Does Deriv Do Copy Trading

Deriv, a well-known forex and CFD broker, has jumped on the copy trading bandwagon. They offer this popular feature to their clients, recognizing its growing demand in the trading community.

Through Deriv’s copy trading system, novice traders can mimic the moves of experienced pros, potentially boosting their chances of success.

It’s worth noting that while copy trading has gained traction, not all brokers provide this option.

Deriv, however, has embraced it, allowing its users to tap into the expertise of successful traders. This feature can be particularly appealing for newcomers or those with limited time to analyze markets.

As with any trading strategy, it’s crucial to approach copy trading cautiously. While it can be a useful tool, it’s not a guaranteed path to profits.

Traders should still educate themselves and understand the risks involved.

WHAT IS COPY TRADING? 

Hey fellow traders,

Let’s talk about copy trading – a game-changer in the forex world. Imagine being able to copy the moves of top-performing traders automatically. That’s exactly what copy trading offers.

Here’s how it works: You choose a trader whose strategy aligns with your goals. Their trades are then automatically replicated in your account, and scaled to your investment size. It’s like having a pro trader working for you 24/7.

For newbies, it’s a chance to learn from the best while potentially earning. For experienced traders, it’s an opportunity to diversify strategies or save time.

But remember, it’s not a magic bullet. You need to choose your “signal provider” carefully. Look at their long-term performance, risk management, and consistency. Don’t just chase high returns – that often means high risk too.

Also, never invest more than you can afford to lose. Copy trading doesn’t eliminate market risks.

From my experience, it’s crucial to understand what you’re copying. Don’t just blindly follow. Use it as a learning tool. Analyze the trades, and understand the reasoning behind them.

Platforms like cTrader (which Deriv uses) and XM copy trading to make copy trading user-friendly. You can often adjust risk levels, choose which trades to copy, and stop copying instantly if needed.

In essence, copy trading can be a powerful tool in your trading arsenal when used wisely. It’s not about replacing your skills but enhancing them.

DOES DERIV DO COPY TRADING?

Deriv has indeed integrated copy trading into its services, offering this feature through the popular cTrader platform.

This allows clients to easily copy the trades of experienced traders directly within their Deriv account.

By leveraging cTrader’s copy trading functionality, Deriv enables both novice and time-constrained traders to potentially benefit from the expertise of successful traders, adding an attractive option to their suite of trading tools.

ADVANTAGES AND DISADVANTAGES OF COPY TRADING

Alright, let’s break down the pros and cons of copy trading from both sides of the coin:

Master Account (Signal Provider):

Advantages:

1. Extra income through commissions or fees

2. Builds reputation in the trading community

3. Opportunity to manage larger capital indirectly

4. Can focus solely on trading without client management

Disadvantages:

1. Pressure to perform consistently

2. Responsibility for others’ capital

3. Potential legal issues if things go south

4. Limited flexibility in trading style to suit followers

Copier Account:

Advantages:

1. Access to professional trading strategies

2. Time-saving – trades executed automatically

3. Learning opportunities by observing successful traders

4. Diversification across multiple strategies

Disadvantages:

1. Lack of control over individual trades

2. Potential for high losses if following an unsuccessful trader

3. Fees can eat into profits

4. Risk of becoming overly dependent on others’ strategies

Conclusion:

As a forex trader who’s seen both sides, I’d say copy trading is a double-edged sword.

It’s a powerful tool that can accelerate learning and potentially boost profits, especially for newcomers or those short on time.

However, it’s not a substitute for developing your own trading skills and understanding.

For signal providers, it’s a way to monetize expertise, but it comes with added pressure and responsibility.

For copiers, it offers a shortcut to sophisticated strategies, but at the cost of reduced control and potential overreliance.

The key is to use copy trading as part of a broader strategy. Copiers should view it as a learning tool and gradually develop their own skills.

Don’t put all your eggs in one basket – diversify across multiple traders and strategies.

Remember, there’s no free lunch in forex. Copy trading can be profitable, but it still requires due diligence, risk management, and a solid understanding of the market.

Use it wisely, and it can be a valuable addition to your trading toolkit.

LIST OF COPY TRADING PLATFORMS OR BROKERS

After trying a few copy trading services from various brokers, here’s a list of them offering this service, including their key differences:

1. ETORO

   – Minimum deposit: $10

   – Tradeable symbols: Forex, stocks, commodities, cryptocurrencies

   – Trust score: High (8/10)

   – Known for its User-friendly platform, a wide range of instruments

2. PEPPERSTONE

   – Minimum deposit: $200

   – Tradeable symbols: Forex, CFDs, indices

   – Trust score: High (9/10)

   – Known for: Fast execution, low spreads

3. IC MARKETS

   – Minimum deposit: $200

   – Tradeable symbols: Forex, CFDs, cryptocurrencies

   – Trust score: Above average (7/10)

   – Known for: Low latency, suitable for scalpers

4. XM (Recommended)

   – Minimum deposit: $5

   – Tradeable symbols: Forex, stocks, commodities, cryptocurrencies

   – Trust score: Above average (7/10)

   – Known for Low minimum deposit, extensive educational resources

5. DERIV (NEW TO COPY TRADING)

   – Minimum deposit: $5

   – Tradeable symbols: Forex, CFDs, cryptocurrencies, synthetic indices

   – Trust score: Moderate (6/10) – still building a reputation in copy trading

   – Known for: Diverse product offering, including unique synthetic markets

6. FXTM

   – Minimum deposit: $100

   – Tradeable symbols: Forex, stocks, commodities

   – Trust score: Above average (7/10)

   – Known for Variety of account types, good for beginners

Remember, trust scores can vary based on different rating systems and personal experiences.

Always do your research and choose a broker that suits your specific trading needs and risk tolerance.

WHICH TRADING PLATFORM DOES DERIV USE?

Deriv Brokers offers multiple options for its traders, below is a breakdown for each of their trading platforms:

1. Deriv MT5: This is MetaTrader 5, a powerful and popular platform for forex and CFD trading. It offers advanced charting; multiple order types, and supports algorithmic trading.

2. Deriv X: A proprietary platform designed for seamless trading across multiple asset classes. It’s known for its user-friendly interface and quick execution.

3. Deriv Go: This is Deriv’s mobile trading app, allowing traders to access markets on the go. It’s designed for both iOS and Android devices.

4. Deriv Trader: A web-based platform for trading various financial instruments. It’s simple to use and doesn’t require any downloads.

5. SmartTrader: This platform is specifically designed for binary options trading. It offers a straightforward interface and quick trade placement.

6. Deriv Bot: An automated trading platform that allows users to create and run trading bots without needing coding knowledge.

7. Binary Bot: Similar to Deriv Bot, but specifically for binary options. It allows traders to create automated strategies for this type of trading.

8. Deriv cTrader: The newest addition to Deriv’s suite. cTrader is known for its intuitive interface, advanced charting tools, and importantly, its copy trading feature. This platform is popular among both beginner and experienced traders due to its blend of user-friendliness and advanced features.

Each platform caters to different trading styles and preferences, giving Deriv clients a wide range of options to choose from based on their trading needs and experience level.

IS HEDGING ALLOWED IN DERIV?

Yes, Deriv does allow hedging. As a forex trader familiar with various brokers, I can confirm that Deriv is one of the platforms that permit hedging strategies.

Hedging on Deriv allows traders to open multiple positions on the same instrument, including positions in opposite directions.

This means you can have both buy and sell orders open for the same currency pair simultaneously.

This feature is particularly useful for:

1. Managing risk: You can protect an existing position without closing it.

2. Taking advantage of short-term market movements while maintaining a longer-term position.

3. Implementing more complex trading strategies.

It’s worth noting that while hedging can be a useful tool, it requires a good understanding of the market and risk management.

Also, remember that hedging doesn’t eliminate risk – it just allows for more flexible risk management strategies.

As always, make sure you’re familiar with Deriv’s specific terms and conditions regarding hedging, as rules can sometimes change. And of course, use this feature responsibly within your overall trading strategy.

DERIV MT5 SYNTHETIC INDICES 

Deriv’s synthetic indices are a unique offering in the trading world. Think of them as virtual markets that mimic real-world market movements but with a twist.

Unlike traditional markets, these indices are available round the clock, seven days a week.

What makes them special? They’re powered by a super secure random number generator and they’re not affected by real-world events or market hours.

Some popular Deriv synthetic indices include:

1. Volatility 10 Index

2. Volatility 25 Index

3. Volatility 50 Index

4. Volatility 75 Index

5. Volatility 100 Index

6. Volatility 150 Index

7. Volatility 200 Index

8. Crash 1000 Index

9. Boom 1000 Index

10. Step Index

The Volatility indices simulate markets with different levels of price fluctuations. The higher the number, the more volatile the market.

Crash and Boom indices have sudden price drops or spikes respectively. The Step Index moves in fixed steps.

These indices are great for traders who want to practice strategies without worrying about real-world market closures or unexpected news events.

They’re also useful for those who want to trade at odd hours when traditional markets are closed.

DERIV MT5 REAL ACCOUNT

Deriv’s MT5 Real account offers traders access to the popular MetaTrader 5 platform with real money trading.

This account type is designed for serious forex and CFD traders who want to engage in live market action.

Key features include:

1. Access to a wide range of financial instruments including forex pairs, commodities, and cryptocurrencies and its unique synthetic indices.

2. Competitive spreads and leverage options

3. Advanced charting tools and technical indicators

4. Ability to use expert advisors (EAs) for automated trading

5. Multiple order types for precise trade management

6. Real-time market execution

The minimum deposit for a Deriv MT5 Real account is relatively low, making it accessible to many traders. It’s suitable for various trading styles, from scalping to long-term position trading.

FINAL CONCLUSION

In conclusion, Deriv has established itself as a versatile and innovative broker in the forex and CFD trading space.

They offer a wide range of trading platforms to suit different trader needs, from the popular MT5 to their proprietary Deriv X and mobile apps.

Notably, Deriv has recently joined the copy trading trend with their cTrader platform, allowing novice traders to mimic experienced ones.

Their unique synthetic indices provide 24/7 trading opportunities unaffected by real-world events. Deriv also allows hedging, giving traders more flexibility in their strategies.

While they offer attractive features like low minimum deposits and diverse tradable assets, it’s important to remember that all trading carries risks.

As with any broker, traders should thoroughly research, understand the platforms, and practice responsible trading before committing to real funds.