How to invest in Tesla from Egypt

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👌Difficulty Low
☢️Commissions Zero
💲Minimum deposit 200$
🪙Instruments: Stocks like Tesla, crypto, forex, commodities
⚖️Regulated by: Cyprus Securities and Exchange Commission (CySec), United Kingdom's Financial Conduct Authority (FCA), Australian Securities and Investments Commission (ASIC)
🌐 Official website: www.etoro.com *
* Your capital is at risk.

How to buy

For those who live in Egypt, the best way to invest in Tesla shares is, definitely, this popular broker.

eToro*, one of the main brokers around the world, is registered and licensed, among others, by the United Kingdom's Financial Conduct Authority (FCA).

We recommend eToro because you can create an account for free with this broker, and its fees for trading online are very low. Besides, eToro is available in your language, accepts users from Egypt, it is really easy to manage, and its friendly interface is ideal for those who are starting to trade with cryptocurrencies and stocks.

How to sign up, step by step

The first thing you need to do is click here and fill in the fields on the right: enter your name, email, and set a password.

Then check your email inbox: you have received an email from eToro, click on the link and your account will be verified.

Once on eToro, you just have to click on “Deposit funds”, in the page menu.

There, you can choose how much money you want to add to your account (the minimum is $ 200) and the payment method:

As you can see in the image, the first deposit can be made by credit card, PayPal, or bank transfer.

How to make your first trade

As soon as eToro has confirmed the receipt of your credit, you just have to search for “Tesla” in the search bar, click on “Invest” and choose the amount in dollars you want to invest.

*67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. Your capital is at risk.

About Tesla

By now, absolutely everyone is aware that the world is moving towards the use of renewable energies and non-polluting mechanisms. And Tesla is the most successful and outstanding company in this transition.

Tesla was founded by Elon Musk, together with two partners, in 2003 with the aim of designing, manufacturing and selling electric cars. It is precisely for the manufacture of high-performance electric vehicles that the company is best known.

However, Tesla also produces parts for electric cars that it sells to other brands, solar panels and batteries that can supply electricity to a house. To this we must add that Tesla's business model encompasses all processes from manufacturing to delivery to the customer.

Therefore, we can find that Tesla, although headquartered in California, has from several huge factories distributed in the United States to its own Tesla dealerships and specialized service centers. In addition to projects already underway in Europe and China.

What can we expect from Tesla in the future?

Being a technology company, Tesla will always go down the path of innovation, constantly improving its existing products and developing new ones. And this behavior can be observed by studying the path taken by the company since its founding.

The first vehicle marketed by the company was the Tesla Roadster, unveiled by the company in 2006. Being its first delivery in 2008 with a value of 109 thousand dollars and with a range of 322 km for a two-seater car.

Since then it has advanced to the model Y, which offers a vehicle with 5 to 7 seats and with a range of up to 480 km at a cost ranging from 39 thousand dollars. This is not to mention the projects that Tesla has underway, with which it promises us great advances.

If you are wondering how it is possible to improve quality and lower costs, the answer is only one: innovation.

Finally, Tesla's progress is also reflected in its stock market price since it made its appearance in 2010 at $17 per share, up to the values we have today. Therefore, Tesla must be taken into consideration when investing.

Reason for using this broker , for these reasons:

  1. It's really straightforward and manageable
  2. You are able to copy investment tactics
  3. You can short sell
  4. Leverage is allowed
  5. There are lots of products you can invest in

Go to the official page in English: www.etoro.com *

You should consider eToro in case you are thinking about investing in Tesla from Egypt.

“Social trading”, a relatively new investment method that consists in replicating techniques and strategies from other experienced investors, has become trendy thanks to eToro.

eToro is very useful if you are still a novice user in trading. You can rest assured that you are doing a smart investment move when replicating those from subjects with a great deal of expertise. Oppositely, if you are an expert in the field willing to share your techniques with other traders, eToro pays up for it.

Another advantage is how easy the interface is, which turns out perfect for new users that are just learning all about the trading world.

About Contracts for Difference

You probably have seen the term CFD more than once if you already accessed eToro. Before we explain this further, you should know that cryptocurrency trading on the platform is only CFD if you go short.

We will also refer to concepts like short-selling and leverage, in case you are thinking about day trading cryptocurrency or other more advanced practices.

eToro allows you not only to bet when you are “in the black”, but with CFDs you can also bet “in red”. Let's say that you believe that the Tesla will go down, so perhaps it is obvious to think “if it is going to depreciate, I'll simply wait until it does”. However, if you really consider that it's going down, why not take advantage of that?

You can accomplish that by “going short”. Here's how it works ,roughly:

  • You ask someone to lend you, for instance, 100 units of Tesla, which total value at that moment is $ 5,000 (obviously, these numbers are made imaginary)
  • Then, you sell them at their current price, $ 5,000
  • The Tesla devaluates from $ 50 to $ 30
  • You obtain the 100 units again, but at their current price, $ 3,000
  • You return the 100 units
  • You will have made $ 2000, since you keep the difference

Consider that it seems much more tricky than how eToro CFDs actually work: we can summarize this whole operation by saying that by trading in Tesla you can also make money if you anticipate it will fall.

How to use eToro

We mentioned before that eToro is very easy to manage. Anyone can start using it without having to read endless explanations.

You won't have any issues with the interface if you have used any other social network.

Now we will walk you through the sign-up process and the sections of the page that you should familiarize yourself with.

You will have to provide some personal information (like full name or address, for instance) when registering.

To complete your registration, you will have to answer some questions about your experience as an investor.

But don't feel intimidated, there is no right or wrong answer. The objective is to know more about you and be clear about which financial instruments they should recommend according to your knowledge and experience.

Let's get to know the fundamental sections of the platform.

“Set Price Alerts” allows you to put alerts on the price of certain assets. It is a very useful tool for when you want to purchase a security which price is decreasing, but it seems to you that it has not finished falling yet.

In “News Feed”, traders interact and share opinions, tips, and other valuable information.

In “Discover” you will find: “Instruments”, “People” and “CopyPortfolios”. As we mentioned before, the six types of instruments on eToro are:

  • Cryptocurrencies
  • ETFs
  • Shares
  • Raw materials
  • Currencies
  • Index funds

In “People” are all the profiles and historical performances of other investors, and you can replicate their strategies with just one click. This is where the “social trading” term is best applied.

You can search and find users according to your interests. When you choose an investor and indicate how much money you want to invest, eToro will automatically replicate their movements, proportionally. If you invest $ 1000 and the trader puts 20% of their funds in an asset, eToro will also invest 20% of your money in the same asset, in this case, $ 200.

You will also see the CopyPortfolios divided into three main kinds: “Top Trader”, “Market” and “Partner”.

fondos
Remember that in some cases, it might be better to copy from CopyPortfolios than to other users, because the former offer more diversity. There are all kinds of portfolios that you can identify easily and are classified by sectors. Therefore, in case you suspect a specific sector, such as fashion or healthcare, has good chances to succeed, you can find that specific portfolio and invest in it.

What is social trading?

The first platform that thought of trading as a social activity was eToro, and the idea spread like wildfire. Other brokers have also adopted this concept, but we have tried them all and eToro is way better.

But they didn't limit themselves to transferring the logic of the social network to the trading world. They could have made the umpteenth social network in which users talk about investing, but they wanted much more: the major contribution of eToro was to allow traders to imitate the moves of skilled investors, and to reward them latter for their ideas.

When you access eToro you will see in the menu on the left the options “Copy People” and “Invest in CopyPortfolios”.

CopyPortfolios

“CopyPortfolios” contain a collection of financial assets of a certain sector. For example, if you consider that a particular sector will succeed in the near future but you don't know which stocks to invest in, you just have to choose a portfolio that includes a variety of related companies in that industry.

CopyPortfolio has generated a 100% profit in the last twelve months, and the only thing you have to do to benefit from it is to click on “Invest”, enter the amount, place the stop-loss and wait.

Copy People

But it is also possible to copy other successful traders of the platform. It is really simple: you can find them with “Copy People” and just duplicate their moves.

In each user profile, you will see their risk profile (how much risk do they take), their performance history, and the type of assets they operate: currencies, cryptocurrencies, commodities, shares….

Replicating strategies from others can be very interesting and helpful, but I also suggest taking advantage of the platform's community to read other users and learn from their experience. If you wish to end up living from trading, it is a great place to gain valuable knowledge.

Trading strategies

You can trade cryptocurrencies using several methods: from purchasing and waiting to day trading (taking advantage of market volatility).

In case you don't have much experience trading, I suggest a middle point: placing a dynamic stop-loss (15-20% under the highest price) and wait for it to work.

Therefore, if for example you purchase a cryptocurrency at $ 10, it goes up to $ 20 and then decreases to $ 12, your position will be closed at $ 16-17 and you will have made a decent profit.

It may sound way better to sell when the cost is at its highest, but unless you're clairvoyant, that is not possible. The mentioned strategy is much more realistic and it can give great results.

Later on, you will be able to apply more sophisticated techniques, such as using leverage or going short.

What is leverage

If you haven't heard about the term “leverage”, we'll put it short. When trading, it's the capacity of enlarging your investment without putting more money. For example, if you start with $ 100 and you use x2 leverage, you will be investing $ 200.

Everything you need to know about leverage

Let's say that you are sure that Tesla will raise its price, and you consider “going long, but you only have $ 1,000 available. However, it is possible to put more money and get higher profits.

There's the possibility of asking for a loan, but it is a process that takes time, and when you receive the money, Tesla might be already at a much higher price, so you wouldn't be able to invest the way you planned.

Using leverage, you can obtain that amount of money with two clicks. It's exactly like borrowing money, but much better: you will get it from eToro, which allows you to invest much more than you have on the platform. As in the image below, you will see the different options you have:

apalancamiento

Within other markets, you can use more leverage. Why? Because cryptocurrencies usually represent medium-long term investments, and leverage is used mostly for day trading or short-term operations. Let's talk a bit more about how leverage works:

  • If you want to invest $ 1,000 and you use leverage x2, you will be starting with $ 2,000 (remember that$ 1,000 are a “loan” from eToro). 
  • A few days later, Tesla price does increases, as you thought, and now the cost of your investment is $ 2,400 (20% higher), so you decide to sell back because you want to play it safe. 
  • Once the $1,000 from leverage is deducted, you will have $ 1,400 left; which means the net profit is $ 400, since the other $1,000 was yours initially.

By starting with $ 1000 and getting $ 400, you'll be earning 40% of your investment. That is pretty good.

Still wondering where the catch is? The thing is, you can also lose money. If everything goes as planned, you will make more money in less time; however, if the value of the asset decreases, you will also lose more in less time.

Let's say that the price didn't increase by 20%, but it went down also by 20%, you won't lose $ 20 but $ 40, because of the leverage. That is why the terms “Take Profit” and “Stop Loss” are fundamental when trading with leverage.

Take Profit is used as a form of reducing risks when trading. When you enter, you can set a profit limit and ask that your position is automatically closed when the asset reaches a price. 

If you purchased Tesla shares at $ 100, you can ask eToro to close when it reaches $ 120. That way, you make sure you won't be blinded by greed and decide to wait a bit longer in case it keeps going up, which could make you lose it all.

Also, if you use leverage you absolutely need to place a Stop Loss order (take into account that any small loss is greater with leverage). That is why it is essential to set a Stop Loss lower than that suggested by the platform.

Common questions

How much is the minimum investment in Tesla?
You can invest as low as 200USD.

When will I be able to withdraw my money?
Whenever you want. Simply end your Tesla trade, click on “Withdraw Funds” and you will receive the money very soon.

What payment methods are accepted?
Available payment methods are: PayPal, Bank Transfer, Credit Card, Rapid Transfer, Klarna / Sofort Banking, Neteller and Skrill

* Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Disclaimer: 67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.