Tomorrow will be my 3rd month investing in Etoro. After copying a few bad trades I've learned a few lessons which will hopefully help me reach my ROI within a few months. The most important lesson that I learned from the disaster that happened last New Year was to never let greed cloud my judgement.
Back in December I began copying 5 high risk Gurus that ended in a disaster. One of the gurus ended up closing his account, another one ended up wiping out his equity. The remaining three gurus lost around 40-50% of the equity I used to copy them.
At the start of the year I ended up losing everything that I earned the first two month including a quarter of my initial investment. After that disaster I decided to change my copying strategy and just copy medium risk traders with consistent gains only. A month after the Christmas and New Year Disaster, I am back to where I started and I was able to recover my initial investment.
After my experience copying bad trades, I no longer have the urge to copy high risk traders with high returns. I changed my mindset and stopped taking too much risk just to earn more in a short period. I changed my plan to have a slow but consistent earnings. I am now copying seven out of the original seventeen gurus I initially copied. These seven Gurus have consistently given me good gains and have low weekly draw downs. Hopefully I will be in the earning zone by February and maybe I will be able to make my first withdrawal by May or June.
My advice for those who are just starting at etoro is to copy low or medium traders with consistent realized and total equity. If possible try to copy Gurus with low weekly draw down to minimize the chances of wiping out your copy equity on that Guru. Last thing to check is how many open trades does that Guru have and how long have those trades been open. I guess this is it for now. I will post another update by the end of February and maybe share some of the new things that I might learn.