What is Tradency Mirror Trader?
Tradency BVI, founded in 2005, is a financial technology company providing innovative trading solutions. They were one of the pioneers in the area of autotrading and social trading, or as they call it “mirror trading”. Their trading platform is called “Mirror Trader” and it enables FX traders to use the knowledge of strategy developers and other traders from around the world for their own trading.
At a basic level, Mirror Trader offers traders a trading workspace with all the usual trading and charting tools to buy and sell. However Tradency’s platform also gives you access to the strategies from other trades and introduces some new trading techniques, including Semi Mirroring and Automatic Mirroring (click here to try free Mirror Trader demo):
- Automatic Mirroring: the Tradency software will mirror the strategies you select by copying their trades in your account automatically.
- Semi Mirroring: this option gives you more control over which trades you decide to mirror by allowing you to view the live trades of strategy providers. You can then choose the trades you want to mirror instantly and ignore the ones you don’t.
To help you decide which strategies to mirror, Tradency’s Mirror Trader software allows you to compare their past performance and relative risk. The strategies are provided by traders and strategy developers from over the world. Anyone can submit their strategy to Tradency, though only the ones with a proven track record are shared with other users.
The strategy developers are compensated for every signal that was mirrored by the Mirror Trader’s users. They can send their buy and sell signals to the Tradency servers by EA, TradeStation or API. Because the strategies are running on the strategy provider’s side they always remain confidential. The strategy providers can also leave a detailed description of their strategy and trading experience.
Mirror Trader is primarily a web based platform, though the mobile app also allows live users to check their portfolio, execute manual trades and mirror live signals. While Mirror Trader initially only supported Forex instruments, since 2014 Tradency supports CFD instruments such as S&P 500, Google, Crude oil and more. The wide range of markets available now covers currencies, equities, commodities, indices, gold, silver and energy futures.
According to a recent survey published on the Tradency website, among 1000 live, active users:
- 90.2% said that the Mirror Trader platform is easy to use
- 92.4% said they liked the 24/6 automated trading capability
- 80.6% said they consider Mirror Trader as a long term investment tool
In February 2017 Invast securities announced reaching 100,000 live users using MirrorTrader by Tradency.
Unlike some other social and auto trading companies, Tradency is a pure software and solution provider. The Mirror Trader platform is sold to brokers and Tradency has no intention to act as broker themselves. They have two different charging models for the brokers. Their original model charges the brokers a volume fee of about 1-2 pips per trade. Under Tradency’s alternative business model, which was introduced late 2011, they charge a technology fee to the broker of a few tens of dollars per active user per month instead of the volume fee. Tradency hopes that this alternative model is more convenient for the brokers and as such will open up their platform to a wider customer base. They believe it’ll make them more attractive and cheaper to customers since brokers would normally pass on part or all of the volume fee to the end customer (something which is still the case with various brokers).
Mirror Trader supports account in USD or EUR currencies and Tradency already works with over 40 brokers around the world. These include FXDD, Forex.com, FXopen, AvaTrade, FXCM, Golder Market, FX Trade, USG Capital and more.
Tradency have hinted before that they would look at introducing some social network features as well, allowing their client traders to communicate, share ideas and trading activity with each other. However, so far none of these features have been released yet and there’s been no further news on this for the past year. Hence it looks like Tradency is currently very much positioning itself as an auto trading platform provider instead of a social trading network provider. However we still feel they’re relevant to include them in our discussions and reviews of social trading networks since the fact that other traders share their knowledge and strategies for others to copy is a key part of “social trading” as well.
In 2016 Tradency also launched RoboX, a new method of strategies trading. RoboX is a trading machine based on smart packages of strategies, with each package compiled to suit an individual investor’s preferences and profile. The strategies are bound by a unique algorithm that is updated constantly.
¹ Please note that the free demo is available via AVAfx (one of their brokers) since Tradency doesn’t offer a Mirror Trader demo via their own website.