What is Social Trading?
Over the past few years people looking for good investment opportunities have discovered the many advantages in the foreign exchange market. Unlike stocks, which are generally profitable when the markets go up, the forex trader can open trades in either direction and profit under all conditions. The most successful forex traders further profit from their skills by managing the accounts of their clients or by selling them their trading signals. This practise of automated signals, known as copy trading, or mirror trading, has recently evolved into the phenomenon called social trading.
This new concept builds on the idea that the collective wisdom of thousands of traders is better than the wisdom of one. Following this principle, thousands of Social Traders share their information and expertise in great investment networks. This way, retail traders create financial information, which often tops the quality of that which institutional investors have earned fortunes selling access to. Furthermore, the retail investors now gets this information with unparalleled transparency and it’s absolutely free.