Social Trading, Copy Trading, Mirror Trading And AutoBots
No matter what you call it social trading has entered the world of binary options. This aspect of the trading community is another feature borrowed from retail forex. There are many types and sources of social trading such as forums, copy trading, signal services and auto-bots. Each has unique features that make it attractive for traders, some are better than others and some are not worth your time. Below is my guide into what to look for and where to find the top binary options social trading.
I first became aware of the social trading scene when I began my work with BinaryOptionsThatSuck.com and later expanded that knowledge when I helped my friend Brett Cooper write his ebook “Forex Copy Trading Survival Guide”. In this article I first define each form and then later review some of the top sources for things such as forums, social trading, copy trading services, brokers that have copy trading and what I think of auto-bots.
- Social Trading – Any use of the internet for building community among binary options traders. This can include forums and copy trading. Traders are encouraged to interact with each other. Newbies can find advice and learn from more experienced traders while the more experienced can discuss current events and trading tactics. The very best social trading services will include most if not all of these factors; profiles, forums, demo/trading platform, pros, copy trading.
- Copy Trading – Also known as mirror trading and is when one trader copies another. This originally began as a service for institutional forex traders and has since evolved into algorithmic trading on a large scale as well as retail services for forex and binary options traders. Some copy trading is as simple as following the advice or trades of another forum member or tipster. It can also be as advanced as dedicated services where trades are automatically entered into your account. some services even allow you to follow more than one trader and build a portfolio.
- Binary Options Forums – Forums are my favorite part of social trading. There are several good forums dedicated to binary options trading. My favorite is the forum at BinaryOptionsThatSuck.com and Communitraders but more on them later. A good forum will have hundreds if not thousands of active users and will have threads dedicated to strategy, tools, tips and forecasts as well as many others.
- Auto-Bots – Binary options auto-bots are automated trading systems. By automated I means they generate a signal and then auto execute it into your account. Some of these are pretty crude but there are some fairly advanced versions that interface with your computer and account nearly seamlessly.
Where To Find Binary Social Trading
There are numerous sources of copy and social trading services on the internet. For now most of these are forex based but that will soon change I have no doubt. The forex based services are still OK and there is some access to binary but it is very limited. For the best services and features a dedicated service will be the one to choose. At this time there are only a few brokers offering social trading along side their platforms and the ones that do are not among my top choices. Communitraders is the best source, in my opinion, and the leader for binary options.
- Forex Copy Trading Survival Guide – Don’t let the name fool you, Brett is just as involved with binary copy trading and his book is equally pertinent to binary options. His ebook is a guide into what copy trading is, what the different platforms have to offer, how to choose a pro to follow and how to manage your account once you get started. I helped Brett to write this ebook so I know it is packed full of useful information. If you want to copy trade successfully this is a must read! Bretts guide to social trading.
- BinarOptionsThatSuck.com – This is where you will find most of my work as well as the top forum for binary options trading. There are over a dozen pro traders answering questions, giving advice and sometimes even joking around with each other and other traders. It is the most active and well run forum on the subject. I’m there on a daily basis so it’s a great place to find me. Forum at BinaryOptionsThatSuck.com.
- Communitraders – Communitraders, or CT for short, is the newest project from BOTS.com. It is a social trading platform integrated into the forums at BOTS. The platform offers the very best demo and social trading. All forms of binary are available with a full list of assets and expiry. The leaderboard ranks traders by win%, account returns and number of winning trades so you can easily pick out who is doing the best. Communitraders.
- BinaryOptions.net – Is another one of the leading informational web sites for binary options. The site hosts a forum and several blogs by pro traders, including me. The forum has over a dozen rooms with even more threads dedicated to binary trading. A real advantage to this forum as well as the one at BOTS is that they are dedicated binary options forums. Forum at BinaryOptions.net.
Tips From The Geek
Every week I write Tips From The Geek. This is a weekly tip sheet I write for BOT.com, it is also an account I maintain at Communitraders. Each week I give 5 tips, sometimes I also make extra trades during the week. At the same time I always enter my trades into my CT account so that everyone on the forum can see what I am doing. Check the leader board to see my progress. I trade weekly and monthly expiry using signals on the daily and hourly charts. My top asset is the SPX ,which is also my favorite, but I also trade the EUR/USD, USD/JPY, Gold, DAX, Apple and others.
Click here to learn more about me, Michael Hodges.
Auto-Bots Or Auto-Loss
I don’t want to disparage any one’s system, their ability to produce actionable tips, their programming skills or intentions as a service provider but I usually don’t recommend robot trading unless you know what you are doing. Why? An auto-bot, or automated trading program, produces signals for you and then places them in your account, sometimes when you aren’t watching. Some literally take control of your computer and operate your account….crazy. Needless to say, without vigilance this can increase your trading risk by countless factors. If you are going to trade binary options you need to do it for yourself. That is what social trading is all about. Learning from those with more experience, honing your skills and sharing them with those with less experience. Once you get a grip on how the market works a bot could become a valuable source of trading signals.