Traders: Millions by the minute. BBC i Player

[Hoofy]

Pesty said:

I've invested $100 with her she's made me $30 actual dollars profit but lost with Jorge so after a week with $244 actual dollars invested I'm up on $249 lol

That's because you don't have one of these: http://amzn.to/1x74wvQ

[twinturboz]

So if I join Etoro as a trader what can I earn? Might be an alternative to setting up a trading academy.

[g4ry13]

twinturboz said:

So if I join Etoro as a trader what can I earn? Might be an alternative to setting up a trading academy.

I have no idea what the money is. I'm guessing the traders get a cut of the spread their followers pay. I'd be curious to find out what sort of money they're clearing. It's not a bad gig considering they're probably trading demo accounts so it's no investment except for time.

I posted an eToro thread in this forum, not sure if there will be any interest but it's there

Edited by g4ry13 on Friday 3rd October 23:15

[OtherBusiness]

Looking at this I don't think they earn much initially

http://www.etoro.com/en/social-trading/popular-inv...

[pokethepope]

So, aside from this spread betting, CFD, Fibonacci ratios etc malarkey, what if I have £500 lying around and want to get a higher return than the banks, but not spend months learning and hours every evening looking at charts.

What about just researching some stocks and split it across a couple, go long and come back in 12-18 months and see how they are doing? Boring I know! Am I better off just putting it in a fixed term bond?

[g4ry13]

pokethepope said:

So, aside from this spread betting, CFD, Fibonacci ratios etc malarkey, what if I have £500 lying around and want to get a higher return than the banks, but not spend months learning and hours every evening looking at charts.

What about just researching some stocks and split it across a couple, go long and come back in 12-18 months and see how they are doing? Boring I know! Am I better off just putting it in a fixed term bond?

If you take ownership of the shares you're going to be looking at ~£10 to buy and then another £10 to sell. Stamp duty too. So you're creating some pretty high break-even points when your costs represent 10% of your investment. You would be best off spread betting the stocks with no leverage.

Or if you feel like a bit of fun and don't care about the money you can eToro a few hundred. (see thread in finance) - although I can't give you any reassurances as to whether it would be better to invest in a bond.

[isleofthorns]

I would have thought having 'copiers' could amount to front-running?!
What happens if the trader buys into a small cap, illiquid stock? The followers then trade the same stock by default, the price rises due to all the followers buying the same stock, then the original trader is the first to sell into this stream of buyers at a profit?!?

[g4ry13]

isleofthorns said:

I would have thought having 'copiers' could amount to front-running?!
What happens if the trader buys into a small cap, illiquid stock? The followers then trade the same stock by default, the price rises due to all the followers buying the same stock, then the original trader is the first to sell into this stream of buyers at a profit?!?

Wishful thinking....

Firstly, it's spread betting - there's no ownership of stock. Secondly, it's laughable to think that a few thousand people with maybe £300 each is going to move the stock drastic amounts.

Bottom line: it's not going to move a market.

[sjn2004]

I too saw the program and did a bit of looking around and came to some conclusions.

- lots of companies wanting you to sign up, even offering sign up bonus?!?! Why would any honest broker give you bonus $$ to sign up? Sounds like Skybingo or something.

- many of these brokers are market makers, how will you ever profit from such companies when your gains are their losses? When you buy options do they ever do a real transaction outside of their own company? Expecting to make money from these companies seems like expecting to make a consistent income from visiting a single casino. You win, you get booted out.

- these demo accounts, the nurse had 1.6 million up from 400k, when playing real money she lost. Makes me wonder if some of these demo accounts are rigged so you make 'money' easily, so you jump over to real cash sooner rather than later.

- obviously fake online reviews with comments like ' I made xxx$$ in 1 week, so easy to withdraw my cash, even the sign up bonus'.

- betting on horses/sport appears for dummies, where as the financial markets are for clever people. Is it just a ruse to make people think its not actually gambling?

Have I hit the nail on the head?

[Hoofy]

sjn2004 said:

- lots of companies wanting you to sign up, even offering sign up bonus?!?! Why would any honest broker give you bonus $$ to sign up? Sounds like Skybingo or something.

- betting on horses/sport appears for dummies, where as the financial markets are for clever people. Is it just a ruse to make people think its not actually gambling?

Have I hit the nail on the head?

Those three would tie in if you can get bonuses for signing up. Never seen them myself. I do see people taking the piss out of betting and use long words like "in-vest-ing" because it makes them sound klever. Also, if you say you're in-vest-ing rather than gambling then the market gods will reward you with profit.

[sjn2004]

Hoofy said:

sjn2004 said:

- lots of companies wanting you to sign up, even offering sign up bonus?!?! Why would any honest broker give you bonus $$ to sign up? Sounds like Skybingo or something.

- betting on horses/sport appears for dummies, where as the financial markets are for clever people. Is it just a ruse to make people think its not actually gambling?

Have I hit the nail on the head?

Those three would tie in if you can get bonuses for signing up. Never seen them myself. I do see people taking the piss out of betting and use long words like "in-vest-ing" because it makes them sound klever. Also, if you say you're in-vest-ing rather than gambling then the market gods will reward you with profit.

Found a site called forexfraud, look at the comments at the bottom of the page. Seems positions close when getting into profit, stops disappear when going into a loss. Getting your money back out a nightmare. Some guy made profit from the bonus but they wouldn't let him have his profit back (not the actual bonus) until he had done more trades (i.e. lost it). Also lots of questions about the prices & data being correct and true.

Edited by sjn2004 on Wednesday 8th October 20:55

[Hoofy]

sjn2004 said:

Found a site called forexfraud, look at the comments at the bottom of the page. Seems positions close when getting into profit, stops disappear when going into a loss. Getting your money back out a nightmare. Some guy made profit from the bonus but they would let him have his profit back (not the actual bonus) until he had done more trades (i.e. lost it). Also lots of questions about the prices & data being correct and true.

Is this with reference to etoro? I've only used Alpari and IG Index.

[twinturboz]

sjn2004 said:

Found a site called forexfraud, look at the comments at the bottom of the page. Seems positions close when getting into profit, stops disappear when going into a loss. Getting your money back out a nightmare. Some guy made profit from the bonus but they would let him have his profit back (not the actual bonus) until he had done more trades (i.e. lost it). Also lots of questions about the prices & data being correct and true.

Had similar with plus 500, ordinarily I wouldn't bother with a company like that but for the sake of trading go-pro opened up an account so I could trade it to the short side. Funny thing is when the stock gets a bit volatile the buy and sell gets disabled so you can't get out when you want and on top of that you get slippage on the actual price. They did transfer the money out pretty quickly though.

[Hoofy]

twinturboz said:

Had similar with plus 500, ordinarily I wouldn't bother with a company like that but for the sake of trading go-pro opened up an account so I could trade it to the short side. Funny thing is when the stock gets a bit volatile the buy and sell gets disabled so you can't get out when you want and on top of that you get slippage on the actual price. They did transfer the money out pretty quickly though.

Sounds like typical MO for a spreadbetting company.

[sjn2004]

Hoofy said:

twinturboz said:

Had similar with plus 500, ordinarily I wouldn't bother with a company like that but for the sake of trading go-pro opened up an account so I could trade it to the short side. Funny thing is when the stock gets a bit volatile the buy and sell gets disabled so you can't get out when you want and on top of that you get slippage on the actual price. They did transfer the money out pretty quickly though.

Sounds like typical MO for a spreadbetting company.

Sounds like they never make the trade, just hold your money until its all "gone". How can they be legal?

[twinturboz]

Hoofy said:

Sounds like typical MO for a spreadbetting company.

Well it makes you appreciate DMA that's for sure.

[Hoofy]

sjn2004 said:

Hoofy said:

twinturboz said:

Had similar with plus 500, ordinarily I wouldn't bother with a company like that but for the sake of trading go-pro opened up an account so I could trade it to the short side. Funny thing is when the stock gets a bit volatile the buy and sell gets disabled so you can't get out when you want and on top of that you get slippage on the actual price. They did transfer the money out pretty quickly though.

Sounds like typical MO for a spreadbetting company.

Sounds like they never make the trade, just hold your money until its all "gone". How can they be legal?

Probably because they don't say they open a trade on your behalf.

[Hoofy]

twinturboz said:

Hoofy said:

Sounds like typical MO for a spreadbetting company.

Well it makes you appreciate DMA that's for sure.

Heh.

[g4ry13]

sjn2004 said:

- betting on horses/sport appears for dummies, where as the financial markets are for clever people. Is it just a ruse to make people think its not actually gambling?

Have I hit the nail on the head?

You must have read this quote: "The gambling known as business looks with austere disfavor upon the business known as gambling."

Sitting around a dinner table talking about stock portfolios is 'sophisticated' and acceptable. Betting on sports is not because of the high street gambling shops which are packed with those unable to afford it, unsavoury individuals with a gambling addiction. (In a generalistic way of thinking.)

[Hoofy]

Aye. Spook them out by talking about MACD and Stochastics.