented, the value that interests us the most is the Max Drawdown , ie the maximum capital reduction before returning to create a new profit high in the balance.

Equity Line, Drawdown and all the other elements of analysis we have seen so far, when combined intelligently they concur to help the follower investor in his decisions about how to handle his money allocated in his portfolio, namely, about his Money Management.

Money Management is the management of the money used in all of our assets, and its primary goal is to control risk. Managing your money wisely is the real dividing line between success and failure , and that is why many trader or followers investor have difficulties at first, because they underestimate the importance of money management in their investment strategy.

Let me make an extreme example to let you understand properly. Conclusion" PDF. Jesse McWaters June The Future of Financial Services: How disruptive innovations are reshaping the way financial services are structured, provisioned and consumed Report.

World Economic Forum. The Rapidly Evolving Investor". Roubini Thoughtlab. Conclusions" PDF. John's University.

November 29, July 21, Canal Trader. May 22, Forex Magnates. August 30, International Journal of Ethics. Tobias Preis ed.

Finance Magnates. The Huffington Post. Investment management. Closed-end fund Net asset value Open-end fund Performance fee.

Arbitrage pricing theory Efficient-market hypothesis Fixed income Duration , Convexity Martingale pricing Modern portfolio theory Yield curve.

BlackRock U. Charles Schwab Corporation U. Dimensional Fund Advisors U. Fidelity Investments U. Invesco U. Morgan Asset Management U. State Street Global Advisors U.

Rowe Price U. The Vanguard Group U. Wellington Management Company U. Janus Henderson U. Jupiter Fund Management U.

Man Group U.

Weitere Artikel. Eine Frage, die sich über kurz oder lang beim Social Trading aufdrängt: Warum teilen erfolgreiche Trader überhaupt kostenlos ihre Handelsstrategie oder ihr Portfolio mit anderen Beste Spielothek in LangenbrГјgge finden Social Trading schaltet diese Problemquelle durch den immer aktuellen Livefeed vollständig aus. Sie möchten am Social Trading teilhaben? Vielmehr zahlen Trader eine indirekte Gebühr über den sogenannten Spread. Sie müssen Ihre Ansprüche im Fall von Streitigkeiten durchsetzen können. Social Trading ist Beste Spielothek in Oberfurth finden beliebte Möglichkeit, Zugang zu den Finanzmärkten zu erhalten.

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Was Ist Social Trading Video

Was ist Social Trading

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