Forex Social Networks – What Are They and Are They Useful?

Within the last year, there has been an increase in the number of Forex social networks in existence, potentially as a result of the incredible success of the likes of Facebook. Whilst many people will know of a Forex social site, most of these people never sign up.

Do you know any Forex social sites? Are you currently a member? Chances are that the answer to the first is “yes” and the second is “no”. This is not surprising. Let’s take a look at why Forex social networks are having a hard time gathering members whilst looking at the reasons why joining one might actually be an extremely good idea in the longer term.

What is a Forex Social Network?

Unlike Facebook or MySpace, a Forex social network is a dedicated network of Forex traders, all of whom share their trades for their friends to see. There are a number of different iterations and formats – but in general, the idea of an FX social network is to increase transparency and provide a medium by which you are able to share your trades and trading knowledge with likeminded people.

One FX social network has even gone as far as allowing you to “follow” a particular trader, which automatically places trades on your account when they make a trade. This is an interesting feature – bit also quite a dangerous one at the same time.

Why FX Social Sites Might be Useful

Despite the hassle of setting up yet another social profile and going through all of the steps to link your FX social account to your FX broker account (so that all of your trades can be recorded) – there are a few benefits to being part of a social network.

Take a look at the list below. This list is a number of benefits that people see from joining an FX social network:

• Able to verify that the majority of traders are on the same side of a particular currency pair as you are
• See what other likeminded people and likeminded traders (those using similar strategies) are doing with their trading accounts
• Filter through top trades and see which accounts are making the most money

Another great reason to join an FX social network is that it allows you to surround yourself with people who enjoy doing the same things as you do. Unlike Facebook and MySpace, where your “friends” might think you are a bit “nerdy” for continuously talking about FX trading, a specialty FX network will accommodate you and be on the “same page” as you are.

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