What is ZuluTrade?
ZuluTrade is a social trading network and platform that connects you with thousands of traders (also called ‘signal providers’) around the world. Instead of studying the market and trading yourself, you select the signal providers you’d like to follow instead. The Zulutrade platform will then convert their advice and trades directly into your own account (with one of their supported brokers or their own AAAfx broker). At any time, you can close trades opened in your account by these traders manually yourself. In the ZuluTrade interface you can also set limits on what trades you like to take at account level (e.g. only EUR/USD trades) or at signal provider level (e.g. no more than 5 open trades at any time).
ZuluTrade provides a wide range of information for you to evaluate and select a ‘trader’. This includes the provider’s strategy, past performance, maximum drawdown and follower comments. You can review every single trade made by the trader in the past if you like. The best performing traders are also listed in the ZuluTrade performance tables which can be ranked on a number of parameters.
While initially ZuluTrade was pretty much a pure social forex trading network, since they added CFDs in 2015, more signal providers now also trade gold, silver, commodities and indices in addition to forex currency pairs. And in addition to Forex/CFD traders, ZuluTrade now also lets you copy successful binary options traders through their social trading network.
The social aspect is delivered through an active forum and customer feedback and votes which can be directly left on the signal provider’s pages. In addition, you can link your ZuluTrade account to your Twitter or Facebook account, which will post a message every time a trade is closed in your account (winner or loser). They also introduced a unique feature called ‘Social Charts’. This allows you to share your comments directly on any instrument chart, and interact real-time with other ZuluTrade followers and traders as market events happen.
You can sign-up for a free Zulu Trade demo account (click here) which allows you to select any signal provider in the same way as you would with a live account and monitor the performance of your portfolio. Once you decide you want to use “real” money you need to sign-up with one of their supported brokers. AAAfx is their “preferred” broker because they’re part of the same holding company as ZuluTrade. However they’ve got a list of over 40 other brokers globally which you can sign-up with as well.
Following the traders/signal providers and using the ZuluTrade platform from a live account is free. Your actual cost is included in the spread for each trade. E.g. if your broker spread is 2 pips, part of this will go to ZuluTrade as commission. The “signal providers” are paid direct by ZuluTrade, who share the pip commissions the “signal provider” has generated at the end of the month from their followers, but only if they made a profit in pips at the end of the month (i.e. they don’t get paid in losing months).