Copy Trading enables individuals in the financial markets to automatically copy positions opened and managed by another selected individuals.

The idea of copy trading is straightforward: use technology to copy the constant Forex trades (forex signals) of other live financial backers (forex trading system providers) you need to follow. Thusly, every time they exchange, you can naturally repeat (copy) their trades in your brokerage account.

Copy trading is a new phenomenon of social trading. It enables traders to follow the trades of other, more experienced traders without having to place the same amount of investment as they do. Copy traders can do this by following another trader's strategy and copying their trades using an online service. At first glance, copy trading seems like a great way for traders to learn from those who have been in the market for longer, but there are some pitfalls that can come along with it.

Copy trading is often used by traders who prefer to avoid spending too much time monitoring price movements. As a result they decide to copy other traders' actions. Naturally one will try to copy an experienced trader, but this does not mean that he is always going to be on the right track despite the experience. So copy trading comes with its disadvantages. I think it is more suitable for beginners who need to get an idea of how to trade, as eventually it is better to learn how to make decisions yourself.