Trading with forex can be a complicated affair, especially for those who are new to it. As such, new and novice traders may be inclined to copy trades of more experienced traders.
So, here is what I have found to be the best copy trading forex brokers available.
Also consider: Best copy trading platforms
Top UK copy trading forex brokers for November 2023
Below you will find my list of the best forex brokers to invest alongside the most successful traders through their copy trading software.
Those interested in trading would’ve heard of one of the world’s most popular copy trading platforms, eToro. The copy trading broker has a sleek and user-friendly social trading platform where users can invest in a variety of financial instruments. These include stocks, crypto, and forex.
What I like about eToro for copy trading forex
eToro is known to be one of the best copy trading platforms. In fact, one of its best features is its copy trading functionality. Here, traders can copy and follow the trades of other users automatically. And with over 3 million users on eToro, traders can benefit from the expertise of others without having to do the work themselves. Plus, the trading platform is rather easy to use, so users can browse and find the right trader for themselves.
Moreover, eToro’s forex functions have advanced charting tools. For example, trend lines, moving averages, and trading signals. As such, users can keep an eye on market trends and make informed trading decisions. They even offer over 45 currency pairs to trade with on their website and mobile app including the major forex pairs. And as if that’s not enough, eToro also gives users access to real-time market data and news so that they can stay up to date while making trades informatively.
- Large user base.
- Great social interface with copy trading features.
- A large array of financial instruments available to trade with.
- Financial instruments must be traded via USD, forcing users to pay FX fees.
- Inactivity fees.
- Withdrawal fees.
- EUR/USD – Standard Spread 1.00 pips.
- Trading Cost – Standard Spread USD 10.
- EUR/USD – Raw Spread 1.00 pips.
- GBP/USD – Raw Spread 2.00 pips.
- USD/JPY – Raw Spread 1.00 pips.
- Trading Commission Fees included in spread.
76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Your capital is at risk. Other fees apply. For more information, visit etoro.com/trading/fees
Like eToro, IG is also one of the UK’s best copy trading forex brokers. Here, investors and traders alike can invest in a whole bunch of financial assets, including forex markets.
What I like about IG for copy trading forex
The best part for forex traders who are uncertain on how to place the best trades is that they can take advantage of IG’s copy trading feature. This is where users can follow successful traders and automatically copy all of their trades. And with over 17,000 markets available, users can trade forex, stocks, and more all in one place.
Apart from copy trading, IG’s forex functions are also especially useful. This is because they offer a range of technical analysis tools to help users keep an eye on market trends to make informed trading decisions and develop good trading strategies. They also provide access to real-time market data and news, so users can stay up to date while making informative forex trades.
More importantly, IG’s trading platform is super user friendly, so even if users are new to trading, they can easily browse and find the right trader to follow and learn from.
Another superb feature of IG’s forex functions is their range of currency pairs. They offer over 80 currency pairs to trade with, so users can find the ones that work best for them. And with their low spreads, users can make trades with minimal costs. They also have a mobile app, making it easier for active traders to trade on the move.
- Education tools to help novice traders and investors.
- Tight spreads for trading.
- Market insights and analysis available.
- High inactivity fees.
- Lack of social aspect.
- Slow and unresponsive customer support.
- EUR/USD – Standard Spread 0.60 pips.
- Trading Cost – Standard Spread USD 6.
- EUR/USD – Raw Spread 0.85 pips.
- GBP/USD – Raw Spread 1.40 pips.
- USD/JPY – Raw Spread 0.94 pips.
- Trading Commission Fees included in spread.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Pepperstone is another great trading platform that lets users invest in a whole bunch of financial assets, especially in forex. The Pepperstone trading platform and copy trading app are known to be user friendly, so even novice traders and investors can quickly get the hang of the functionalities quickly.
What I like about Pepperstone for copy trading forex
What makes Pepperstone stand out from the array of other forex brokers is its copy trading feature, allowing users to follow successful traders of their choice and automatically copy all their trades. With over 150,000 traders to choose from, users can learn from the best and start trading like a pro.
Pepperstone’s forex functions are especially useful because they offer a bunch of advanced charting tools. This includes technical analysis indicators like moving averages, Bollinger bands, and more. With these tools, users can easily analyse market trends and make informed trading decisions.
Another stand-out feature of Pepperstone’s forex functions is their range of currency pairs. They offer over 70 currency pairs to trade with, so users can find the ones that work best for them. And with their tight spreads, users can make trades with minimal costs.
- User-friendly copy trading platform.
- Large array of complex tools for traders to utilise.
- Excellent customer service.
- Lack of market analysis and insights.
- Lack of education content for novice investors to learn from.
- Customer support not available on weekends.
- Minimum Initial deposit to start trading $200.
- Average spread EUR/USD – active 0.17.
- Average spread EUR/USD – standard 0.77.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75.6% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
AvaTrade is not your average forex broker. Sure, they may have very similar offerings to eToro, IG, and Pepperstone in that they’ve got forex functions and copy trading capabilities, but what makes them stand out is their educational content.
What I like about copy trading forex on AvaTrade
AvaTrade’s platform offers tons of webinars, video tutorials, and eBooks to help traders improve their forex skills and get started on their trading journey. This is perfect for newbies who are still figuring things out. Plus, they’ve got a demo account so that users can practice trading without risking any real funds.
What’s more, AvaTrade also comes with a bunch of trading tools and features that are designed to help users make smart trades. They’ve got stop-losses and take-profit orders. This way, users can minimise risk while maximising profits.
Not only that, AvaTrade also offers technical analysis indicators and charting tools to help users analyse market trends and make informed decisions. All this on top of the copy trading function makes AvaTrade an excellent platform to trade on.
- Informative education content.
- Great tools for users to conduct adequate research.
- Free deposits and withdrawals.
- Charges fees for inactivity.
- Forex fees aren’t the lowest versus other copy trading brokers.
- Slow desktop/web platform with an outdated interface.
- Average Spread EUR/USD – Standard 0.91 (August 2020).
- All-in Cost EUR/USD – Active 0.61 (August 2020).
- Inactivity fee $50 per quarter after 3 months of inactivity.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
FXCM is another juggernaut when it comes to brokers offering forex trading. Like the others, its copy trading platform is also a standout feature.
What I like about FXCM for copy trading forex
FXCM has a bunch of other features that make forex trading an easier process. For one, they’ve got an economic calendar that tells users when important news events are happening. This way, users can make more informed trades without getting caught out by sudden volatility in the financial markets. What’s more, the broker offers a bunch of different order types too.
Another thing that makes FXCM different from other copy trading platforms is their customer service. They’ve got a team of experts who are available 24/7 to help users with any queries or concerns they might have. Whether there’s trouble with the trading platform, or just general questions about trading, their team is there to help users out.
- Excellent customer service available all around the clock.
- Fast process to open retail investor accounts.
- Good educational content and tools available.
- Limited product portfolio.
- Charges inactivity fees.
- Withdrawals incur fees.
- $4 per lot for forex trades.
- Minimum deposit of $10.
- Inactivity fee $5 per month after 6 months of inactivity.
Copy trading history
Copy trading may have only come to prominence over the past few years, but it’s actually been around for a lot longer than many people think it has. Before the internet became what is today, traders gathered in person and shared trading strategies with each other.
This was the case until the internet started to gather momentum. And when it did, traders started connecting with each other from across the globe, and people started to share strategies and trades with ease. Thus, social trading was born, and it was a game changer.
The first copy trading platform was launched in 2008, and it was called eToro. They are the pioneers of copy trading among couch and retail investors. It allowed traders to copy the trades of other successful traders, and it quickly became popular. Soon, other copy trading platforms started to pop up, each with their own unique features and offerings.
Today, copy trading is bigger than ever. Millions of traders around the world are using it to make profits and learn from each other. And it’s not just limited to forex trading anymore. Today, traders can copy trades in stocks, cryptocurrencies, and more.
Which platforms allow copy trading?
However, there are also a number of other brokers that offer copy trading capabilities with forex features, too. These include:
- BlackBull Markets
- Admiral Markets
- Hantec Markets
- CMC Markets
It is up to individuals to identify which is the best copy trading platform for their own unique requirements.
How do you copy the best traders?
Copying the best traders is actually a pretty easy affair. One effective way to do so is to sign up for a copy trading platform with a reputable broker. From there, users can find traders they wish to copy.
However, there are also other ways to copy the best traders outside copy trading. Prospective traders can search for other traders who’ve got a good track record of success. Run through their social media, websites, and trade records to see what’s garnered them the success they’ve had. But most importantly, look for traders who’ve consistently made profits over a long period of time.
Another thing to consider is the trader’s overall approach. It’s crucial to determine whether the trade in hand is a long-term investor or a short-term trader. This is because time horizons can make or break a good and bad trader.
It’s also worth considering whether a trader is aggressive or conservative. Therefore, prospective traders might want to find other traders who have a style that matches theirs.
It’s also important to stay up to date on the latest news and trends in the market. Follow financial news outlets, read articles and blogs, and stay informed on what’s happening in the world of finance. This will help traders make better decisions when it comes to copying the best traders.
How does copy trading work?
Basically, copy trading is a way to automatically copy the trades of other traders. Traders can start a trading account on a copy trading platform. From there, they can choose which traders they’d like to follow. Then, whenever a trader they follow makes a trade, the user automatically makes the same trade in their own account.
Although some might wonder why they’d want to copy another person’s trade ideas, there are benefits worth noting. Primarily, it allows other traders to learn from one another while making money while they’re at it.
More lucratively, this means that prospective traders don’t have to be an expert in finance or spend hours analysing the market. All that needs to be done is to find traders who are consistently making a profit, and copy their trades.
Nonetheless, copy trading isn’t a guaranteed way to make money. Users will still need to do their own research and manage their risk to ensure that they’re putting their money in relatively safe hands.
Is copy trading a good idea?
On the one hand, copy trading can be a great way to learn from successful traders and make money in the process. Users don’t have to be an expert in finance or spend hours conducting their own analysis.
All that needs to be done is for users to identify the best traders who are generating the highest returns, and merely copy their trades. This is a simple and straightforward way for users to start dipping their toes into the world of trading using one of a number of available automated trading strategies.
On the other hand, copy trading can also be a risky endeavour. That’s because users are putting their money in someone else’s hands. As such, there’s always a chance that a bad trade can be placed, which could result in massive losses.
Ultimately, it depends on each trader’s personal goals and what their risk tolerance is. If a novice trader is looking to get started in trading and they’re willing to take some risks, copy trading can be a good way to learn and develop their own trading strategies whilst making money. But, if they’re not comfortable putting their money in someone else’s hands or if they’re looking for something that guarantees more secure returns, copy trading might not be the best option.
Does copy trading really work?
The answer is not exactly a straightforward one. While copy trading can be a great way to learn from experienced traders and make some money in the process, it’s also a double-edged sword.
Copying the trades of successful or professional traders presents lots of benefits. That’s because novice traders can take advantage and learn from their expertise and potential to make trading profits without having to do all the research themselves.
However, copy trading is not a guaranteed way to make money, and it’s a high-risk, high-reward strategy. Copying a trader can end badly, especially when copying the trades of those who aren’t actually as successful as they seem.
For those reasons, it’s extremely crucial for novices to conduct their own due diligence and choose traders to follow carefully. Most importantly, traders should also be aware of the fact that the market can be unpredictable, and even the most successful traders can face losses.
At the end of the day, whether or not copy trading works really depends on your every trader’s goals and approach. If traders carefully choose the traders they follow and manage their risk accordingly, copy trading can be a successful and useful tool. But those who throw caution to the wind could end up losing most, if not all their money.
How do you copy trade?
To get started with copy trading, the user must first need to identify a broker that offers the copy trading feature. There are many online brokers out there that offer copy trading, so it’s essential to do research and choose the one that suits the needs of a user. Once a broker has been selected, the user needs to open a copy trading account and deposit funds. Most brokers require a minimum deposit to get started with copy trading.
After depositing funds, the user needs to find a successful trader to copy. Most brokers have a list of successful traders to choose from where they can check a trader’s past performance, their trading strategy, and their risk management techniques to decide which trader to copy. Once a trader has been selected, the user can set the amount they want to invest in their trades.
From then on, whenever the trader they’re copying makes a trade, the same trade will be executed on their account automatically. Therefore, users can sit back and relax while the successful trader does all the hard work.
How do I choose the best trading system to forex copy trade?
Choosing the best copy trading account can be a difficult task given the vast number of options available out there. However, there are a few things to keep in mind when making a selection.
The first one would be for the user to check the track record of the broker and/or platform. Looking through customer reviews and statistics that show honest customer satisfaction and past performance of the trading platform is useful. It’s also important to make sure that the system has a proven track record of consistent profitability over a long period of time.
Secondly, consider the risk management of the broker. Trading tools such as stop-loss orders, negative balance protection or other risk mitigation strategies to limit losses are key for traders.
Next, look for a trading platform that fits the user’s trading style and goals. For example, whether a user is planning to conduct short-term trades or long-term investing.
Finally, and perhaps most importantly, consider the fees and costs associated with copying trading with the broker. Look for the best copy trading brokers that offer transparent and competitive pricing, and be wary of any systems that promise unrealistic returns or charge exorbitant fees.
Starting with copy trading, it’s the most straightforward of the three trading methods. With copy trading, users can find a trader they want to follow and then automatically copy their trades in their own account. This is pretty neat because it allows users to learn from the more experienced traders without having to be an expert in trading or finance themselves.
Moving onto social trading, it’s more focused on community and sharing information. Users can connect with other traders and investors to share ideas, strategies, and insights. Consequently, users can then follow other traders to see what they’re buying and selling. At the end of the day, the trader themselves will have to manually enter those trades into their own account, and judge for themselves whether a trade is worth making.
Lastly, mirror trading is a bit more complex. It involves not just copying the trades of another trader, but copying their entire trading strategy. This means that if a followed trader makes any changes to their portfolio or adjusts their strategy, those changes will be automatically reflected in the mirror trader account. It’s a more hands-off approach, but it can also involve more risk if traders aren’t careful.
Is Forex copy trading profitable?
Forex trading isn’t as easy as copying and pasting someone else’s trades into an account. But, if a trader chooses their picks correctly, they can definitely make some good money.
First of all, users need to choose the right traders to copy. It’s not as simple as just copying anyone and expecting to make profits. Users need to find traders who have a proven track record and are consistently making gains. They also have to make sure the followed trader’s style matches their investment goals and risk tolerance. That way, users aren’t blindly following someone else’s trades and can avoid major losses.
Another thing to keep in mind is that Forex copy trading isn’t a get-rich-quick scheme. It takes time, patience, and a solid understanding of the financial markets to make a profit. But if traders are willing to put in the effort, do their research, and find the right traders to copy, they can definitely see some green in their account.