eToro

logo eToro
 

The online broker eToro is undoubtedly one of the most innovative in the world of online trading. Unceasingly seeking new innovative functions to assist traders on its platform to make profits, it has followed a logical path of listening and accompaniment that has sealed its reputation. Most particularly appreciated is its trading platform which is both simple and effective and combines various quality tools including the famous ‘Open Book’ enabling users to copy from the best traders on the platform.

Of course, eToro offers a varied range of assets including the main indices and commodities on the stock markets.

 

The trader communities of eToro:

The broker eToro has quickly distinguished itself from the others with its innovations relating to social trading. In fact, this broker was the first to offer a community solution to online traders with the specific OpenBook platform that unites all the traders registered with this broker. On OpenBook, traders can freely view the positions taken in real time by the other traders together with their past investments in order to learn or be inspired by them or simply copy their positions in an automatic manner.

This function has the objective of enabling investors to benefit from the experience and performance of other investors to improve their own profitability and performance. However, it is obviously the individual trader that remains in charge of their decisions and therefore these possibilities are optional and offer no guarantees in terms of profits. For the eToro community to be of true assistance it is therefore necessary to understand the path of the strategies implemented by the other traders, even the most experienced, and then finally make your own decisions with full understanding of the strategy. To do so, you are able to use numerous tools provided by this broker that will assist you in your decisons, including excellent analysis tools together with high quality financial and economic news and events updates.

It is actually possible that a trader who is considered as highly profitable can actually make a significant amount of profit with a single trade, even if they have lost money on all their other trades. It is therefore only by analysing this type of data and understanding the overall trading strategies of the traders before copying them blindly that social trading can improve your chances of success. It is therefore necessary to start copying other traders you choose at the right time and continue with this strategy for a sufficient length of time to obtain satisfactory results.

As profits are not guaranteed when using social trading, you may wonder what the real advantages of this function are. In fact, the eToro investors community represents a formidable means of improving your strategies and performance through communicating with other investors. You in fact have the possibility of exchanging ideas with the latter in real time and discussing your strategies and feelings concerning the various assets. It is important not to forget that when it comes to trading it is the traders and their personal feelings that engender the movements of the prices. Another point, although online trading is generally reserved for those who already understand the markets and are able to distinguish the elements that influence the price of assets, the social trading available through eToro enables any investor to improve and learn if they truly wish to.

Due to the practical functions such as the forum, a live chat and a classification of performances by different traders, OpenBook actually offers lots of opportunities to learn from other traders, both highly experienced and relative novices.

As you have surely understood, the eToro social trading network is undoubtedly the major advantage of this broker that differentiates it from the others and that pays particular attention to the opportunities it offers its community. However this platform can be even more profitable if you are one of the best traders on the platform. To attract traders that are both highly experienced and profitable, which are here called ‘Guru Traders’, eToro has implemented a system of supplementary commissions when you are copied by another trader. To summarise, the more you improve your performance and attract other followers, the more you are rewarded by the eToro broker. 

 

The advantages of the new trading platform available through eToro:

It is also important to underline the quality of the new eToro platform that continues to develop new functions that simplify the traders’ experience enabling them to benefit even more from all the tools that can assist in their decisions to improve and succeed with their strategies. In fact, this platform already has the advantage of offering access to a great number of highly varied assets such as currencies, commodities, company shares and stock market indices. However it also enables, as we noted above, the opportunity to exchange ideas with other traders of which there are over 5 million that use this platform, these originate from over 170 different countries.

Certain particular tools on this platform merit a closer look. This is notably the case of the trading tools and live newsfeeds that can be found on the most recent platform of this broker. Investors using this trading platform will benefit from highly practical functions such as the personalised Watchlists that enable you to follow the performance of specific assets, manage your positions and take new positions using different screens with an overall view that is both ergonomic and well designed.

As for the newsfeeds, these enable you to access all the fundamental analysis data in a matter of seconds through the technical analysis panel and the charts. Thanks to these supplementary functions, eToro offers a high performance trading experience with the advanced technology that high level professional investors require whilst remaining easy to use due to a flexible and intuitive navigation.

We can equally extol the quality of the mobile trading platform on eToro. Whereas other brokers generally offer an adapted version of their principal platform for these devices, eToro offers an independent platform that was specifically conceived for Smartphones. The latter is perfectly compatible with all types of popular mobile phones and tablets, whatever the size of the screen, with a fluid navigation that is pleasant to use. Available in both iOS and Android, this application is also highly secure, notably concerning withdrawals and deposits, as well as personal data protection, and which functions perfectly while you move around to ensure you benefit from all the opportunities the markets offer.   

eToro in detail

  • Year of creation: 2006
  • Minimum deposit: $70
  • Methods of deposit: /
  • Authorized by: Cysec, MIFID

Stock market asset

EToro does not offer a great number of trading assets, but the quality is excellent. You can speculate on the following assets by registering with this broker:

  • Forex: 16 currency pairs
  • Commodities: 3 major commodities (Gold, Oil and Silver)
  • Indices: 6 European and American indices
  • Shares: No shares at present.
  • Bonds: No bonds or treasury notes for now.

Spreads and margins

The spreads used by the broker eToro vary according to the asset traded. Here are the margins used for the major values:

  • EUR/USD: 3
  • Gold: 50
  • Oil: 4
  • Dow Jones: 200
  • CAC 40: 100
 

Accompaniment and training

An apprenticeship in online trading comes into its own at eToro as this broker has a totally free training programme for new clients to its platform. Basically you can easily access numerous online courses and learn the basics of trading in CFDs and using its platform through different types of support.

Traders that have substantial amounts benefit from certain advantages concerning training such as the possibility of joining interactive classes or videos that show the best trading strategies on the market. Of course, the Open Book and the possibility it offers to follow the strategies of other traders is in itself an excellent way of training yourself.

Specifics tools

EToro distinguishes itself from all its competitors through the diversity and quality of tools it places at the service of its clients. Here are the main interesting functions it offers:

  • An in-house trading platform that combines simplicity and ergonomics, ideal for beginners.
  • A free and unlimited demonstration account that enables you to continue your training for as long as you wish before launching with your own money and implementing effective strategies whilst learning to master the risks.
  • The Open Book is undoubtedly the most interesting function from this broker. It is a system that enables you to follow the transactions of the best traders on eToro, and even to copy the positions of traders you choose without any supplementary charge.
  • Numerous charts and economic event modules are transmitted in real time on the platform which completes the large range of functions available on this broker’s home platform.
 

Advantages

  • A simple and ergonomic platform
  • A free unlimited demonstration account
  • An Open Book that enables the copying of other traders

Disadvantages

  • Few stock market assets
  • No shares or bonds