Top 5 Forex Copy Trading Groups in 2023
There are a lot of forex trading groups out there, and there are a lot of copy trading groups out there… but what exactly is forex copy trading? And why should I sign up for forex copy trading signals?
In this article, we'll review what copy trading is and how it works with forex trading, and then we'll share our ranking of the top 5 forex copy trading groups today.
What Is Copy Trading?
Copy trading is a popular method in the financial markets where traders have the ability to automatically replicate the trades of experienced and successful traders. It allows individuals with limited trading knowledge or time to participate in the markets and potentially generate profits by following the strategies and trades of more experienced traders.
In copy trading, a platform or service provider connects traders, often referred to as “followers” or “investors,” with skilled traders, known as “signal providers”. The signal providers execute trades in their own accounts, and these trades are then replicated in real-time in the accounts of the followers.
How Does Copy Trading Work?
The process typically involves signing up with a copy trading platform, selecting the signal providers to follow based on their performance, risk profile, and other criteria, and allocating a portion of the follower's capital to mirror the trades of the selected signal providers.
The follower's account then automatically executes the same trades as the signal provider's account, proportionally adjusting for factors like trade size and risk management settings.
Why Is Copy Trading So Popular Among Investors?
Copy trading offers several benefits, particularly for beginner traders or those who lack the time and expertise to actively trade the markets. It allows individuals to learn from experienced traders, gain exposure to various trading strategies, and potentially generate profits without having to conduct in-depth market analysis or make trading decisions themselves.
Additionally, it provides an opportunity for skilled traders to earn additional income by sharing their successful trading strategies with others.
It's important to note that copy trading involves risks, and past performance is not necessarily indicative of future results. Followers should carefully evaluate the track record and trading style of signal providers before choosing to copy their trades. Risk management and proper diversification are also essential to mitigate potential losses.
History of Copy Trading
Copy trading dates back to 2005 when experienced traders were able to share their trading history for the benefit of other users. The idea was to develop an auto-trading system where a trader could display his or her trading strategy with a record of their performance.From this, their activities on the platform were recorded and made available to other traders or users of the platform.
The method gained popularity over the years and entered mainstream in 2010 when most online trading brokers started allowing less experienced traders to benefit from the trading activity of more experienced traders.
In addition, they also had the option to select which trader to copy. Hence, the term COPY TRADING was coined.
So before choosing a broker or trader to copy-trade, you must look at their track record. How profitable has it been over a specific period? You must also make sure you have good knowledge about the market you’re putting your money in. This is a basic rule of finance.
What To Know About Forex Copy Trading Before Getting Started
By now you should have a good sense of copy trading, what it is, and why it's such a popular investment strategy.
Forex copy trading can be an especially great opportunity… if you invest in copy trade signals from a professional trader with a proven history of success.
Given the profitability of selling signals, many individuals claim to be professional forex copy traders, but few are truly experts. We've taken the time to evaluate and review the top 5 forex copy trading signals groups so that you can be sure that you are getting the very best signals out there.
Top 5 Forex Copy Trading Groups
1. MYC Signals Forex & Commodities (@mycforexsignals)
Trading the financial market requires a certain degree of experience, since different market conditions are approached or treated according to their history.
But how do you gain experience without exposing yourself to a lot of risk? This is where MycForexSignals trading group comes in.
MycForexSignals trading group puts you in an environment where you gain experience trading and monitoring your activities in these markets.
Boasting an excellent win rate with minimal drawdown, they are one of the best signal providers out there. They also provide free signals on cryptocurrencies, forex currency pairs, crypto weekly market updates, and many more.
Best part? It’s available for FREE!
Click here to join the group and start copy trading.
How To Enter A Trade
The first thing to understand about copy trading is that money management is key. Set your take profit and stop loss based only on the market you're trading.
Most trade analysis on the mycforexsignals appear on TradingView, however, the group is a partner of a forex trading bot called CORNIX BOT.
The Cornix Bot automatically trades for you based on the signals sent from the telegram channels you are a member of.
Before Cornix bot can execute trades on your behalf, it will need access to your trading account.
Your exchange account is linked to the Cornix bot through a client. Once you’ve created a client, auto-trading is only possible if the telegram signal channel you subscribed to is supported by Cornix bot.
Five percent of your exchange account is used to place a trade by default, this can be changed manually on the trading configuration.
You can also disconnect from clients in the auto-trading configuration when you feel it’s no longer profitable.
Each message sent by your telegram signal group is read by the Cornix bot, when a signal is detected, a trade is placed by the Cornix bot with auto-trading.
Alternatively, you could use the configuration provided by your signal provider, if none is provided.
eToro, a pioneering platform in the world of copy trading, has established itself as a renowned multi-regulated broker. With eToro, traders can access a wide range of securities including forex currencies, stocks, commodities, cryptocurrencies, indexes, and CFDs. One of the key highlights of eToro is its 24-hour customer support, ensuring assistance is readily available. Additionally, the platform proudly boasts an impressive 83.7% average yearly profit from their top 50 most copied traders in 2020.
eToro offers two distinct methods of copying trades: Copy Trading and Copy Portfolio. Through Copy Trading, users can select an individual trader's account to replicate their orders. On the other hand, Copy Portfolio allows users to copy an entire portfolio of products, with some portfolios curated by eToro and others designed by third parties.
Before engaging in copy trading on the eToro platform, users are required to allocate the desired amount of capital for their copied trades. This allocated amount will be distributed proportionally to match the copied account's allocation, and the orders will be automatically executed on the user's behalf.
While eToro provides a seamless copy trading experience, it is important to note that the platform has certain restrictions in place. These include minimum and maximum investment amounts for copied portfolios, a minimum amount for individual copy trades, and a maximum limit on the number of traders that can be copied.
3. Ava Trade
Ava Trade has a partnership with ZuluTrade, a leading provider of social trading platforms, solidifying its position as one of the top choices for copy trading. With a minimum investment of $100 and no commission charges for copying, Ava Trade offers accessibility to traders of all levels.
Operating on the popular MT4 trading platform, Ava Trade provides access to a vast selection of approximately 100 signal providers. This wide range of signal providers presents traders with a diverse pool of successful traders to choose from, offering ample opportunities for profitable trades.
When utilizing Ava Trade's copy trading feature, users have the flexibility to copy a trader either in full or partially, depending on their preferences. Additionally, Ava Trade allows traders to customize their preferences by completing a questionnaire, ensuring that the copied trades align with their individual trading goals and risk appetite.
While exploring the signal providers, it is essential to carefully consider the maximum drawdown of the chosen signal provider. Ideally, the maximum drawdown should not exceed 20%, as anything beyond that threshold can introduce excessive risk to the trading strategy.
It is important to note that Ava Trade's copy trading service is relatively new and may still require some improvements. However, with its strong partnership with ZuluTrade and the array of signal providers available, Ava Trade offers a promising platform for traders seeking to engage in copy trading.
Established in 2011, FXTM stands as a reputable and long-standing online brokerage with a proven track record of success. Regulated by multiple authorities, it provides traders with a secure and reliable trading environment.
One standout feature of FXTM is its offering of valuable tools, including trading signals, designed to enhance the trading experience. Through the FXTM Invest service, traders can subscribe to forex signals and engage in copy trading effortlessly. By automatically replicating the trades of preferred signal providers, users can benefit from their expertise and potentially improve their trading outcomes.
5. Vantage FX
Vantage FX is a well-regulated broker that offers a wide range of tradable instruments, including CFDs on Forex, Shares, Crypto, Commodities, and Indices. With access to over 250 technical instruments, clients can explore diverse trading opportunities across multiple platforms. Moneta Markets, on the other hand, provides a web platform with over 100 tradable assets, including CFDs on cryptocurrencies. Both brokers offer a comprehensive selection of currency pairs, commodities, precious metals, indices, and share CFDs from various countries.
Vantage FX also stands out with its Duplitrade Copy-trading platform, which allows traders to diversify or complement their existing strategies. With a minimum account requirement of $2,000, clients can take advantage of the social and auto-trading features offered by Duplitrade.
In addition to their trading services, Vantage FX partners with HokoCloud to offer free VPS hosting to clients with a trading account of $500 or more. This service ensures reliable and uninterrupted trading by providing a stable virtual server environment.
In conclusion, forex copy trading signals have revolutionized the way individuals participate in the forex markets. By allowing traders to automatically replicate the trades of experienced professionals, copy trading signals offer a convenient and accessible avenue for both novice and busy traders to engage in forex trading and potentially generate profits. The ability to learn from successful traders, diversify portfolios, and save time on market analysis makes copy trading an attractive option for many.
However, it's important to approach copy trading with caution, conducting thorough research and selecting reputable signal providers. With proper risk management and a realistic understanding of its limitations, forex copy trading signals can be a valuable tool in achieving financial goals and navigating the dynamic world of forex trading.