Copy Trading Update – Etoro – 24/July/2019

My Copy Trading Portfolio is Stable...

It's a bit of a 'silver lining' way of looking at things, but you've got to focus on the positives! So far this month, I'm down 0.5% BUT that's still better than 3 of the traders in my portfolio have done over the same period...

A nice bit of diversification

I'm not manually trading, I'm copy trading, and I'm copying several people in my portfolio. This gives me a much greater diversification than if I was just trading manually, as diverse traders lead to diverse trades. The more diverse, the safer ...

I'm copying six different traders, so my eggs aren't all in one basket. Three of my traders - Harshsmith, Alnayef, and Kela-Leo have had negative months, but I've been insulated from the full force of their losses as I have other traders who've done well.

It's still not profits though Tom...

Now, I know it's not ideal to see losses anywhere, but back to that silver linings idea - it's good to see the benefits of my diversification in action. (You have to take the wins where you can sometimes...) It can be really frustrating to watch traders you're copying losing money. The temptation to become a back-seat-trader to them is really quite strong sometimes 🙂

I've had to control the urge to leave comments on their walls and 'gently' draw their attention to the losses they're making. But that's no good, and they're already probably very aware and doing their best to rectify the situation. They have more to lose than me - those popular Investor stars are hard to come by. The last thing any of them will want is a huge exodus of copiers, so I'm sure they're doing what they can...

So which traders are winning?

Mr Berrau

Berrau is the pretty clear front-runner at the moment. He has an unbroken green-months streak going back to the middle of last year. He's been steadily and consistently picking the right direction in various AUD/USD forex trades. Sometimes he's buying, sometimes he's selling, but he's been right pretty much solidly for over a month. It's a big relief.

When I first copied him, there were a few instances where he traded it in the wrong direction (buying when the price went down, or selling  when the price went up). But he's been right on-the-money lately. Thanks to him, the drawdowns of some of the other traders I'm copying haven't affected me too badly. Thanks Berrau!

Olivier Danvel

Still green, still consistently winning, he's been trading forex steadily and profitably as usual. I've not got much more to say other than "What a relief" 🙂

The majority of my money is divided between copying Olivier, Berrau and Harshsmith.  Roughly 75% of my portfolio is split between these three traders. Alnayef, Kelea-Leo and now GrePod make up the other 25% between them.

And the Rest of them?

Alnayef - all my funds tied up

I would actually draw-down my copy of Alnayef even further at this point, but you can only remove funds from a copy which aren't being used in active trades... (I made a video about that on my channel).

For the moment, unless I stop copying him, I have to leave what funds he's already using where they are.

I'm actively looking for replacements to Alnayef, and to fill one more copy trading slot though now. I've been looking, but to find traders with low risk profiles, consistent returns over a longish historical period (maybe 2 years) is pretty difficult. I'll keep going though until I find more... Alnayef's fees are over the top now, due to the fact that he's kept some trades open for as long as 8 months at this point.

Now that's fine, but they're racking up fees, and the fees are just two dollars less than the profit he's made me so far. So, at this point, after an 8 month copy, he's made me $2. It's just too little. And the open trades are tying up my money which could potentially be used elsewhere in better positions. There's 'opportunity costs' involved.

Kela-Leo isn't really moving

There's not much more to say than the headline on this one. Kela-Leo continues to make small wins here and there, and some minor losses. The problem is that he made such big losses on a few Gold trades (proportionally) that I don't know how long it will take to claw back some profits at the rate he's going. For now, I'm leaving him in the portfolio and wishing him the best, but I am actively looking for new traders. I'm always looking really, but the need is more evident right now.

3 thoughts on “Copy Trading Update – Etoro – 24/July/2019”

  1. Hi my name angga from indonesia..south east asia
    My english is not quite good..but i try to know what are u saying in youtube.. i also copytrade e toro about less 1 month.. i copying berrau also.. and another 1 person i choose peraonally..but i have quiestion for u. I invest 300 $ USD each… but why they (PI) spent my money just 2-5 $ USD ..why not use all of my money that i bring to him..?..thank u for answer..

    1. It depends on the trader’s style really. very few traders will use all of your money in active trades. They try to keep their ‘risk scores’ low, and one of the way they do that is by only using small percentages of their overall account size on active trades. Some use more than others, and it might be that at the moment, they only want to risk that much of their own money. Remember, they’re actually trading with their own money – you’re just copying exactly what they’re doing.

      I know it can be frustrating, and at times I want them to use more of my money in active trades, but I’ve given up on that kind of thinking really now. I actually just look at their risk scores, their yearly drawdown statistics, and their historical profitability. If I like what I see then I copy them and I let them worry about their trading style and how much of the money they’re using. If they can make me a percentage I’m happy with, whilst maintaining a risk score that I’m comfortable with, then that’s great. Their methods for achieving those results are up to them.

      The only other thing that it could potentially be is that you may be missing out on some of their open trades as you’re not copying them with enough money. I made a video about that – the minimum trade sizes in copy trading – you can find it on youtube. To check if that’s happening, just go and look at their portfolio in their actual profile page and see what trades they currently have open. Then go to your own portfolio, and see your copy of them. Check that all the trades they have open, you’ve also got open via your copy. You can also check the ‘history’ section of their portfolio and your copy of them to see if you had all the past trades too… I’d watch that video I made about minimum trade sizes in copy trading to see what I mean. Here it is:

      1. Ok.. i see.. thanks very much for ur answer sir.. its very good explain.. i will go to your video above
        Thanks ..and nice to meet u sir.. hope we will get some dollar in e toro..?.. i am copied about just 600 $ USD… and sory for my bad english..?..

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