Forextian

Social Trading platform is based on the idea of copying trading signals. To start copying, investors analyze the trading results of signal providers via the leaderboard supported by the Ratings & Statistics Module and then pick the most attractive ones.
Once investors find the most suitable option, they subscribe to receive trading signals from the provider and configure the copying modes they want to apply. After all preparations are complete, the solution will automatically follow the defined strategy.

A trading signal is an information about opening or closing trading positions on the signal provider’s account that triggers an action for all followers to copy them. Based on trading symbols, the Social Trading solution enables investors to join trading strategies and automatically buy or sell specified assets. The quality of the trading signals and the competence of the signal providers are crucial for all copy trading systems.

To successfully implement and promote social trading services, brokers should confirm the quality of trading signals and signal providers. It may be done using coherent KYC processes or analyzing the trading results available with the Ratings & Statistics module.

Copy Trading software involves directly replicating the trades of chosen investors, allowing users to automate their trading strategies. On the other hand, Social Trading is a broader concept that includes collaborative trading within a community. It goes beyond replicating trades to encompass the sharing of insights, market analyses, and strategies among a network of traders. Social Trading fosters a more interactive and educational trading environment compared to the more automated approach of Copy Trading solutions.

As stated above, social trading and copy trading are very similar terms. Usually, advanced investment systems combine the principles of both of them, providing clients with the flexibility of their trading experience. With the implementation of Social Trading, brokers’ copy trading service automatically replicates the trades of selected investors, while also cultivating a collaborative environment where traders can exchange insights, conduct market analyses, and share strategies within a community. In practical terms, Social Copy Trading essentially operates like Social Trading, providing a comparable solution but with an added layer of automation.