Best Social Trading Platform: Social Network For Traders
The best social trading platform has become a buzzword on every trader’s mouth.
They keep searching for the best social network or trading platform. The numbers of platforms are increasing day by day with new features.
It has enabled communities, market place, forums, etc. to keep the interaction between two or more traders.
Some of the social trading platforms are giving service for many years. The platforms are fairly established with proper regulation.
For that, we have gathered all the necessary information related to the social trading platform.
We will be showing you the benefits and workflow of trading platforms. These social network platforms for traders are used in different sectors as well.
On the other hand, these are maintained in a proper manner too.
So, stay with us to know more about social trading platforms.
Social Trading Platforms And Networks
Social trading platform or network is similar to an online platform where traders and investors can follow other professionals.
These platforms most of the time offers automated trade. On the other hand, traders can perform trade via real-time trading data.
The beginner traders with some or no knowledge of social trading may have trouble identifying the right trader to follow.
Moreover, these social trading networks have enabled investors to interact with each other using the social aspect. It will also enable them to trade in groups.
In these platforms, the trading assets are forex, stocks, indices, oil, gold, commodities, and so on.
Features Of Best Social Trading Network
To identify the best social trading platform for traders, there are some features.
All trading activities should be trackable and costs should be openly displayed. The provider should support the selection of the signal provider through extensive filtering options.
Social trading is running along with the trend of mobile platforms. Since every individual now uses mobile phones; social network platforms are providing mobile compatible websites or apps.
Via the mobile application, social traders are able to track the developments of their investments from anywhere, anytime.
You can also make suitable adjustments if required.
Demo Account
A demo account is a useful way to learn social trading without any real investment.
Not many platforms or networks provide the facility of demo account. There you will be able to practice trades with virtual money and know what kind of difficulties you are facing while trading.
You will be able to acquire basic knowledge from there and which will take you one step ahead to your experience.
Instruments traded
You can perform trade with your favorite trading instruments.
Currencies accepted
It is not necessary that all social trading platforms will accept all trading currencies. For that, traders need to be assured if the currency you are going to trade is acceptable or not.
Having the option of choosing without the search
The trading interface has to be accessible so that, new traders can choose successful traders easily.
Helps to start with just a small investment
Any platform which has the minimum amount of investment feature can be the best one.
Minimal effort to execute trades
Choose the trading platform from where you can execute a trade with minimal effort.
You do not need to wait the whole day to trade.
All you need to do is, make a watch list and follow whoever you want to. And then, execute your trades in just a few minutes.
Access market with diversified expertise
Find out whether the platform you have found has access to the market with diversified expertise or not.
Wider scope of analysis
Every trader has a necessity of analyzing the market widely. Traders have to analyze the market to execute a profitable trade.
Copy trades automatically
Social trading enables traders to make a new kind of profit through trading related knowledge.
Even in some platforms, the feature of following and copying the professionals is enabled.
Smooth interface
Not every network has a smooth interface for investors and traders. It is an important feature for them.
If the interface is not smooth enough, then traders will face problems while trading.
Trades history
Do the networks provide with the longest and robust trade history?
You learn from your previous trading history. Trading journals will help you to avoid mistakes for the upcoming trading phase.
Platforms and broker
To execute a trade in the social trading platform, sometimes you need to connect with a broker.
Not all platforms do that. Some platforms play a role as a broker.
For example – eToro plays both the role of a platform and a broker. You can choose any kind of platform with or without broker according to your liking.
Tools to improve your trading and choose the right trader
Trading tools will help traders to improve their trading.
With the help of different trading tools, you can analyze the financial market.
Provides educational opportunities for beginners
Social trading platforms are a great source of education. Traders who have a little knowledge of trading can apply it on live trading.
Open Book
The most important feature is that you can access to other investors trading information. The information includes trading history, risk levels, returns, and performance.
Note that, among other statistics, the fraction of winning trades of the investor is displayed very prominently.
Maximum and Minimum Investment
The platforms must have the feature of maximum and minimum investment.
It is better to choose a platform which has a minimum investment of less than $100.
This feature usually depends on the platforms provider.
Payment methods
It is very important for traders to check the payment methods provided by social trading platforms.
Apart from the methods, don’t forget to check the level of security
Payouts and fees
Check if any fees are required or not before choosing the platform.
Social Trading Platform Comparison – Trusted Social Network for Traders
Social trading is an open field for new investors. Some social trading networks act both as a broker and a platform
In those, investors can conduct their trades with the platform itself.
For example, eToro offers social trading function as well as act as broker function.
The platform will not charge any commission or management fees from traders. Investors and traders are unable to choose the broker they prefer.
On the other hand, there are many social trading platforms available which are independent.
It means that these platforms provide social trading services and partnered with a number of brokers.
If a platform makes the partnership with many brokers, then the investors and traders are able to choose the best spreads.
These independent brokers most of the time charge a commission, which can make them expensive to use.
Moreover, traders using this kind of trading platforms which are not directed to a broker; may experience perfect execution.
There are many social trading networks and platforms. So, we are placing for you the best social trading platform comparison table below
(Social trading comparison List)
Factors To Consider While Trading On Social Trading Networks
There are some factors which are needed to remember while trading on a social trading platform.
These are:
- Always choose a trusted social trading platform while opening an account.
- Never take a trader’s word for granted. Choose traders who have established a trading record for at least a few years after successful trading results.
- Always monitor your trading account and take some time to analyze the trading behavior. Always protect your funds against uncertain trading.
- There is nothing wrong if you are copying others and managing your own trades. You should be comfortable while trading, and you can leave trades if you are not satisfied with a position placed by a trader you follow.
- Try to become more independent in trading through giving some time in learning and executing them on trades. To develop a successful strategy, you should have the ability to analyze the market by yourself.
- Whenever you want to try a new strategy, first of all, try it in the demo account. Ensure that it is profitable for the long term or not. Always keep a close watch on your trading account to see whether the strategy you placed is successful or not.
How You Need To Get Started For Trading
After choosing the best social trading platform, you will have to open an account.
Most platforms offer a demo account for traders. But for you, it will be the best option to start with a demo account.
You will get a minimum amount of virtual money after opening a demo account. A demo account is also known as a practice account.
Entering to the account, you will be able to see the dashboard where many things will appear.
Apparently, it depends on the platform’s interface.
You will also be able to see the leader board where people’s names are showing up.
There is an option of following and copying other traders. Try to practice in the demo account at least for 15 to 20 days.
You can learn what tools and facilities the platforms are providing.
While practicing-
- Try to come up with a strategy and pick which markets you want to trade in.
- Identify the traders whom you want to copy by their track record of success.
- Pick a time frame to integrate into your trading. At this rate decide whether you want to hold short positions or positions for a longer period of time.
What Are The Benefits Of Social Trading
The major advantage in this kind of trading is the ability to discuss ideas with other traders as well as you can see the market from their perspective.
But still there is more benefits available especially for the beginners.
- To achieve something the first step is to learn about it. You cannot learn everything about social trading within a day. It takes time and patience to know. The main learning point starts when you can apply it.
- This kind of social trading network allows the new and intermediate traders to earn while they are learning.
- In the community, traders can collaborate with each other on different trading matters like strategies, methods, ideas, etc.
- Social trading helps traders to eliminate personal biases.
- Not every trader has the way to learn about managing risk. But, the platforms allow them to improve their risk management skills within a short period of time.
What is Social Trading? – Definition and Explanation
Social trading allows traders to connect via a platform.
The social trading platform is the same as the social media platform. In the social media platform, people share their photos, videos, memories, etc.
But, in this kind of trading platforms, expert traders share their strategies, techniques, methods, etc. among other traders. You can follow them and copy their portfolio.
It helps people to invest and trade online and turn the new traders into expert traders within a short time.
Trading socially is cost-effective and any types of trader can get involved in it easily.
For the new trader, who is reading this article is requested not to engage in day trading.
It will devour your wealth within a minute and you will keep blaming the platforms or social networks for this.
What Is Copy Trading?
Copy trading is a part of social trading where you can copy other trader’s portfolio along with trading details.
A trader can copy specific strategies, methods, techniques, etc. from the expert trader’s portfolio.
Any work is done by the expert trader, such as opening positions, putting a stop loss, taking profit orders, or closing a position is also copied in the trader’s account who is copying.
Whenever an expert trader is copied by other traders, he/she receives a commission.
Many platforms offer copy trading facility. The trading platforms are different from one another.
Binary Options Social Trading
The success of Binary options trading is based on yes or no proposition.
It is a financial product from where you can make a profit depending on the outcome.
Binary options trading is the easiest and simplest trading class.
Traders do not require any kind of prior experience in the financial market to start options trading.
Therefore, it is growing rapidly and attracts many new traders. On the other, you will see a variety of options trading.
Binary options social trading benefits both new and intermediate trader through their copy trading systems.
The platform will give you the opportunity to join a social trading community to learn about trends, markets, strategies, etc.
Forex Social Trading
Forex trading is a decentralized global market. FX trading market is also known as the currency market.
It is a place where all the currencies are traded from all over the world.
For trading the currency, traders have to predict the market price after analyzing market data.
Forex social trading is similar to other trading classes like cryptocurrency, CFDs, etc.
Forex social trading is a place, where new and intermediate traders can copy the expert forex trader.
You can see the expert trader’s portfolio, methods, strategies, ideas, etc. It is known to be the easiest trading way of earning.
Copy trade forex is a reliable trading sector for every beginner.
We mentioned a few advantages of Forex social trading below:
- Opportunity for new traders to make money easily.
- Choose your trader list from numerous trader
- You can control the trading process
- Copy trade as many as you want.
- Social trading will help you to reduce trading risk
- Don’t need to analyze the trading market data
- You can trade manually or automatically
Cryptocurrency Social Trading
Cryptocurrency is a decentralized trading system. People invest in cryptocurrency because it will broaden your trading opportunities.
You can also improve your trading potential with the help of the crypto market.
Via virtual wallet, you can store and exchange your virtual currency.
If you plan to trade cryptocurrency on your own, then it will take lots of time to analyze the market.
Social trading on cryptocurrency will help you to take a proper investment decision.
From a social trading platform, cryptocurrency traders will get real-time financial data.
The trend of cryptocurrency social trading is very intimidating. There are some advantages to it like;
- Easy Access
- Quick and easy payments
- Costs less
- Highly secured
- Your details are safe
- No third party
- No boundaries
Social Trading Community And Advantages
We have already discussed this topic broadly in our social trading community article.
Community is a group where people share their opinions, ideas, and other things.
The social trading community is like that. Here, traders share their trading opinions, strategies, methods, ideas, etc. with each other for overcoming trading obstacles.
Social trading communities offer some benefits. These are:
- They offer a free flow of information. Via communities, you can get any information related to trading.
- New traders can get the chance to learn from experienced traders. They can learn the basics as well as copying those experts portfolio for trading.
- Since everyone can interact with each other, they can even share new ideas to conduct trading.
- While trading, most of the time everything becomes boring. Communities give freedom to chat with each other on different topics too. Trading becomes interesting at that moment.
- The social trading community will help you to solve your problems.
For Whom Is Social Trading?
Every individual can join the vast field of social trading. Also
- Those who are interested to earn from home or are doing a part-time or full-time job and wants to earn extra can join social trading.
- If you are lazy to analyze the trading market before executing any trade, then social trading is for you.
- It takes a lot of time to train a trader to become successful and profitable. If you want to educate yourself with a minimum cost, then social trading is perfect for you.
- Social trading is for those traders who don’t have much time and experience in trading.
Is Social Trading Safe?
Social trading safe or not will totally depend on which type of platform you are choosing.
There are plenty of platforms available along with intruder. You need to choose the right platform after considering a few points.
Remember, high risk is involved with trading and investing money. So anything can happen in the financial market.
However, it is better to check the regulation before choosing a platform.
Social trading is legal for traders. Not only the specific social trading platforms but also, other broker platforms are offering social trading for their traders.
It will be riskier for the trader if they trade with those brokers which are not regulated.
Conclusion
A trading platform is important for traders to perform trade without any hassle.
Finally, we have tried to gather all the information regarding the best social trading platform in one article.
We hope that this article will help you to start your first trade in a particular social trading platform.
If there is anything you wish to query comment below.
