By eToro

From copying other traders to becoming a Popular Investor: Meet Eliyohu

After discovering eToro, Alex (@Eliyohu) started to copy other traders and begin to understand  the market. Soon, he decided that he wanted to be the one who gets copied, and started trading on his own. His success as a trader gained him a following and he became a Popular Investor on eToro. We asked him a few questions about his trading style and strategies:

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1. Tell us a little bit about yourself
I’m Alex, originally from the Ukraine. Over the past eight years, I have been studying, living and working in Austria and Germany. I discovered eToro in 2016 and since then have been an active member of the eToro community.

2. Did you have previous experience with financial investments before joining eToro?
I’ve been working as a business consultant for a couple of years in several areas, one of which is financing. I started trading as a hobby, but now I feel that I want to invest more time and effort in trading and further develop my investment skills.

3. Why did you choose to join eToro?
I was very interested in social trading as a new way of doing business and investment. So first I started copying other people. Then I realised, I want to be the one being copied.

4. What are the three key benefits of using eToro?
First and foremost – a social trading opportunity!
Besides that, I would emphasise the interface of eToro, regardless of whether it’s the website or the app. It is really easy to find an asset or an investor to copy, do some research and follow developments related to what you trade.
Last but not least – the Customer Support is friendly and helpful.

5. How has eToro changed the way you trade?
I started to analyse and compare my results with those of other traders in order to improve my performance. It’s very easy to do so, because I can simply sort out traders with similar results.

6. What is your type of trading strategy and what is it focused on?
My method
I trade along a trend or divergences (bear- or bull divergences). I try to mostly use the trend method as it is less risky. To identify a trend, I use weekly charts with several indicators, i.e., exponential moving average or MACD. With the help of these charts, I make a general call – go long, short or stand aside for a while. Then, I switch to daily charts in order to find an entry point. Sometimes, I use hourly charts to refine the entry or exit point for each trade.

I hold each position open for a couple of days, sometimes weeks.

The main emphasis is placed on risk management. I keep the position risk at less than 2% of the AUM. For example, if AUM is €1000, then the risk I’m allowed to set for a specific trade is not more than €20. Monthly risk must not exceed 6% of the AUM.

7. What are the benefits of being a Popular Investor and what is your long-term goal?
The main benefit for me is that I may contribute my skills to the trading community and by doing so, hopefully, help others and myself to improve our investment experience. The long-term goal would be, therefore, to maintain attractive results and trade safely.

8. Do you have any advice for your copiers/ users considering copying you?
Whether you are going to copy me, someone else, or trade yourself, stay in the market as long as you can. Make your time in the market meaningful and valuable. Learn from your previous trades and decisions and get your own experience. Improve your results.

9. What are your hobbies?
I try to stay active, travel and spend time with my family and friends. When I have free time, I enjoy participating in intellectual quizzes and read books.

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.