Undecided between open or new positions? Read this!
Hi Welcome to my blog!
You will certainly be looking for the answer to this question everywhere but you cannot find the solution.
It is not a rare question!
In fact many investors who are going to copy traders on eToro are gripped by this founded doubt… when copying on eToro is it better to copy only new positions?
Well I will answer you immediately below, but first let me tell you something…
DISCLAIMER
Trading is a high risk activity, protect your capital through the use of stop loss, making intelligent use of leverage and not investing more than you are willing to lose. The author of the post declines any responsibility for any losses incurred as a result of decisions made after reading this article. The information contained below is for informational purposes only. CFDs are complex instruments, therefore adequate knowledge is required before making any investment. Thank you for your kind attention!
If you have this doubt it is because maybe you have not chosen well the traders to copy!
It is not a serious mistake don’t worry!
In fact I wrote a post where I explain, step by step, how to find the best traders on eToro!
You can read it HERE!
Now I immediately answer your question: when copying on etoro is it better to copy only new positions?
My answer is: DEPENDS!
Let’s see why!
If you have carefully selected your traders to copy, it will be the trader himself who in his bio, where he explains his investment methods, will tell you whether to copy only the new or already open positions!
In case the trader in question does not immediately tell you clearly if you have to copy new positions or those already open, you should sound the alarm!
In fact, it could be an investor with zero or little experience in the markets who does not know what he is doing!
For this reason I wrote this post where I show you how to find the best eToro traders.
In fact 9 out of 10 times the trader in question will show you the way to follow, he will expressly tell you to copy only the new positions or those already open.
In addition, it will also tell you how much you need to invest to make an appreciable profit.
As you can see it’s not as difficult as you thought.
In spite of everything you want to copy the trader you found but you don’t know whether to copy only the new positions or the old ones?
Well, one last thing remains to be done!
If your intention is to copy him/her anyway, because according to your calculations it may be convenient then you just have to contact him or leave him a message on the bulletin board.
From his answer you should understand if he/she is a reliable trader or not!
Long story short you should keep in mind that an expert trader, who knows what he does, does not forget to educate his copiers on copying techniques and the capital to invest.
For this reason I invite you once again, if you had not done so, to read this step by step post on how to find the best traders on eToro. HERE
When copying on etoro is it better to copy only new positions:
The “open positions” theory!
On the web we find many opinions on this topic, there are people who say they copy only new positions and others who copy also those already open (often at a loss).
There are those who support the latest thesis as it you would enter the market with a “better” position especially if the trade is at a loss.
This may be true if a reversal is imminent!
Otherwise, you could still lose part of the investment if the trader does not close the position or wait too long for a reversal (which could not happen soon)!
For this reason before copying open positions at the loss of a trader who does not give instructions I strongly advise you not to copy it!
If you really can’t resist I invite you to consult his equity line chart.
If you notice too large draw downs then I advise you to stay away, in case they are small then you could consider copying the positions already open.
Be careful though, my advice is to follow only experienced traders who immediately indicate whether to copy new positions or even those already open.
This is my guideline, I only copy traders who give detailed instructions.
I don’t venture into risky investments on already open positions but at a loss if I don’t know the trader and his strategies well!
* being a trader I know the markets well and therefore I can understand the risk behind some open positions ( even if they are in loss).
Bear in mind that I can make these considerations because of my experience, in case you are a beginner copy only expert traders who guide you step by step!
In case you have specific requests, do not hesitate to contact me at acetrader@forex-expert.net . I will personally replay asap!