Pepperstone Social Trading – Ultimate Guide
The Forex industry develops rapidly and it comes as no surprise that there are constantly new innovations. Pepperstone broker is no exception, which always tries to attract more customers with new features. While social trading is not one of them, it indeed helps new traders to get accustomed to trading and learn more about Forex in general.
The concept of social trading is pretty simple. It is basically you copying another trader’s trades, or simply outsourcing analysis to the community. Pepperstone is very well prepared when it comes to social trading and copying. This is due in large part to the ability of their MetaTrader platform to leverage EA strategies.
Social trading on Pepperstone happens through third-party services and at the same time you learn how to improve your trading. The services offered by the broker are legit, as Pepperstone is a fully regulated and licensed operator in the Forex industry.
How Does Pepperstone Social Trading Work?
In order to start social trading on Pepperstone broker, first, you need to create an account, if you do not already have one. Depending on your choice, you might need to submit login credentials to start copying your preferred trader. In general, any trader you choose on the website will have trades automatically copied to the account.
Pepperstone works with the following social trading platforms: Myfxbook, MetaTrader Signals, and DupliTrade. You choose a popular trader and follow them. Social trading could draw some resemblance with copy trading, which is legit. The only thing that differentiates these two is that in the form you can also join various communities, exchange opinions with others, show them your strategy and get feedback. Social trading on Pepperstone is also praised for its cost-effectiveness and performance of top traders, who will likely bring you notable profits in trading.
Pepperstone Social Trading Account Details
It’s pretty easy to get started on Pepperstone even with a small deposit. What you need to do is to register on the broker’s website and apply for a social trading account. In general, the majority of conditions and requirements remain the same for the broker as you will see in standard accounts. Trading platforms, leverage, and spreads are almost the same. Furthermore, social trading happens through third-party services. You can use various tools that will assist you more during the process. In every way, a Social trading account is a perfect opportunity to maximize your winnings and at the same time excel in trading.
Available Trading Platforms
The most important tool you will regularly use as a Forex trader is the trading platform, so let’s take a look at how Pepperstone handles this.
When it comes to charting and trading tools, Pepperstone uses all those available on the platforms they offer. This means that they currently have about 51 chart indicators available for use and 31 additional tools to help you customize these charts to suit your trading needs. Many experienced traders value Pepperstone for its high level of ability to customize the experience to suit your needs.
Pepperstone includes MetaTrader 4, MetaTrader 5, and cTrader for social trading. These are some of the most famous and respected in the industry. The broker does not have its own trading platform. All the desktop platforms presented are popular and easily customizable both in terms of regular trading and if you want to try algorithmic trading or automated trading strategies.
The mobile platforms on offer are again among the strongest in the industry. MT4 and MT5 on mobile are particularly versatile and perform many of the same functions as desktop trading. These platforms are available for both Android and iOS on all your phones and smart devices.
Leverage is a unique tool that helps you in maximizing the profits gained from trading. The leverage you have access to with Pepperstone depends on the broker you trade with. If you are trading from the UK or Europe with Pepperstone Limited, you will have 1:30 leverage in accordance with applicable ESMA regulations. If you are registered through the Australian branch of the broker with Pepperstone Group Limited, you will have a leverage of up to 1:500. In addition, if you are trading as a professional trader in the UK or EU, you will have 1:500 leverage, but no negative balance protection.
Spread stands for the difference between Bid and Ask price. At Pepperstone, you will be faced with different spreads depending on the account type you choose. For a standard account, they start at a very competitive 1 pip, while the spread for a Razor account starts at even low 0 pips, although there is a $7/lot commission on trades with a Razor account. With that in mind, here is an example of some of the minimum spreads in commonly traded markets with a broker.
- EUR / USD – 0.13 pips
- Gold – from 0.5 pips
- S&P 500 – from 0.4 pips
- Bitcoin – from $10
Pros & Cons of Pepperstone Social Trading
Pepperstone Social Trading platform offers the best possible conditions to traders. We should note that this feature is particularly useful for traders, who are just making the first steps in the FX industry. Alongside the pros of trading, there are several cons which we should emphasize.
The main pros of Pepperstone social trading include simplicity of navigation, ease of use, learning from experienced traders, etc. You can also join the community where you can get information about your strategy and how it will work.
The benefits of social trading are numerous. By observing the trading of more experienced colleagues, you can learn to trade on your own, learn from experience, study strategies and principles of money management, share your ideas and best practices, get advice and get help.
Another key advantage of Pepperstone is the community, which we have mentioned above. When you are in a group of people who share their feedback and knowledge, you also learn something new and get better at trading.
Despite its many advantages, social trading also has a disadvantage.
The platforms bring together a huge number of people who trade in the Forex market. Not everyone is a professional, and everyone can suggest their own copying strategy. In order not to get serious losses or even lose capital, carefully choose the traders whose trade you follow.
The most promising candidates are usually listed as the most popular. Pay attention to the traders with the maximum number of followers. Study their strategy, observe their trading, pay attention to their principles of risk management.
Social trading is an effective tool in a trader’s arsenal. To make a profit, you need to have an idea of trading on the Forex market, to know the mechanisms according to which the price of a currency pair moves, to understand the consequences of overestimating risks. The more knowledge a trader has, the higher the probability of making a profit. Of course, social trading is aimed more at traders with little knowledge, but some experience will be helpful in the long term.
FAQ on Pepperstone Social Trading
What is a social trading platform on Pepperstone?
Pepperstone social trading platform is a unique tool that the broker offers to customers. You can follow and copy traders from popular managers using third-party resources and increase your profits. At the same time, you also engage in the learning process and acquire experience. In the future, you might also become a manager yourself.