Contents
Why we reccomend eToro for trading with Tron from India?
Pros:
- It is uncomplicated and user-friendly
- You are able to copy investment tactics
- You can go short
- You can leverage
- There are lots of investment options
Go to the official website: www.etoro.com/tron
eToro is the best way to obtain Tron from India.
“Social trading”, an innovative investment method that consists in replicating techniques and strategies from other experienced investors, has become popular thanks to eToro.
eToro has solutions for you, especially if you don't have much experience in trading, since it puts your investment on autopilot by repeating strategies from other experienced people with a very long profit history. Oppositely, if you are an investor willing to share your techniques with the community, eToro rewards you with money.
Another advantage is how intuitive the interface is, which turns out perfect for new users that are just learning all about Tron.
Can you trust eToro?
eToro is very rigorous with the information about past performances from investors, and its integrity has been independently tested several times.
The main headquarters of eToro is in Cyprus, and therefore it is certified by the Cyprus Securities Market Commission (known as CySEC), which covers debts up to € 20,000 from its clients, including those from India. The platform complies, on the other hand, with all the strict requirements of the European Union.
eToro is backed by the European Financial Instruments Market or MiFID, and by the Financial Conduct Authority (FCA) in the U.S. Apart from the above, it has a trajectory of fifteen years, with more than 20 million users around the globe. So, yes, it is a safe broker.
Finally, their customer service functions perfectly. They have a phone number for assistance, a ticketing system, and a live chat.
Payment methods on eToro
Within the payment methods accepted on eToro you will find: credit card, PayPal, bank transfer, Neteller, and Skrill. There is not much to explain here: making a deposit with eToro is very easy. You just have to click “Deposit funds”, choose an amount and the payment method you prefer.
Consider that for security reasons, you need to be the holder of the account or the credit card.
The minimum first time deposit is $ 200, and there is a maximum limit for unverified accounts. So, if your intention is to deposit higher amounts, you will need to verify your account previously.
eToro accepts deposits or transfers in any currency, but charges a commission for making the conversion to USD. That is why we recommend, if it is in your hands, depositing in USD directly.
What's the difference between CFDs and futures?
How are CFDs and Futures different?
- Counterparties
- Futures: operations are made with another trader.
- CFDs: the operations are not made with another individual, the counterparty is the broker, in this case, eToro.
- Date of expiry:
- Futures: they expire. As soon as that moment arrives, the contract is ended even if you are in red.
- CFDs: there is no expiration date. It is possible to wait until you are in a good position to exit.
- Options for trading:
- Futures: there are limited options
- CFDs: a lot of variety, there is a huge diversity and types of CFDs
- Minimum investment amount or “trade size”:
- Futures: you need to get in with a larger amount
- CFDs: you can get in with a lower trade size
- Cost of trading and commissions:
- Futures: as you have to pay more in the first place, fees are lower
- CFDs: rates are higher
- Possibility of using leverage:
- Futures: you can't leverage
- CFDs: it is always possible to leverage
Exchange-Traded Funds
ETFs or Exchange-Traded Funds are similar to index funds. We can say that ETFs are halfway between stocks and funds: they can be traded like regular stocks, but include a wide diversity of assets and the rates are much lower than those of an actively managed fund.
Shares
Stocks are the most common financial assets. Some publicly traded companies decide to split into portions: you can be one of those shareowners, but first, you have to know where and how to make your investment.
We can categorize stocks into two different kinds: those of companies that distribute their earnings among the shareholders and those that don't pay regularly. Does that mean that you should only consider the former? No, of course not: if a company does not pay every year but has a lot of potential, you should not give it up just because it does not pay you every year, since the capital gain you will get from the sale of the shares can be much greater than what you would earn through dividends.
If you invest in equities that payout, you will receive the funds into your eToro account, and you can withdraw them or invest back. However, you can take advantage of compound interest, so we would suggest reinvesting if you don't need the money immediately.
Consider that when investing in shares on eToro you can “dope” your trades with leverage, but in that case, you will not receive interest as the trade would be a CFD. For long-term investments, it is not advisable to use leverage: not just because you lose dividends, but also because you will have to pay commissions during the days that you keep the position open, and these can end up eating your profit.
What is an ETF?
Exchange-Traded Funds or ETFs are a kind of passively managed fund, similar to index funds. They can be described as a combination of stocks and mutual funds, including the best of both. They can be traded like regular stocks, but include a wide diversity of assets and their fees are much lower than those of an actively managed fund.
Commodities or raw materials
The major attraction of trading with raw materials is that prices are more stable than those of other assets. Actually, their intrinsic stability is what makes people often invest in raw materials, to take refuge from market volatility or inflation. Still, the prices of commodities are defined by their demand. Therefore, if a given economic situation provokes higher demand, the prices will also rise.
Remember that the only intended income from the investment in raw materials will be the hypothetical capital gain after the sale since, unlike stocks, these don't distribute dividends or pay interest.
Commodities are generally classified into two kinds: first, we have hard raw materials, which are precious metals (gold, silver, copper, and platinum), industrial metals, and oil; in second place are soft raw materials, which are agricultural goods like sugar, cocoa, soybeans, among others.
Foreign exchange
Currency trading or Forex consists, as the name says, in the trading of currencies. It's the conversion between two currencies, and the aim is, evidently, to make a profit out of this.
If you decide to exchange the EUR/USD pair, you buy euros and pay with dollars, with the expectation that the euro will rise compared to the dollar. Therefore, if you bought each euro for 1.15 USD and you sell them back when they are worth 1.20 USD, that margin will be yours.
As you may have deduced, trading with currencies requires a large capital, because prices rarely increase that much, or using a lot of leverage, which you know is a risk. Our recommendation for those starting in the world of trading is to choose another market to begin with, since Forex is risky and complex.
eToro allows trading with the most common currency pairs but remember that in this market sales are always made through contract for differences, thus the underlying asset won't be yours.
How do Contracts for Difference Work?
If you already have been on eToro, you probably realized that the initials CFD appear frequently. Before we explain this further, you should know that CFDs on eToro are only possible when you short sell or use leverage over x2 (although this is not even available on the platform).
We will also explain concepts like leverage and “going short”, in case you are interested in day trading cryptocurrency or more advanced practices.
With CFDs you can bet on eToro even if you are “in red” or don't have a positive balance. In a hypothetical case: you believe that the Tron will go down, so you clearly think “if it is going to depreciate or go down in price, I'll just wait and bet when it has gone down”. But if you are pretty sure that it is going down, why not making some profits?
You can do that by “going short”. More or less, this is how it works:
- You get from a loan 100 units of Tron, which cost $ 5,000 (these numbers are imaginary)
- Next, you sell them at their price on the market, $ 5,000
- The Tron goes from $ 50 to $ 30 (as you predicted, the value decreases)
- You obtain the 100 units again, but their total current value is now $ 3,000
- Then you give back the 100 units
- The difference is yours, so, you will have earned $ 2000
It is really simple. Just consider that by trading in Tron on eToro, you can make a profit when you anticipate the price will fall.
eToro Interface
We said before that eToro is very easy to manage. Anyone can start using it without previous experience or long explanations.
If you are familiar with any of the most popular social networks today, you can perfectly use eToro's interface.
Now we are going to detail the registration process and the different sections of the eToro interface that you should know.
You will have to fill in some information requested when registering.
They will also ask you about your previous experience as an investor.
But don't feel intimidated. The only intention is to know more about you and determine which financial instruments they should suggest according to your knowledge and experience.
You will see a bar that says “incomplete profile” until you complete all the requested information.
Let's see what the different sections of the platform are.
With the “Set Price Alerts” tool, you'll be able to program an alert when an asset is at a certain price. Just click the tab and you will be able to set it. This is perfect in case you want to buy a security that is falling but you believe it will decrease more to a certain point.
The section “News Feed” allows users to interact and learn from each other by sharing their opinion and experiences.
“Instruments”, “People” and “CopyPortfolios” are within “Discover”. As we mentioned before, the six types of instruments on eToro are:
- Cryptocurrencies
- Exchange-Traded Funds
- Stocks
- Raw materials
- Forex
- Index funds
In “People” are all the profiles and historical performances of other users, and you can replicate their movements with just one click. This is where the “social trading” concept is best applied.
You can search for those users that best suit your interests: by risk level, types of instruments, average earnings… Just indicate the amount you want to invest and eToro itself will replicate the movements of the investor you selected, in proportion. “In proportion” means that if you put $ 1000 and the investor puts 10% of their capital in Amazon, eToro will also invest $ 100 of your money in the same asset.
In this section you will also find the three most popular types of CopyPortfolios, which are Top Trader, Market, and Partner.
Remember that in some cases, it might be preferable to copy from CopyPortfolios than to individuals, since you avoid putting all your eggs in one basket, or in other words, risk is more diversified. The portfolios are identified so you can recognize them easily: one about gaming, another about large drone companies, another about pharmacy … You think that a certain industry will prosper in the future? Then you will surely find a CopyPortfolio about it.