Seriously consider forex signals if you’re not yet trading profitably, have limited experience, or simply don’t have much time to devote to your forex currency trading.

From the easy one email a day variety to the forex mentor who sits with you all day holding your hand as you trade, a portfolio of forex trade alerts could be virtually free and may transform you into a profitable trader instantly.

If like us you’ve ever analysed a chart and placed your personal trades, you will probably have also sat before your screen wondering in the event that you were doing the proper thing.

Questions like “have I entered this trade too late ?” and “am I trading in the right direction (long when I will be short)” will certainly have entered your mind.

How many times perhaps you have wished you had an expert trader with decades of experience guiding your trades, keeping you out of dangerous trades, and pointing you towards trades with an increased probability of success ?

We were certainly in that position many times in the early days, but always imagined the cost of having an expert readily available would far outweigh any extra profits we may make. As it happens we were quite wrong.

There are many services available, known variously as forex signals, forex alerts, or forex tips.

Trading signals come in many different formats, suited to how much of your day it is possible to devote to trading. And yes beware, you can find loads of scams on the market too, but we’ll demonstrate how to prevent them, and we’ll direct you towards the better ones.

Forex Trading Signals – many varieties

The main characteristics of forex currency trading signals to understand are as follows;

Cost: Free OR monthly subscription
Complexity: Simple “one email each day” OR Full-Service
Control: You keep full control OR the signal provider trades your a/c for you
Trading style: e.g. frequent scalper OR low volume swing trader
A free forex signal may initially seem like a fabulous idea, but as we will reveal here, you may very well prefer to pay for a free of charge subscription service (yes, we realize that doesn’t seem sensible – but read on)
Most forex trading signals charge an extremely modest subscription fee, usually in the region of USD $80 – $400 per month (although happily the majority are at the lower end of the range), while there’s also websites which provide forex signals for no charge.

Within their simplest form a forex currency trading signal will send you a forex alert email once a day listing trade set ups for the next 24 hours.

A few of these are purely computer generated, some are computer generated and audited by a human expert, plus some are completely researched and generated exclusively by way of a human expert trader who may then add market commentary with their forex forecast.

Some forex currency trading signals are high volume scalpers, calling many trades in a day aiming to profit a small number of pips on each. Others only call several trades a day, looking to profit 20 – 80 pips on each single trade.

At the more full-service end of the market is the kind of forex signal service which provides you having an almost 24 hour a day live online broadcast calling forex currency trading tips as they occur, explaining the logic of the proposed trade and backing it up with an email or even a online video.

Some forex trading signals will even trade their signals in your own account for you, leaving one to just sit back and watch.
This is similar to what a robot does by using forex signal software, but with the added reassurance that it’s being done by a skilled intelligent human trader rather than dumb machine following an algorithm.

Think of full-service forex currency trading signals just like a forex TV station, that you’ve running in the background on your computer or internet connected laptop throughout your day. The broadcast remains quiet if you find nothing to do, freeing your time for the other priorities in your entire day, then demands your attention when there is a trade to put or manage.

You may be surprised, as we were, to discover that the costs charged by full-service providers are often nearly the same as those charged by the main one email a day providers.

This sort of service usually also contains an interactive facility, enabling you to send a message to 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)

On the basis that time is money, in our opinion how much time we can now spend on other activities by not slaving over our charts for hours searching for the perfect trade set up, not forgetting the improvement in our trading results, has a lot more than paid for the modest cost of the forex signal subscriptions.

Indeed if you apply this logic, subscription based services can effectively be free once you take into account the improvement in your trading profits, and the freeing of your energy for other profitable activities.

If you think about any of it, a subscription based forex signal service includes a built-in incentive to call profitable forex currency trading tips, as its subscriber base would soon evaporate if it didn’t provide profitable currency trading tips. “Free” non subscription signals do not have this incentive.

Manage your risk

In any aspect of forex currency trading your primary goal would be to manage your risk. Choosing, and trading a forex trading alert should be no different.

Even the best most experienced provider of forex signals will regularly have losing trades. However taken with all their winning currency trade signals the overall result should still be profitable, however, not all systems work constantly. Some forex alerts may even have a completely losing week or month.

However, we’ve found through our own experience that the best way of earning consistent profits with forex signals is to subscribe to several different currency trading signals and trade all their signals. If one of them is having an especially bad week, others should compensate but still net you a profitable week, or break even at worst.

Always do your due diligence before trading a provider’s forex alerts. Good forex signal services will publish their last 6 – 12 months results on the website. Some will even show you details of the actual trades they took. Expect to see losses as well as winners – that’s just the nature of trading. Indeed, if the outcomes show only winners, or the provider is unwilling showing you any results, or to provide contact details of some of their clients willing to provide a reference be alert.

Most will offer you some type of free trial or discounted special offer. Make sure that you clearly understand the terms of the offer and know the deadline by which you have to give notice to terminate if you’re not happy with the service provided.

If you compare the last 6 month’s results of all of the forex signal service providers you want to use, you should find that taken as a whole they delivered a profit.

Past performance is not any guarantee of future results, but we’ve found that if you have a good combination of trading styles in your trading signals portfolio you’re in with a fighting chance of consistent profits regardless of the market conditions.

Again, take into account the cashflow logic of what you will be doing here – the subscription costs of each forex signals service are already very modest, and by combining them you’re increasing your probability of consistent profits. They can’t all get it wrong constantly, and remember they are all incentivised by their membership to obtain it right as often as possible.

Despite having experienced traders calling your trades, it’s prudent risk management to never ever risk more than 3% of one’s initial capital on anybody trade, preferably only 1%. So, if for example your initial capital, (or to put it another way, the maximum you can afford to reduce) is let’s say 5,000, the position size you undertake each trade should be such that if the trade hit your stop loss, your maximum loss will be no more than 1% x 5,000 = 50.

Using forex signals as trade ideas

Even if you prefer never to follow forex ideas to the letter, it is possible to still benefit from their trade idea.

For example, if you receive a forex tip trading the GBP/USD long with a 40 pip stop loss, but on analysing the charts (following your attendance on a forex program) you feel convenient placing the stop loss let’s say 63 pips below entry, giving the stop protection below a visible section of recent and prior support, which happens and to be below the weekly pivot point, and in doing so are happy to possess a longer range target – then go on and do so.

We were surprised to find that when we did exactly this with one of our forex signals’ tips our trades actually performed much better than theirs did. Two heads better than one maybe.

The main point is though, that without the forex market forecast drawing our focus on that particular chart at that particular time we would do not have seen that trade idea.

This also makes the point that while it may initially seem temping to let a sign provider trade your take into account you, if you have the time you may actually prefer to control it yourself.

If you have experienced a good forex training course and understand the concepts of support, resistance, pivot points, trends etc you should always use this knowledge to execute your own homework on forex alerts. You might well find once we did that you can improve the overall performance of your portfolio of forex trade recommendations.

Free forex signals

This section would not be complete without reference to forex signals providers who don’t charge any subscription fee.

As we mentioned above even subscription charging services should be effectively absolve to you by virtue of calling enough profitable trades to more than cover the subscription cost.

non repaint forex indicator In addition we would rather use subscription based forex signals as they have a motivation to consistently call profitable trades, for the reason that their subscribers won’t stick with them for very long if they don’t.