Zero Loss Copy Trading: Is it Possible in Indian Markets?

 

Zero Loss Copy Trading: Is it Possible in Indian Markets?

In the Indian stock market, there are many new and seasoned traders looking to find a way to trade as risk-free as possible. One such method is copy trading in India, where traders are able to copy the trades of experts. But can you really achieve Zero Loss Copy Trading? Let’s explore this concept and understand the possibilities.

What is Copy Trading?

Copy trading is a type of trading strategy whereby a trader (follower) copies a trader with more experience (master) in an automatic trading style. This has become popular in India because it allows beginner traders to trade without having to first develop a trading strategy.

Copy trading has become easy for users in India to connect their broker account on overlay software from popular copy trading software, like Combiz Copy Trading Software, and simply follow traders that are professionals.

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Zero Loss Copy Trading: Is It Even Possible?

The term zero loss copy trading does sound amazing! However, no trading strategy is without market volatility. In fact, even expert traders will experience volatility in the market! Nevertheless, an experienced trader can limit their potential losses with the right risk management and by using the right platform.

Some features in copy trading that help reduce losses:

Is Copy Trading Legal in India?

Yes, copy trading is legal in India, but it needs to comply with SEBI requirements. SEBI governs any activity considered financial activity, so traders are protected. Traders should always use SEBI-compliant copy trading platforms in India, or risk being on the wrong side of the law.

Best Copy Trading Brokers in India

Many different brokers perform the copy trading through the use of API overlays or third-party tools. Some of the common names are

  • Zerodha (via Combiz Copy Trading Software)
  • Angel One
  • Alice Blue
  • Goodwill Broker
  • Tradebulls

Combiz Copy Trading Software connects with these brokers for real-time copy trading execution and safe trading.

How to Avoid Losses in Copy Trading

Here are some practical tips to avoid big losses:

  • Choose experienced traders with a proven track record.
  • Utilise take profits and stop losses, and don't put all your capital in one trader.
  • Diversify your copy trading portfolio. Don't put all your eggs in one basket!
  • Don't expect to make profits overnight. Think long term.
  • Start small and increase your investment as you get more comfortable with the trade.

Can You Achieve Zero-Risk Copy Trading?

No, zero-risk copy trading is not possible. But you can reduce risks significantly through smart strategies and risk management. Platforms like Combiz offer real-time copy trading execution, which minimises slippage and delays.

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Conclusion

Copy trading in India is a great way to take advantage of automated trading strategies whilst learning from other professional traders. Zero Loss Copy Trading is not fully possible because there is always some market risk involved in trading. However, investing in the right copy trading platform, e.g., Combiz Copy Trading Software, and using copy trading, following the right platform, and using the right strategies will give you the opportunity to trade smart with minimum risk.

Always trade with caution and follow SEBI guidelines to stay safe in the financial markets.

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