Learning to trade is easy. But trading to make money consistently is exceptionally difficult. Even with your trading knowledge and applying money management rules are not sure or easy way to transform any trader to be a winning trader.
From my own experience, it takes several years of painstaking work to build up a strategy to show a promising backtest performance and yet, it still requires many weeks and even months of fine tuning that strategy to make it a winning and a dependable system.
Not easy for many traders who just can’t afford to allocate a big chuck of their free time to work on a strategy and even worse, may have no guarantee to producing good results at the end of their mission.
Don’t be discouraged if you can’t make serious money in trading part-time.
Why not copy trade a top system or trader?
Copy trading is a fastest way to achieve your investment and trading goals without having to wait long for you to work and build a winning system.
I am going to show some important tricks here for you to able to leverage on other traders’ time to your advantage and grow your investment account quickly, easily and safely.
With copy trading you already have the winning strategy on your sleeve, by tapping into top traders’ experiences who are willing to share their trading success to copy followers for a small monthly subscription fee.
Not all copy systems are worth your investment and are safe. I am going to share the key metrics or indicators, you should be looking to pick the system that will have the highest chance for you to make profits and build your investment fund quickly.
1. Strategy’s trading history
I put this rule to be at the top of the list of picking a successful system. Don’t even consider a system if it doesn’t meet this requirement at the get go. It is extremely important to follow a strategy or trader having a trade record of at least 12 months.
Why a year? Studies have shown that over 90% of trading system suffer catastrophic failures or drawdown just within 9 months into trading. Any system trading beyond the incubation period has a significantly higher chance of going on trading and has the experience of staying in the race.
2. Watch those drawdowns
Number 2 in the list is the drawdown percentage.
Drawdown is the amount of account value drop during open trades or when trades are closed with a loss. Drawdowns are natural events in trading but it should not be excessive.
If you have invested $5,000, a 60% drawdown will reduce your account down to $2,000. Not a good feeling.
Drawdown less than 25% are considered healthy and also tells you the strategy does not take too much risk on your trades.
Also, drawdown should be short term, and avoid any system that is not able to increase your asset over several weeks.
Look at the equity curve of the trading system. Ideally you may want to look at a system that has a smooth and gradual upward account growth over its period.
Avoid sudden spikes in the curve, whether it is up or down or it plateaus out for a long time. The system should be making new and higher highs and trending up nicely.
4. Stay in it for the long term
If you found a system that has the 3 qualities I described above, then you are all set to copy.
You now have a much better chance profiting in trading by following a system, than you have to do it by yourself without the above 3 criteria. Now staying in the system for the long term is preferred as you will allow the power of compounding to your advantage.
Let’s say the 12-month strategy returns you 8% per month. If you invested $2,000 one-time, after just 12 months (fees excluded), your account size will be grown to $5,036 or $12,682 in just 2 years!!!
Genesis Asset Monitor
Copy trade system at Signalstart
The key advantage of copy service is not having to spend countless hours each day to find trades and manage them.
This forex strategy has already recorded over 200% returns in 2017. It is again projected to repeat this performance in 2018!
Also, you have a top trader and fund manager, Ramesh, who has a vested interest in your success too, since he has his funds invested in his Genesis system. There is no need to purchase any expensive trading software or attend a seminar to learn about new strategies which usually would not come with any track record of its success.
Track record is paramount. Genesis Asset Monitor has a solid record. When we purchase a new car, we do ask about its quality of build and performance. Then, why in trading, you have to trust or believe a software or system without any verified proof? Genesis copy system is changing that.
About the author
Ramesh is the author of 3 trading books “Trade Smart with 10/20/30 Rule™” , Making Big on CAD/CHF Forecast, and “Trade Forex with Confidence” which are available on Amazon. He created 10/20/30 Rule™ for traders to build and test their next money making trading strategy fast.