Have you recently met some people bragging about how they earn so much profit by investing in stocks? How have they gotten great returns by investing just a small sum of money?
Now you’re wondering how this magic happens? This is because they know about the latest trading style and follow the right trading strategy.
One of the emerging forms of online trading over the past decade is Mirror Trading! Yes, it’s similar to social and copy trading, but there are still some subtle differences.
Mirror trading came into the light in the early 2000s, and today it has grown into a large industry. But before you start investing your hard-earned money in any form of online trading, it’s important to know its advantages and disadvantages. To master the market, you’ve to know the right trading rules and methods.
Follow these mirror trading lessons and tips and get positive results while having a fun and successful online trading experience!
Do you want to know about mirror trading in detail? If yes, keep reading!
In this article, we’ve explained everything in-depth, including what mirror trading is, how it works and how it is different from copy trading and social trading. We’ve also included some of the brokers that offer mirror trading platforms.
These mirror trading lessons will help you learn everything about these online trading methods and how you can gain more profits without any manual effort.
In this post, you’ll find:
- What exactly is Mirror Trading?
- How Mirror Trading Works?
- Mirror Trading Vs. Copy Trading Vs. Social Trading
- What are the best platforms for Forex Mirror Trading?
Let’s begin.
Mirror trading: What exactly is It?
Mirror trading is a method of online trading where a trader can copy or mimic the actions of other experienced traders in a real-time trading environment.
Mirror trading or mirror effect trading allows the user to set the trading strategies automatically applied to their respective accounts.
Mirror trading is particularly popular for those who are new to online trading and hoping to learn from the best. This is specifically beneficial for people new to the forex or stock market. They can easily copy the strategies of more experienced traders to gain profits.
Another good thing about this type of trading is that no manual intervention is required here. Everything goes automatically, and the mirror trading platform does everything for you. Just create a trading account and log in to your account from time to time to check the balance, and that’s it!
How to Use Mirror Trading?
On the mirror trading platforms, the strategy develops, and traders all around the globe share their knowledge. Users can get all kinds of trading information and techniques here.
These platforms record all these actions of experienced traders or masters, which includes ‘buying’ and ‘selling’ signals. Later, beginners use the same signals for their accounts to gain profits.
So, how can you implement mirror trading?
Mirror trading is a simple process, and it only requires a few steps. First, you’ve to select a master trader you want to follow. Make sure that he has the same forex or stock options and trading techniques as you.
After this, just merge or tie your account to theirs, and mirror trading platforms will do the rest as these platforms will mirror their positions and actions.
If these master traders make a trade, you do the same!
What is the Difference Between Mirror Trading, Copy Trading, and Social Trading?
Is there any difference between social trading, copy trading, and mirror trading, or is it just the three different names of mirror trading? Sometimes mirror investing is referred to as “copycat investing; however, there is a difference.”
Here’s the difference between all these three methods of online trading:
Social Trading
Social trading allows traders to help beginners in the market make the right decisions with their investments. Here, people from all over the globe can connect and analyze each other’s trades.
Copy Trading
This is a modern strategy used in online trading where new traders can automatically copy the moves of the other successful and experienced traders.
Mirror Trading
Compared to social trading and copy trading, mirror trading allows users to copy or mirror the actions of successful investors through automated trading systems and expert advisors (EAs). It is not based on the human decisions and emotions of a trader.
Note
By definition, if you’re a mirror trader, you’re also a social trader, but vice versa is sometimes not possible. That’s because a social trader is not necessarily following the mirror trades.
What are the Best Mirror Trader Forex Brokers?
So finally, what are the best mirror trading platforms in 2022?
There are so many different mirror trading platforms available in the market, but only a few give good results. Take a look at this list and select which suits your needs most closely.
Here are some of the best mirror trading platforms:
- AVATrade
- Naga Markets
- MultiBank
- MQL5 (US Friendly)
- CMC Markets
- Swissquote
- Saxo Bank
- FXCM
Go with that mirror trading platform regulated or held by government regulators. Select the one which is user-friendly and has good reviews. You can check this on various vetted review sites, such as Google Reviews, to find out how people feel about that particular mirror trading platform.
The Bottom Line
Now you know how to master the market by copying others. Mirror trading is one of the safest and most popular online trading techniques. If you’re a newbie, mirror trading is the best option. That’s because you can gain a lot from mirroring and copying the actions and positions of experienced and successful investors.
However, just by using mirror trading, you won’t earn millions in a short period. This technique also has some disadvantages. That’s why, it is advised to know all its outcomes before investing so that you can invest your money in the right way.
Follow these mirror trading lessons and tips and get positive results while having a fun and successful online trading experience!
