eToro Tips : Find the Best Traders

Tuesday, October 6, 20150 comments

The most unique feature of eToro is probably ‘CopyTrader‘. This allows you to sort through other users and plainly see their trading history, including how much they have made or lost over any given period. If you find someone you like the look of, you can allocate some funds to automatically copy their trades.

In order to link your account to the most profitable trader and make the system copy their trading actions automatically, you need to find those people who have the best performance and make the highest profits on a regular basis.

First off click on ‘People’ at the top of any eToro page.

You’ll be greeted by the ‘Discover people’ page. The default search parameters are as shown in the screenshot below.

Once you hit ‘search’ you’ll see a list of trading profiles and their performance. 

Here are some tips and things we look at when selecting the Professional Investors/Traders we copy:

1) Be careful with numbers that look too good, especially with the TOP 10 traders.

2) Watch out from Scaled out trades – some traders don’t close their losing trades as they would damage the profit statistics. So they simply expand the Stop Loss. You can look for this in their Portfolio tab – there is a small date under the positions – if there are several losing positions with old dates that are still open with large Stops – it’s not a good sign. (See Fig. below)

3) Keep away from traders who do not use Stop Loss at all – this mostly means they have no understanding of what they are doing.

4) Avoid “young accounts” – if you want your investments to be safe you should copy experienced traders (Optimal is at least 1 year experience). There are traders in the top with good results but who have very little experience signaling that their success might just be temporary luck.

5) Look for traders who actively participate in discussions, give feedback and inform about their strategies, results and also comment on the losses if such occur.

6) Unless you are familiar with and sure about the trader – set your own Stop Loss’s to prevent stepping on scaled out trades.

7) Look for steady gains in the profit and loss chart. The smaller the volatility of the line the better as it shows that the trader is stable consequent in his approach.

8) The best criteria for choosing a trader to copy are not in their stats pages! It’s in your demo account results when you have copied some trades!

9) Talk to traders whom you are planning to follow.

10) And remember that there are great traders also below the TOP 100.

How to copy a trader

Copying the trader is simple. Once you’ve found a trader who you feel is reliable, simply open their profile and click on the ‘Copy’ button below their profile picture. In the new opened window set up the amount you wish to copy your trader with and press the button COPY TRADER. (You can use upto 20% of your balance to copy one trader).

You are done

You can view the performance of your copied traders in your account in real time. eToro will automatically copy all trading actions of your copied trader with the same percentage ratio. For example if a trader you copy makes 68% profit a month, you will make the same profit percentage automatically.

You can diversify your portfolio by copying 3-5 different traders at the same time. Each traders has his/her own trading strategy and approach and you may want to monitor them later and optimize your portfolio for better results.


Recommended Forex Brokers

eToro : eToro is a world’s largest social Investment Network used by         millions of real traders in 140 countries. They are well Known for their       innovative beginner friendly platform and excellent customer support                                       

Easy-forex : A well established safe and secure broker that’s been operating since 2001. They offer a solid forex platform including MetaTrader 4 platform with risk minimization features such as fixed spreads  and guaranteed stop loss.

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