Is Using Automated Forex Signal Services A Good Idea?

There are many ways to trade on the currency market and using automated forex signal services is just one of them.  best forex signal service To establish whether or not it is right for you, it is important to realise a few of these services and see if they fit into your criteria. In this article we will look at what roll these services can play and how to test their performance.

There are different methods of receiving forex signals; in an email, SMS alert or directly into your MT4 platform. The service that you require depends on the amount of involvement that you wish to have in your trades. If you want to have full control over the trades that are actually filled on your brokers platform, you have access to your platform 24 hours a day then email alerts or SMS might well be for you. This type of service is usually cheaper and is a good way to get started.

If you would prefer to completely automate your trading system and have a hands free investment then going for the trade signals direct into your brokers account would be the better option. Of course with this option you will not get the chance to stop trades from being implemented, although you could change or exit them if you wished.

If you are going to go with the complete automated option then you will want to test the signal provider first to make sure that their performance is going to hold up in your account. Most of these providers will come with some kind of sales page informing you of how much money you can make with all kinds of back testing results. Back testing is a great way for EA developers to adjust their setting but one must remember that they are tested on previous data and adjusted to fit these scenarios. It does not mean that these settings will work on future performance.

It is best to see live results that are verified by an independent body. Fx Books and MT4i are two reliable companies that will verify a traders’ results. This means that they are not tampered with in any way and are true results, not photo shop edited versions of an accounts logs. The more transparency you get from a company with their results the more likely they are to be a provider of a genuine trading system. A monthly subscription service is also an indication that the signal provider has reliability as they are going to ensure consistent results in order to keep you subscribed. Look for a refund policy if the signal performance is poor. A good example would be an offer of a refund if the signal provider losses money over a month period.

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