ZuluTrade is a company founded by Leon Yohai in 2006 and provides a web based platform that bridges the gap between the knowledge of professional traders and the trade execution of other traders around the world. Ever since its inception, ZuluTrade has helped a large number of traders to benefit from the knowledge and insights of the world’s leading forex traders. ZuluTrade essentially makes forex trading more social and collaborative in which the strengths of the few knowledgeable people can be leveraged to bring success to many others. This ZuluTrade review will evaluate the services, technology platform, pros and cons of working with ZuluTrade.
Forex trading is a high risk endeavor and it is common knowledge that most beginners lose money before they can even begin to understand how to successfully trade the forex market. Stories of people losing all the money in their trading accounts overnight due to a big swing in currencies aren’t uncommon.
Before platforms like ZuluTrade were launched, the only viable alternative that new traders had was to work with a mentor or let a professional money manager trade your money in exchange for a commission. However, not everyone has access to a good forex mentor. In addition, it can be very difficult to separate good traders from the bad ones. Hiring a money manager is fine but by doing that, you don’t really learn how to trade forex.
It is people who find themselves in the above mentioned situations who can greatly benefit from services like ZuluTrade. By using ZuluTrade, users can follow expert traders from around the world and decide to mimic the trades of the best of these traders. This allows new traders to learn forex trading from professional traders by observing their trades in real time.
ZuluTrade provides you with detailed trading statistics of signal providers and traders from all over the world. You can check the past and current performance of traders and then decide to let ZuluTrade manage your forex trading using a signal of your choice. During the entire process, your account information stays safe and is only used to execute trades based on the recommendations of the signal provider.
Every signal available on ZuluTrade is being traded on a forex account. This allows you to see the real performance of the signal provider and not some hypothetical guesses. Should you decide to use a particular signal provider to trade with, you will notice similar results to the signal provider. The results won’t be exactly identical due to differences in brokers, platforms, spreads, etc. but will be quite close.
ZuluTrade Trading Platform
ZuluTrade has developed its trading platform based on extensive consultations with various forex brokers so that it is fast, efficient and highly accurate. The result of these efforts is a web based platform that acts as an open environment in which traders can connect to any trading platform of their choice and share knowledge.
The signal providers use either ZuluTrade’s trading station or their own MetaTrader 4 setup to carry out their trading activities. ZuluTrade then follows the trades created by the signal provider and duplicates it in the accounts of subscribers who have subscribed to that particular signal provider. The entire process is extremely quick and takes only a few milliseconds.
ZuluTrade’s platform also uses their proprietary algorithm, ZuluRank, to analyze the performance of various signal providers. It takes into account various factors like the frequency of trading, drawdown of trades, the overall profit/loss, the age of the signal provider, the open time of trades, etc. It is based on these factors that ZuluTrade ranks the signal provider making your job of selecting a good signal provider even easier.
ZuluTrade’s platform is compatible with a number of leading forex brokers. If you don’t have an account with one of the ZuluTrade forex brokers, you can open it in a matter of minutes from ZuluTrade’s website.
ZuluTrade is regulated by the NFA (National Futures Association) and the CFTC (Commodity Future Trading Commission) in the United States. NFA regulates the futures market in the United States while the CFTC oversees NFA’s activities. Regulation by these agencies protects investors and individuals from scams and frauds.
Pros of ZuluTrade
- You can imitate the trades of proven, professional traders from around the world.
- You can learn from experts by observing their trading activity.
- You don’t have to make any trading decisions and can watch your investment grow without making any difficult trading decisions.
Cons of ZuluTrade
- You have to open a forex trading account with one of the brokers which are compatible with ZuluTrade’s platform.
- ZuluTrade’s platform doesn’t support micro accounts. The least you need is a mini account with one of forex brokers compatible with ZuluTrade.