Copy Trading for Beginners: A Long-Term Perspective

Investing in trading, especially in volatile markets like gold, requires a careful, long-term approach. With over 08 years of experience, I can attest to the importance of having a solid trading plan that spans at least six months to a year. Short-term gains can be tempting, but setting daily profit targets often leads to disappointment. Instead, focus on protecting your capital and understanding that profits will come naturally over time.

What is Copy Trading?

Copy Trading is an innovative service that allows investors to copy trades made by experienced strategy providers. With the Exness Social Trading app and the Social Trading Web Investor, you can explore various trading strategies and invest alongside them for potential profits. This platform is designed for anyone interested in simplifying their trading experience by leveraging the expertise of others.

Getting Started with Social Trading

To dive into Social Trading, simply download the Social Trading app. As an existing Exness client, you can access the Social Trading tab in your Personal Area (PA) and choose to invest in strategies or become a strategy provider yourself.

Choosing a Strategy

The app features a Strategies page where you can browse available options. Filter strategies based on currency pairs, popularity, returns, and commissions to find the one that suits your investment goals. Each strategy has its own dedicated page, showcasing vital information such as return rates, risk scores, commission details, and the strategy provider’s latest updates.

Copying Your First Strategy

Ready to start investing? Here’s how:

Navigate to the strategy page and tap Start Copying.
Enter your desired investment amount in USD, keeping in mind the minimum investment required by the strategy provider.
If your investment wallet is low, top it up accordingly.
If the minimum investment is beyond your budget, consider selecting a different strategy or adjusting your investment amount.

Once you successfully open your investment, all trades from your chosen strategy will automatically be copied based on the current market prices.

Understanding Commission Fees

When you copy a strategy, you’ll encounter commission fees. As the strategy becomes profitable, you’ll pay a percentage of your earnings to the strategy provider at the end of the trading period. The formula for calculating your commission is as follows:

Investment Commission (USD) = (Gross Equity - Invested Amount + Copy Dividends) × % Commission

Key Terms:

Gross Equity: Total value of your investment.
Copy Dividends: Any profits withdrawn from the strategy.
Invested Amount: Your initial investment balance.
% Commission: The rate set by the strategy provider.

Important: No commission will be charged on losses. Profits made after a loss will only yield commission once they exceed the previous loss.

### Copy Trading Guidelines

1. **Start Small**: If you choose to copy my trades, only use a small amount of money that you are willing to lose. Ensure that this does not impact your daily life.

2. **Commit for the Long Term**: Engage in copy trading for at least six months. If you double your investment, consider taking your original amount out while letting your profits continue to grow.

Copy trading allows you to leverage the expertise of others, but patience is essential. If you lack the ability to commit long-term, it may be best to explore other strategies.

### The Reality of Investment Risk

It’s crucial to understand that all financial investments carry risks, including the potential loss of your initial capital. Anyone who promises complete safety in trading is misleading you. Always evaluate risks before considering potential profits.

### Capital Allocation

When allocating your capital, only invest amounts you can afford to lose. Copy trading should be done cautiously, with a clear understanding of your financial situation. The best practice is to commit for a period of at least six months to a year to gauge performance effectively.

**Remember**: Higher potential returns are accompanied by higher risks.

### Conclusion

Trading is a journey that involves risks and rewards. The key to success lies in protecting your capital, having a long-term mindset, and being aware of the risks associated with each strategy. Always prioritize risk management in your investment decisions, and remember there are no guarantees in trading, only opportunities that must be approached with caution.

In short:

INVEST FOR AT LEAST 6 MONTHS.
COPY ONLY THE AMOUNT YOU CAN ACCEPT TO LOSE.

Copy Trading for Beginners