Technology

Advantage and Disadvantage of Copy Trading

Development of technology in trading surely brings advantage. In the past, trading required access from the land brokers. In other words, traders should come and visit the office of certain broker and it is not convenient at all. Of course, traders in the past may not feel this way since there was no online trading platform at that time. However, technology provides advancement in trading and it can be seen from the existence of various online trading platforms that enable easier access for traders. Even, now beginners can use the features offered by platforms, including the copy trading. This is something interesting that will have its own benefits, especially for the beginners who are still lack of knowledge, skill, and experiences in trading.

Copy trading and the regular trading surely have big differences. Basically, trading requires the traders to make the analyses. They need to choose the best assets for trading and analyze the movement in the market. Then, they should also open the position and make various considerations. These require more than just basic knowledge and information. However, copy trading enables traders to skip most of the process. It is really like the process of copying something. There will be no complicated steps and processes that people should do and they can copy what the professionals traders do. They are usually called as the manager in copy trading while the ones that copy the trading are usually the novice traders. This is surely interesting and it is actually not totally new feature. In recent years, more brokers offer the feature of copy trading in their platforms.

Without special skills and sufficient knowledge, now novices can use the feature of copy trading. What they need to do is to find the managers or professional traders and they can apply for the access of copy trading through the platform. It is very functional and of course easy to use. The platforms normally provide the automatic and semi-automatic copy trading. When it is automatic one, the novices is like totally follow what the managers do while the semi-automatic one still allow the traders to make some decisions. This is not only beneficial in term of easy process, but it allows the traders to learn from the professionals. They can learn how to make analyses and decisions well. When there are advantages, there is also disadvantage. The main disadvantage is that there is no guarantee that there will be success since managers or the professionals still can find losses in their trading.

In this case, there is also concern regarding IQ option, and some traders have question; iq option scammed me. IQ Option is found in the binary options. In fact, IQ Options are not totally scam. It is features offered by certain brokers in their platforms. In order to know its legality, it is important to choose the brokers that provide the feature. At least, the brokers should be licensed and regulated by trusted and reliable regulators. Then, it is important to read some reviews to know the experiences of traders that use the services. These two basic points can become good way to avoid the scams.

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