Forex Fx Trading

Forex Broker Software Review - Etoro

Etoro have now added OpenBook to their online trading platform, which is a bit of a nice touch. Etoro have always done their best to make their platform straightforward to use, and have incorporated a 'what's selling, and what's buying feature' that enables you to see what other traders are doing in terms of overall trader buy/sell volume on a given product/currency pair. Other brokers do have helpful features, such as access to trading room chat, but, OpenBook goes a step further.

You can view exactly who is trading what. This is broken down into the trader, the pair they are buying or selling, and at what price. It also tells you if the pair has had a trade opened, or whether an order has been placed. Also listed are the closed trades, and whether they are in profit or not.

You can 'copy' the trade, which means that as long as you are logged in to online trading, it will input trade details into the interface for you automatically, although you will need to alter your lot size, and place you own stop loss/take profit amounts. This makes sense, as to directly copy another trader's full trade details would potentially be rather unwise, and besides their account may be larger than yours so it might not work with incompatible lot sizes.

The feed is live streaming, so if you open it after a budget announcement for example, you will have to really keep your wits about you to figure out what is going on, and should probably take notes if you want to discern the 'wood from the trees'.

Probably one of the most useful features is the follow option. You can follow any trader that you identify. To do this click on the trader's name, and their profile and recent trades will come up. Click on the 'follow', and this will add them to your 'Friends' feed. You will have to keep your feed open, because as of yet, there is no alert system, which may follow on release of the full version.

Being as this 'tool' is so new developing a strategy for its use is down to the individual trader. A good place to start would be to open the 'Top 100' traders feed, as there is not really much point in following the traders who aren't doing so well.

Then select one one of the traders who has closed in profit in your chosen currency pair(s). Then have a look at their profile and add them to friends list ('Follow' them), and take it from there.

It would be useful if the actual trades placed were allocated numbers that you see, so that you could figure exactly which trades were opened and closed at what times/points, however, this is the beta version of the software, so fingers crossed this feature may be added to the full version.

Other downsides include; it's only available on the online trading platform at the moment, and you don't see how much people have lost, not even in percentage terms.

This is the Beta version, which basically means 'trail version', so the fully tested version is still on it's way. This doesn't necessarily mean that this version is problematic, but you should always treat tools with caution, no matter who they are produced by, and if your instincts tell you to hold back on a trade, then follow your instincts, and follow the trade anyway to see if you were right. Nothing beats real trading, but paper trading is a great way of stepping back which is essential once in a while if you are going to develop as a trader.

You could spend a lot of time with this tool, and although not a tool in the analytics sense, nevertheless it is a tool. It is potentially a good way to learn how to trade, although like anything else that involves money, you need to use it properly, with clarity, and also remember there are no 'magic bullets' with forex trading, you still need to take a balanced approach to placing your trades.

This tool is not going to tell you how the markets move, that is something that everyone is after, and even if it did appear, it would probably kill trading dead anyway, and also take the fun out of trading, as although traders are here to make money there it's doubtful whether any trader would deny that they do actually enjoy it. In short, try it out, it's free, but, take your time, don't jump in feet first. Check it out.

Sign Up at eToro here

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