Forex $ocial Traders


SwissRunnerS: Early Copy Trading Warning

Copy trading and social investing on Forex market can be very, very profitable. That is true. However, if you are currently in a process of considering whether to copy some of top positioned forex social traders, think twice and do your homework first by reading this early copy trading warning article.

Early Copy Trading Warning

In this article I will give you one example of top forex trader who can be a very risky copy trading choice for you. His trading nickname is SwissRunnerS and recently he was in Top25 of Zulu ranking.  He is a typical example of a copy trader who was able to climb to top of the ranking by using a reckless trading method.  In his case, adding more and more positions when trend moves against him in a hope of averaging down the price and closing all of them in overall profit. That strategy works very well when markets moves sideways, but when there is a huge trend and you are caught in the opposite direction, you are in a big trouble.

This trader experienced that once when Swiss National Bank (SNB) removed 1.2000 level protection on Swiss Franc against Euro and big drop happened within hours. SwissRunner suffered HUGE 28,000 pips drawdown in one day!

And what was his reaction?

“SNB is crazy” 🙂 read full story.

Could you believe that? His followers lost couple of hundred thousands and he was blaming SNB for his failure.

What he did later?

Well, trading stats with super huge drawdown surely doesn´t look very appealing and do not attract new copiers. So he simply stopped trading his SwissRunner account and opened a brand new SwissRunnerS account. But his trading system remained same. Early copy trading warning: That is what most demo signal providers do.

What do you think happened after that?

Many old followers believed his excuse with “crazy SNB” and copy him on his new trading account. But EUR/CHF is in a strong uptrend, the price has broken through strong resistance level and SwissRunners is caught against this trend. Currently with 12 open positions and -2,182 pips drawdown. It is his new max. drawdown.

early copy trading warning

Update: during writting this post, SwissRunnerS opened another 3 positions. So now he has 15 trades against the trend. BTW, in his latest update he promised max. 12 open positions.

What was this Early Copy Trading Warning article about?

The whole point of this was to show you that you cannot simply follow top positioned forex traders. You need to analyze their trading style and behaviour to protect your money. Once you choose a reliable signal provider, you can make money by copy trading on any social investing network.

To help you with this time consuming task, we have created Zulutrade Follower Academy.

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