What is social trading? It is a mutually beneficial cooperation
of traders and investors whereby successful traders allow monitoring of
their trading and potential investors take the opportunity to monitor
their performance and copy trades of those who look more promising.
You monitor real-time trading of a number of traders, connect to the most successful ones and copy their trades in automatic mode - that's what social trading is about. For novice and inexperienced traders who have just turned to financial markets for additional income, it is probably the best opportunity to actually start trading.
You do not need to be a professional trader with a great bundle of
knowledge and skills in order to trade professionally. Nor do you need
to follow and analyze the news from financial markets, work out and
implement trading strategies and be prepared to change the ones that
fail to keep monitoring their performance in the new market conditions.
Thanks to social trading it all becomes unnecessary since you can simply
copy trades of all those who follow the news, analyze markets and
create profitable strategies.
Is it difficult to start mirror trading and how much does it take? While hedge fund investing was not available to many due to high entry threshold (hundreds of thousands and millions of dollars), social trading is a highly affordable system available to absolutely any trader with any income level. It opens up access to a large market with vast opportunities that you, too, can use.
Social trading advantages are obvious:
- Additional income for both traders and investors
- Investment diversification
- Opportunity to connect to the most successful traders and automatically mirror their trades
- Low entry threshold: you can start with a minimum budget
- Practice opportunities: you can trade on demo accounts in a training mode
- Time saving
- High operability and user-friendly interface
Ready to take the opportunities offered by social trading but don't know where to start? MetaTrader 4 and MetaTrader 5 are the most famous and popular platforms for social and mirror trading, with Trading Signals service being a very convenient, advanced social trading feature offered in these platforms. Social trading with the MetaTrader platforms is very straightforward: the user chooses the signal directly in the terminal, subscribes to it and from that moment on all trades are copied in his account.
Social trading with MetaTrader will allow you to monitor trading activity and profitability of successful traders, and most importantly, copy their trades. If you see a positive trend in performance of one of the traders whose signal is available for subscription, go ahead with it and start copying his trades. The trading terminal will automatically mirror all trades of the signals provider in your account, without any manual intervention necessary.
So, after subscribing the trader can earn money using the Signals service, without effort, skills or trading experience.
After all, social trading should be simple and straightforward to be easily understood by traders with any background. We cannot but admit it. In this light, MetaTrader trading signals appear to be perfectly adequate. They are available to any user, regardless of their trading experience. Here, you are not required to sign an agreement with a provider of the selected signal or a broker, nor is there any paperwork or manual control necessary. Everything is done automatically.
All you need is to specify your broker and enter the number of your account on the broker's server. Nothing more than that. Subscription process will take very little time. The description of a step-by-step subscription procedure is available in the article entitled "How to Subscribe to Trading Signals". After reading it, you will subscribe to the signal of your choice quickly and easily.
Despite being seemingly complicated, choosing a provider of the suitable signal has been made as simple as possible - the Trading Signals section features a regularly updated list of providers. By default, signals on the list are sorted by quality ensuring that top positions are taken by signals with higher credibility and better financial performance. However, for your convenience trading signals can also be sorted by monthly growth, number of subscribers, price and other parameters.
Social trading with the MetaTrader trading platforms is easy, straightforward and available to everyone. Out of thousands of available signals providers, you just need to choose the one that suits you more and measures up to your parameters!
Some articles dedicated to signals which can be useful to you:
Translated from Russian by MetaQuotes Software Corp.
Original article: https://www.mql5.com/ru/articles/701