Binary Options Social Trading
The binary options industry has managed to acquire a significant trader following already despite being relatively new. The rapid rise in popularity of options trading has also led to the big recruitment of new traders with no prior experience in hand and social trading is meant to solve this.
The idea of social binary options trading, introduced by binary options brokers, was already successfully applied in the Forex trading business long ago. With social options trading, not only can traders share their experience among each other but new traders can also get the chance to mimic experienced traders’ executed trades.
For the time being, many social options trading products are being offered on the market. For each of the most popular and most common ones among those products there will be a description below for your information.
Social Trading Networks
In the binary options industry, the first kinds of social trading platforms were social trading networks. The ability to provide traders with the opportunity to share experience with each other interactively is the most essential property of these service providers.
Being not just mere forums where traders can post, these providers are actual platforms with functionality very similar to that of Facebook and other mainstream social networks. Traders can follow or interact with one another on these platforms. These networks might be used by traders to automatically disclose their actions so that other players can comment as well as give advice.
These platforms make it possible for traders to follow more experienced traders, read their posts as well as study their actions. Traders can also perform the same actions taken by the traders that they chose to follow. These features really provide new traders with a competitive advantage.
Mirror Trading and Signal Trading
Mirror trading is a higher form of social trading. Mirror trading allows some experienced traders to become the so-called signal providers who allow other traders to do the same actions as them. In return, signal providers can get a portion of the profits that are generated by the traders that follow them.
As a matter of fact, new traders without any experience yet in the options trading industry can take enormous advantage of such services. It is possible for these traders to generate earnings immediately. For the industry, these services are also immensely beneficial because had it not been for them, many new traders would possibly quit because of too much loss.
Similarly, new traders can learn many options trading secrets thanks to these services. These secrets and tips that cannot be uncovered by yourself or by simply reading some eBooks on binary options trading can be discovered by evaluating the actions taken by experienced traders.
Mirror trading services and in-house signal are already being offered by many binary options brokers. Both traders and signal providers can get started simply by logging into the software for mirror trading that is provided by the broker. From then on they can just leave the rest to the software to take care of.
However, there are also a lot of third party signal trading providers. Similar to actual brokers, such platforms offer traders the opportunity to sign up, follow and automatically mimic the trades and actions done by advanced traders.
These are among the most popular social binary trading services available at present time. With the market growing rapidly and social trading getting more and more popularity, there is little doubt that more advanced and new social trading services will be introduced from now on.
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