Surprise surprise, copy trading isn’t all the same. Despite what you may think, or have already discovered for yourself, one copy trading platform is not the same as another. With one style you are copying on a trade by trade basis in real time, with the other you follow top traders and manage your account based on their performance. Regardless of platform you are following the lead of other traders and making the same trades as them so what’s not the same? It comes down to approach. Some platforms allow for on the spot copying of individual trades as they happen, others allow you to follow a trader or group of traders and benefit from their success. Both involve copying but neither are the same. This is to give a brief description of the these two types of copying and some places where you can find them.
Copy Trading In Real Time
The first kind is what I refer to as spot copying, or on-the-spot copy trading. In this method trades are listed as they are made in a real time fashion. If you like the trade, the trader or their success rate you can choose to follow them. This style is great because it allows you to follow only the trades you want, when you want, which is much different from true copy trading. It’s also nice because it combines the benefits of copying with active trading. This way you can enjoy the trading and make some profits without having to follow the market or keep up with charts. The downside is that few platforms provide it, DigiOptions.com is one but so far is still in beta. Binary1000.com is another with what they call the Option Wall and so far has proven to be a decent place to trade.
Managed Binary Options Copy Trading
More often than not what you will a different approach. Platforms like SpotOptions iFollow, CTOptions Binary Replicator and AnyOptions CopyOp are based on an account management model. Top traders are listed on a leader board and ranked by their success rates. As a copier you can filter the leader boards by asset and other criteria so you can better choose who you are following. When you copy a trader you are really following them and will then make all the trades that they make until you stop following them. The best platforms will let you set limits on things like how long you follow someone, how many trades you follow them for, the size of the trades you make and how much you will allow each to lose before you cut them off. In this effect what you get from copy trading is a managed binary options account.
Both models of copy trading are good, they are just different. The point is knowing the difference so you can choose which you like better. Who knows, you may like them both. On the one hand you can actively participate in trading by watching the trades of other traders as the pop up, and then picking the ones you like the best. On the other hand you can build a portfolio of top traders and benefit from their success without even being present. I think it’s easy to see the good in both types, which one will you choose?