Leave a Reply Cancel Reply You must be logged in to post a comment. This is not unusual, as one of the criticisms of copy trading is that is essentially investment management. Using Forex social trading investors and traders are able to integrate into their investment decision-making process with social indicators from trading data-feeds of other traders.
Choosing the best Social Trading Platform
All the countries will now be real stocks and only the listed countries will remain CFDs: The original eToro trading platform targeted novice traders, with animated graphics depicting currencies in a race or tug of war. In addition to the eToro platform, the broker also has a new app for iOS and Android to replace its previous mobile app, known as The Mobile Trader. The screenshot below shows the basic functionality of the web-based eToro platform with menus on the right side for regular and social trading, investment in CopyFunds, as well as a watch list, a portfolio tracker and a news feed.
Hear all about it Here. Since eToro only allows trading in U. Dollars any deposit in another currency is converted at the prevailing exchange rate to USD upon receipt. Deposits also have a minimum and maximum among depending on the payment method. The amount is entered on the form, and eToro will then notify the client via email of the withdrawal process.
For first time withdrawals, clients must submit a clear color copy of their Passport including their written signature, as well as a clear copy of a utility bill not older than three months and that is mailed to your address of residence. Also, if the deposit to fund the account was originally via credit card, a clear copy of both sides of the credit card must be submitted. Withdrawals take up to five days to process and may be delayed due to third party withdrawal payment methods.
If a client wishes to speak to a representative, a ticket is opened and a representative contacts the customer as soon as possible. Customer support is currently available by region and in the following languages: English, German, Spanish, French and Italian. With their newly integrated eToro trading and social investment platform, as well as their mobile app, eToro offers traders an excellent service in the field of social trading.
In addition, the company offers a Trading Academy, a Blog, a Trading eCourse and live webinars to help educate novice traders. As well as offering a free practice or demo account just for signing up, eToro also rewards its most successful clients. In addition to making money in their own accounts, successful traders at eToro can also win in competitions, earn cash prizes, and get money by having other traders follow their activities. The only significant drawbacks with this broker is the rather long five day fund withdrawal period.
The mobile apps that are available make quick trades on the go incredibly easy. Unlike other social trading platforms, eToro also has functionality when it comes to investing beyond currencies — with the option to trade in a variety of stocks.
Spot Market and the Forwards and Futures Markets There are actually three ways that institutions, corporations and individuals trade forex: The forex trading in the spot market always has been the largest market because it is the "underlying" real asset that the forwards and futures markets are based on. In the past, the futures market was the most popular venue for traders because it was available to individual investors for a longer period of time.
However, with the advent of electronic trading and numerous forex brokers , the spot market has witnessed a huge surge in activity and now surpasses the futures market as the preferred trading market for individual investors and speculators.
When people refer to the forex market, they usually are referring to the spot market. The forwards and futures markets tend to be more popular with companies that need to hedge their foreign exchange risks out to a specific date in the future. What is the spot market? More specifically, the spot market is where currencies are bought and sold according to the current price.
That price, determined by supply and demand, is a reflection of many things, including current interest rates, economic performance, sentiment towards ongoing political situations both locally and internationally , as well as the perception of the future performance of one currency against another.
When a deal is finalized, this is known as a "spot deal". It is a bilateral transaction by which one party delivers an agreed-upon currency amount to the counter party and receives a specified amount of another currency at the agreed-upon exchange rate value. After a position is closed, the settlement is in cash.
Although the spot market is commonly known as one that deals with transactions in the present rather than the future , these trades actually take two days for settlement.
What are the forwards and futures markets? Unlike the spot market, the forwards and futures markets do not trade actual currencies. Instead they deal in contracts that represent claims to a certain currency type, a specific price per unit and a future date for settlement. In the forwards market, contracts are bought and sold OTC between two parties, who determine the terms of the agreement between themselves.
In the futures market, futures contracts are bought and sold based upon a standard size and settlement date on public commodities markets, such as the Chicago Mercantile Exchange. Futures contracts have specific details, including the number of units being traded, delivery and settlement dates, and minimum price increments that cannot be customized.
The exchange acts as a counterpart to the trader, providing clearance and settlement. Both types of contracts are binding and are typically settled for cash for the exchange in question upon expiry, although contracts can also be bought and sold before they expire.