Copying successful strategies of other traders is a popular practice. How does it work and is it worth it?
Here’s a piece of advice before you read any further. This practice is good when it compliments your learning process. Every trader absolutely needs to make mistakes and learn from them. Relying on other people’s experiences is reasonable in the very beginning to help you understand how things work in the industry more easily. Making it your practice is a road to perdition. You will never be able to step out of the box and actually make your own profitable trades.
In a way, it’s a relatively new service.
Copying other traders’ strategies is a special service that allows registered users of a system copy the successful orders of the registered traders that have submitted their strategies for public use.
Don’t fall for this trap. It’s a lure. You can’t expect to get a computer and Internet connection, copy other people’s strategies, and hope for millions to come your way right there, right then.
Do you know why?
The cryptocurrency market is extremely volatile, its conditions can change very quickly depending on many factors. A strategy that worked for one trader at some point may not work equally well for you.
Say, you choose a strategy that should work really well in the present market conditions. You sit back and relax, expecting the strategy to do wonders for you. The next thing you know is that the market moves unexpectedly… in the opposite direction. Oops, you lose!
That’s why it’s really important to try copying other traders’ strategies when learning to trade on your own. This way, you’ll be able to get some useful ideas but will always stay aware of what’s going on and control the process.
In fact, they do, but ONLY as a way of learning.
If you want to go ahead and try copying other traders’ strategies, we recommend you to check out Zulu and eToro.
Both tools are extremely popular and effective, featuring millions of users. You will be able to copy strategies automatically, faster than you can imagine.
Before choosing a strategy, you can read about the trader, their skills and experiences, as well as see their stats.
Have you copied other trader’s strategies? Did it work for you? Would you recommend it to your fellow crypto enthusiasts or not, and why? Feel free to share in the comment section below!
Enjoy your trading and don’t forget that market orders are now enabled on XCM/EUR!*
*More information here
The CoinMetro Team