What do Real Users say about Copy Trading in 2022 ?

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What do Real Users say about Copy Trading in 2022
What do Real Users say about Copy Trading in 2022

Copy trading is becoming more and more popular today. However, a few people know the approach was born in 2005 when traders were seeking new automated ways to execute orders. They required new specific algorithms that made it possible to achieve automated trading. Leading brokers like MTrading and software developers quickly recognized the potential and introduced copy trading in the way we know it today.

The idea of copy trading is simple. The approach was developed for people with no prior skills letting them follow more experienced investors and copy their traders across different markets. The model has evolved since 2005. Today, it comes with the accurate signal distribution, strategy customization, stats tracking tools, and other instruments to ensure safe and potentially profitable techniques.

Copy Trading Stats

The latest surveys and researches show how popular copy trading is now:

  • 43% of all beginner stock traders consider stock markets too complex. They believe automated approaches can simplify them making copy trading a perfect choice to get started.
  • 35% of traders were involved in copy trading in 2022.
  • Copy-trading platforms have witnessed 96% growth over the last year promising €90bn in 2025.

As you can see, the approach looks quite promising, especially considering new algorithms, transparent tracking tools, and preloaded risk-management instruments.

What Markets Are Best for Copy Trading?

The strategy can be used across multiple financial markets. In other words, copy trading lets you invest in different assets depending on the strategy you prefer (either long-term or short-term trading). The most popular markets include:

  1. Forex.
  2. Indices.
  3. Commodities.
  4. Stocks.

However, experts recommend diversifying one’s portfolio, which means investing in different assets that refer to different financial markets. Besides, a bit of analysis will help you define the best time to enter or exit the market while performance metrics and ratings help to select a proper trader to follow.

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Share Market Closing Bell: Nifty ends above 15,800, Sensex gains 180 pts

Share Market Closing Bell: Nifty ends above 15,800, Sensex gains 180 pts

The benchmark Indices Nifty started on the positive side after continuous sell off in last week and has managed to settle at 15842.30 with 60 point gain or 0.38 percent. However Nifty has failed to regain 16000 levels prior to LIC listing.

While Bank nifty has managed to settle at 33597.60 levels after gaining 1.44 percent. On the sectoral front, Nifty PSU Bank, Nifty Realty and Auto have contributed 2-3 percent gain on closing basis. On the flip side Nifty IT and FMCG ended with losses of 0.75 percent and 0.35 respectively. In Nifty, EICHERMOT, APOLLOHOSP and UPL were the top gainers while ULTRACEMCO, SHREECEM and ASIANPAINT were the prime laggards.

Technically, after forming the bearish candle on the weekly chart, the index has formed a Doji candlestick on the daily chart which shows indecisiveness among the trades. Moreover, the index has also faced a resistance from falling trend lines and showed profit booking from higher levels. However, Fibonacci retrenchment also has support around 15650 levels.

Traders may find buying opportunities for short term as if 15650 levels is protected. In the hourly chart, with support of the middle Bollinger band short term upside movement is expected. Stock specific action would drive the market in coming days too.

On the derivatives front, the highest call OI is at 16000 strike price followed by 16200 strike prices while on the put side, highest OI is at 15500 strike price. INDIA VIX closed at 24.53 with gain of 4.43 percent intraday indicating volatility is going to remain till weekly expiry . On the other hand, Bank nifty has support at 32600 levels while resistance is placed at 34500 levels.

Sumeet Bagadia
Executive Director
Choice Broking

Source: Choice India

 

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