Seriously consider forex signals if you aren't yet trading profitably, have limited experience, or perhaps don't have much time to devote to your forex trading.
Through the simple one email per day variety to the forex mentor who sits with you all day holding your hands as you trade, a portfolio of forex trade alerts can be virtually free which enable it to transform you into a profitable trader instantly.
If like us you've ever analysed a chart and placed your own personal trades, you will almost definitely have also sat before your screen wondering should you be doing the right thing.
Questions like "have I entered this trade too late ?" and "am I trading the right direction (long after i should be short)" will surely have entered your mind.
How many times have you wished you possessed an expert trader with decades practical experience guiding your trades, preventing you out of dangerous trades, and pointing you towards trades with a higher probability of success ?
We had arrived certainly in that position many times in the early days, but always imagined the expense of having an expert readily available would far outweigh any other profits we might make. As it turns out we were quite wrong.
You'll find so many services available, known variously as forex signals, forex alerts, or forex tips.
Trading signals are available in a variety of formats, worthy of how much of your day you are able to devote to trading. E-mail beware, there are loads of scams around too, but we'll explain to you how to avoid them, and we'll direct you towards the better ones.
Currency trading Signals - many varieties
The key characteristics of foreign currency trading signals to be aware of are listed below;
Cost: Free OR monthly subscription
Complexity: Simple "one email a day" OR Full-Service
Control: You retain full control Or even the signal provider trades your a/c for you
Trading style: e.g. frequent scalper OR low volume swing trader
A free of charge forex signal may initially seem like a fabulous idea, but because we will reveal here, you could very well prefer to purchase a free subscription service (yes, we all know that doesn't make sense - but please read on)
Most forex trade signals charge an extremely modest subscription fee, usually approximately USD $80 - $400 each month (although happily most are at the lower end on this range), while there are also websites which provide forex signals with no charge.
In their simplest form a forex currency trading signal will send that you simply forex alert email once a day listing trade set ups for the following 24 hours.
Some of these are purely computer generated, many are computer generated and then audited by a human expert, plus some are completely researched and generated exclusively by way of a human expert trader who will add some market commentary for their forex forecast.
Some forex currency trading signals are high volume scalpers, calling many trades in one day aiming to profit a small number of pips on each. Others only call a couple of trades a day, hoping to profit 20 - 80 pips on each single trade.
In the more full-service end from the market is the type of forex signal service which supplies you with an almost 24 / 7 a day live online broadcast calling forex currency trading tips as they occur, explaining the logic in the proposed trade and backing it up with an email or maybe a video clip.
Some forex currency trading signals will even trade their signals in your account for you, leaving you to just sit back and observe.
This is similar to exactly what a robot does by making use of forex signal software, but the added reassurance it is being done by a skilled intelligent human trader as opposed to a dumb machine following an algorithm.
Think of full-service forex trading signals like a forex TV station, there is running in the background on your pc or internet connected laptop throughout your day. The broadcast remains quiet when there is nothing to do, freeing your time and energy for the other priorities with your day, then necessitates your attention when there is a trade to place or manage.
You may well be surprised, as we were, to find that the prices charged by full-service providers are usually very similar to those charged with the one email each day providers.
This type of service usually also includes an interactive facility, making it possible to send a message in your forex mentor if you have a question.
Many forex signal services have very loyal memberships, plus some even limit the quantity of members they will accept.
Free forex signals (virtually)
Because that time is money, in our opinion the amount of time we can now devote to alternative activities by not slaving over our charts for hours searching for the perfect trade build, not to mention the improvement within our trading results, has a lot more than paid for the very modest price of the forex signal subscriptions.
Indeed in the event you apply this logic, subscription based services can effectively be free when you take into account the improvement in your trading profits, and also the freeing of your time for other profitable activities.
If you believe about it, a subscription based forex signal service includes a built-in incentive to call profitable forex currency trading tips, as its usage would soon evaporate if it failed to provide profitable forex trading tips. "Free" non subscription signals don't have this incentive.
Manage your risk
In any aspect of forex trading your main aim is to manage your risk. Choosing, and trading a foreign exchange trading alert should be no different.
Every most experienced provider of forex signals will regularly have losing trades. However taken effortlessly their winning currency trade signals the complete result should still be profitable, but not all systems work every time. Some forex alerts could even have a completely losing week or month.
However, we have found through our own experience the best way of making consistent profits with forex signals is to subscribe to several different foreign exchange trading signals and trade their signals. If one of which is having a particularly bad week, the rest should compensate and still net you a profitable week, or break even at worst.
Always do your required research before trading a provider's forex alerts. Good forex signal services will publish their last Six to twelve months results on their site. Some will even explain to you details of the actual trades they took. Expect to see losses as well as winners - that's exactly the nature of trading. Indeed, in the event the results show only winners, or provider is not wanting to show you any results, or provide contact details of some of their clients willing to give you a reference be on your guard.
Most will provide some sort of free trial or discounted special. Make sure that you clearly comprehend the terms of this offer and have in mind the deadline by which you need to give notice to terminate discover happy with the service provided.
In the event you compare the last 6 month's outcomes of all the forex signal companies you intend to use, you must find that taken as a whole they delivered a profit.
Past performance isn't guarantee of future results, but recommendations that if you have a good combination of trading styles in your trading signals portfolio you are in with a fighting probability of consistent profits regardless of the market conditions.
Again, consider the cashflow logic products you will be doing here - the subscription costs of each one forex signals service happen to be very modest, through combining them you are increasing your probability of consistent profits. They can not all get it wrong constantly, and remember they are all incentivised by their membership to get it right as often as possible.
Even with experienced traders calling your trades, it's prudent risk management to never ever risk more than 3% of the initial capital on any one trade, preferably only 1%. So, if for instance your initial capital, (as well as to put it another way, the absolute maximum you can afford to lose) is say 5,000, the positioning size you take on every trade should be so that if the trade hit your stop-loss, your maximum loss would be no more than 1% x 5,000 = 50.
Using forex signals as trade ideas
Even if you prefer not to follow forex tips to the letter, you may still profit from their trade idea.
For example, if you receive a forex tip trading the GBP/USD long which has a 40 pip stop loss, but on analysing the charts (following on from the attendance on a forex training course) you feel more comfortable placing the stop loss let's say 63 pips below entry, giving the stop protection below an evident area of recent and prior support, which happens and to be below the weekly pivot point, along with doing so are happy to have a longer range target - go right ahead and do so.
We were surprised to find that when we did exactly this and among our forex signals' tips our trades actually performed superior to theirs did. Two heads much better than one maybe.
The point is though, that with no forex market forecast drawing our awareness of that particular chart as well particular time we would never have seen that trade idea.
This also makes the point even though it may at first seem temping permit a signal provider trade your for you, if you have the time you could possibly actually prefer to manage it yourself.
If you have been by way of a good forex training program and understand the concepts of support, resistance, pivot points, trends etc always use this knowledge to complete your own due diligence on forex alerts. You could possibly well find even as we did that you can improve the overall performance of your portfolio of forex trade recommendations.
Free forex signals
This part would not be complete without reference to forex signals providers that don't charge any subscription fee.
Even as mentioned above even subscription charging services should be effectively free to you due to calling enough profitable trades to over cover the subscription cost.
Furthermore we prefer to use subscription based forex signals while they have an incentive to consistently call profitable trades, because their subscribers won't keep with them for very long should they don't.
Free signals in comparison have no such incentive, so quote and trade them at the own risk.
Last updated 302 days ago by forexsignal30