SwipeStox Review – Our Independent and Professional Opinion
In this SwipeStox review we will professionally look through one of the most interesting newcomer in the world of Social Trading.
SwipeStox in fact proposes a Social Trading model in some way innovative.
In this independent SwipeStox review you will find:
- SwipeStox Corporate and regulations Data
- How SwipeStox works
- How the SwipeStox Social Trading and Copy Trading models work
- Our overall opinion of SwipeStox and its functions
- Pros and Cons of SwipeStox
What is SwipeStox
SwipeStox is a mobile social trading app for Android and iOS.
With the SwipeStox app, users can participate in a social network made up entirely of traders and investors.
In addition to this, by connecting your account or opening a new one, traders can trade directly from the app.
The methods by which users can trade, and the particularity of the SwipeStox social trading service (similar to Tinder in some ways) make this app really interesting.
Today SwipeStox offers not only a mobile app, but also a web platform in beta version, in order to better serve all the needs of its users.
However, the mobile presence is certainly its main selling point.
Company and regulatory information of SwipeStox
SwipeStox GmbH is a German company based in Hamburg, founded by Benjamin Bilsk, Wladimir Huber, Yasin Sebastian Qureshi and backed by a leading venture capitalist society, the Naga Group, founded by Yasin himself.
SwipeStox, besides the headquarters in Hamburg, has other offices in London and Sarajevo.
To offer its financial services, SwipeStox has been mainly supported from the broker Hanseatic Brokerhouse, based in Cyprus and regulated by the CySEC with license 204/13, and in accordance with both MiFID and EMIR.
However, SwipeStox is a platform for the interconnection between brokers, and today the number of brokers who support the SwipeStox Social Network is constantly growing.
Obviously, each broker has its own rules and certification.
Among the main supported brokers you can find:
- BlackBull Markets
As repeatedly stated on the site, SwipeStox is continually working to increase the number of brokers connected to its platform.
So, if now your broker is not yet present, there are good chances that it will shortly.
In any case, you can open a new account with each broker already supported.
Review of SwipeStox Mobile app for Android and iOS
Many calls SwipeStox the Tinder of Social Trading, and in some ways they are right.
In fact, SwipeStox took inspiration from the concept of Tinder and the left or right swiping to indicate whether we like something or not.
The difference is that here we do not evaluate people, but the trades of other traders.
What you can do with SwipeStox
With SwipeStox you can access a screen where you will see, one at a time, the open positions of other traders, with all the relevant parameters, the current performance and of course the name of who has open that position and why.
Every trade must necessarily be opened with a level of Stop Loss and a Take Profit.
This makes very easy to quickly see the Risk/Reward parameter of each trade, so that you can properly evaluate it.
At that point, if that trade interests you, and you want to save it on a watchlist to further check it later, all you have to do is swipe it right. If you are not interested, swipe it left, and move to the next one.
You can even directly copy all the trades that pass in front of you, and open them on your trading account. The price obviously will not be the same at which the trader has opened it, but thanks to a visual indicator you’ll understand in a second if the current price is close or not to the original price.
Essentially, SwipeStox is a kind trading ideas incubator to which each user can tap into at any time.
In addition, SwipeStox automatically learns to recognize your preferences according to your behaviour, to quickly bring you trades that are more and more related to your interests.
What you CAN’T do with SwipeStox
SwipeStox does not include an Automatic Copy Trading System (But we’ll see shortly what you can do with CYBOs).
This means you can’t select a trader and automatically copy each new operations in your account.
The platform works as a social network and a kind of trading facilitator.
This absence of an automatic copy trading function can seem like a very bad thing, but actually it also hides a very positive benefit.
Later we will see why.
Practical example of using SwipeStox
Imagine you want to trade but you have absolutely no ideas, or maybe you have some thoughts about buying or selling something, for example, USD/JPY, but you don’t know how.
SwipeStox, in this case, may have a solution. By swiping among open trades, every time you find an open trade on USD/JPY, you can swipe it right and save it in the provisional Watchlist.
After you have collected some, you can focus on your watchlist and you can then:
- Double check one by one all those trades on USD/JPY
- See the parameters with which they have been opened (risk/reward, stop/profit levels, etc)
- Read or watch a video in which the trader explains why he opened that trade on USD/JPY
- Check past performance and experience of the trader
- If, at the end, you find a trade on USD/JPY that inspires you, you can click the Copy button, and open it on your own account by choosing the investment amount you want to use, according to your capital.
An important factor is that the SwipeStox algorithms automatically learns from your preferences, from the trades you like and the traders you choose to follow.
This means that, with time, the trades that will be submitted to you will be more and more focused on your interests.
SwipeStox Social Network
Each user has his own personal profile.
In this profile, the user can introduce and talk about himself, about his strategy, sharing posts, videos and links to other content and, in general, interact with all the other members of the network as he would with a real social network, with the possibility of giving like, comment, and tag other users.
In addition, as a true Social Network, you can click the “follow” button and follow every trader, adding it to your traders feed like you would with Twitter.
SwipeStox focuses a lot on the participation of its members and the interaction between them within the community, and that is why they have created features like the Trader Radar.
SwipeStox Trader Radar feature
Every trader can decide whether or not to activate his location system.
In this way, thanks to the Trader Radar feature you can even check if around you there are other traders who are operating on SwipeStox, and decide to contact them or follow them.
Accuracy of data on Performance
In addition to all the social features, the profile is the place where you can observe and evaluate each trader’s performance.
Within each user’s profile there’s a Statistics section where you can find:
- A chart of the account balance
- P&L data
- ROI Data
- Data on the number of executed trades
- Data on Risk/Reward values
- Data on average duration times
- Data on winning percentage
- Data on Max Drawdown
Overall, we must say the data available are not too few, and at least they allow you to get an idea of the effectiveness of the trader’s strategy.
However, since we are very interested in the opportunity to deepen as much as possible the data of a trader’s performance to understand as many aspects of his strategy as possible, we believe that a lot can still be done to improve the usability and the depth of data, especially in terms of charting tools and drawdown analysis.
Despite this, considering it’s an app developed and used almost exclusively on mobile, the level is still good.
Trader Ranking and Trader Search Tool on SwipeStox
In addition to viewing trades in “swiping” mode, SwipeStox provides a real ranking of the best active traders within its network.
The ranking is interactive and filterable according to different parameters, so you can more easily find the traders in accordance with the parameters you are most concerned with.
- Best ROI
- Best P&L
- Best copier
- Most copied
- Best ROI on FX
- Best ROI on CFDs
- … And other
Moreover, there are time filters (today, last week, last month, the entire period), in order to further narrow the research.
Considering, however, that the SwipeStox platform is mainly used via mobile (where the tools cannot be too complicated because of space and usability issues), the level is still good.
Swipestox Web Platform Review
SwipeStox, unlike the vast majority of its competitors, was developed exclusively as a smartphone app, without any web platform, let alone a desktop platform.
But now, given the great rise and the growing number of customers, SwipeStox has decided to expand its technology and integrate a web platform.
With the SwipeStox web platform (currently in Beta) you can access all the functions of the smartphone app, but with the convenience of a PC screen.
The main difference can be found in the actual trading chart.
In the mobile app you can only see a simple price chart, the sentiment data obtained from the current user positions, and you can just change the time frame and little else.
In the web version instead you have access to a real trading platform, with the ability to use the classic charting tools (trend line, etc) as well as the main technical analysis indicators.
We must said though that the platform is very basic and it lacks many of the advanced tools often used by the most professional traders.
However, it has other strengths, in fact by exploiting the sections of the top of the screen, you can quickly switch to the News related to that particular instrument you are looking at, and to the Social activity, which is anything the community is doing or saying about that particular instrument.
With such a platform, it becomes very convenient to observe a chart, quickly evaluate the possibility of volatility during the day with the News section, and then go to the Social section to see what the community is doing, if someone is opening positions, of course with the possibility to copy them.
In conclusion, it’s a good product that can definitely be improved but that already shows some good points on its favour.
SwipeStox MT4 Plugin
SwipeStox has also implemented a solution for those traders who don’t want to give up the use of the Metatrader 4.
It works by installing a Plugin on your MT4. The plugin is nothing more that an Expert Advisor through which you will login on your SwipeStox profile with your credentials.
At that point, any position you will open on your MT4, provided you immediately set a Stop and a Profit, will also be published in the SwipeStox platform.
To date, this plugin can only be used with these brokers:
- ONE Financial Markets
- BlackBull Markets
- BD Swiss
- Portex Markets
Most probably, the number of brokers will increase in the near future.
What is SwipeStox CYBO
The CYBO is another absolute innovation that SwipeStox is trying to implement on their already innovative platform.
- Imagine having on your side someone who knows you well, who knows how you like to invest, your risk tolerance, the instruments you like, the time frame.
- Imagine then that this person can monitor SwipeStox 24/7 and he knows who are the best traders that trade very similarly to your preferences.
- Finally, suppose that, whenever these traders open a new position, this person will check it to see if it meets certain quality parameters, and if so, it will copy it for you on your account.
- Finally, imagine that this person knows how to balance the opening of new trades, putting into practice a diversification and money management strategy.
In conclusion, this is what a CYBO does.
A CYBO is defined as an AI operating not through specific rigid parameters, but according to your preferred guidelines.
In fact, at the time of the creation of a CYBO you will be asked to answer a series of questions to understand your preferred behaviors, both in the case of profits and losses.
Why are they so interesting?
As we said before, SwipeStox does not provide an automatic Copy Trading System, intended as an automatic replication of all the operations executed by specific traders.
But with CYBOs you can get something very similar, perhaps even more interesting in some ways, given that, in one fell swoop, you can replicate only those the AI consider to be the best trades of the best traders, thereby automatically implementing a diversification strategy.
The great thing is that they can also be tested in demo.
It is therefore worthwhile to subscribe to SwipeStox just to try this new technology.
SwipeStox Demo Account
SwipeStox offers the opportunity to sign up and try the platform with a demo account.
The demo account will be opened with $ 100,000 of virtual money.
All functions are totally identical to those of a Live account, however, the number of available CFDs is very limited compared to the Live platform.
In addition, we must make another clarification.
Notice to demo Users and Signal Providers
With a demo account you can view, follow, interact, copy and be copied only by other demo users.
Also in the ranking you will only see the leaders who are working with a demo account, and not those with real accounts.
Similarly, you can copy only demo trades, and your demo positions can only be copied by other demo traders.
In practice, there are two types of separate community, that of live accounts, and that of demo accounts.
This leads us to another topic many users are interested about.
Compensation Scheme – How traders make money
It should be pointed out first that with SwipeStox every active trader can be copied and earn bonuses (clearly the monetary bonuses are only for the live accounts).
There is no need to subscribe to specific programs for Signal Providers or Gurus. Since you’ve opened or connected to your Live account and you begin to operate, by personally opening your trades or copying them from others, you can be copied in your turn, and then earn some extra money.
How and how much can you earn?
Bonuses are calculated based on the volume of the positions with which other users have copied your trade.
SwipeStox pay $ 1 for each standard lot volume of copied trades.
As an example, if you open a trade on EUR/USD, and another user copies your trade by opening it with a $ 100,000 Lot Size (i.e. 1 Lot), SwipeStox will pay you $ 1 of bonus.
Obviously, the calculation works even by summing all the lot size of all the traders who have copied your operations.
If 10 traders are copying your trade with a lot size of $ 10,000 each (1 mini lot), you have again reached the target, and SwipeStox will pay you $ 1.
What are the risks with this compensation system?
In a platform with an automated copy trading model (like with ZuluTrade), this system can unfortunately cause some risks.
Essentially, traders who earn this way are encouraged to open more trades, because every operation is automatically replicated on the accounts of their followers. It becomes easy though to earn bonuses once obtained some copiers. The problem is that many times this causes non-professional and risky behaviours of the signal provider.
However, this is not the case with SwipeStox.
Not having an automated copy trading system, the risk does not exist.
Traders who want to be copied can only aspire to work with quality and precision, in order to get more visibility and thus get more bonuses.
How SwipeStox make money
How does SwipeStox earn?
SwipeStox is a service provider and an Introducing Broker (IB).
In practice, the job of SwipeStox is to connect with each other all the different brokers used by the users.
Each broker pays SwipeStox a small percentage of the revenue generated by each new position open by their customers through SwipeStox.
Overall InvestinGoal opinion on SwipeStox
SwipeStox is a relatively young company, but it has been able to quickly rise to prominence. This is necessarily an sign of quality. The mobile app, their biggest strength, is definitely a great, solid and functional product.
The SwipeStox community is very active, and interacting with it is easy. For those interested in social trading and in trying to harness the wisdom of the crowd, this app is definitely a good solution.
The new CYBO technology is absolutely to be considered and monitored, and it will be interesting to see the results it will be able to generate over the medium to long term. In addition, CYBOs can become a great solution for those who want to exploit an Automatic Copy Trading solution, since with the normal use of SwipeStox it is not possible (you can only manually copy the other investors’ trade).
The “swipe trading” concept proposed by SwipeStox, with its Tinder-style function, is certainly interesting. However, all the beginners, who are about to begin with a live account, must be very careful. The risk is to get caught by the desire to swipe and open trades, not for a logical or strategic factor, but just for fan (which is very risky).
Even this function can still be useful, but in our opinion you need to, first, give time to the SwipeStox algorithms to learn your preferences and propose the most appropriate trades (and it takes some time), second, give yourself time to discover and know the best traders to copy from.
That said, for those who want to participate in a very active social trading community, and maybe get in the game trying to win all the different bonuses made available, SwipeStox is definitely a good solution.
SwipeStox Pros and Cons
- Good and solid App
- User friendly
- Unique Social Trading concept
- Compensations scheme that minimizes the risks of bad behaviours
- Demo Users separated from real
- CYBO Technology
- Many options and features that create a bit of confusion
- Few brokers that allow MT4
- Risk of “trading for fun”
- Basic Web Trading platform