6 Tips to Help You Pick the Best Forex Signal Service

6 Tips to Help You Pick the Best Forex Signal Service

If you are a struggling Forex trader, chances are that you are looking for a way out of your trading misery. You are not alone. 9 out of 10 Forex traders are brazen losers. Over half of those will eventually quit.

Therefore, it is understandable if you are. And we are happy to tell you that there are indeed tools to help you out of your challenge. However, you will have to make your choice. One out of those tools is signals.

Forex signals have grown in use in recent years. Perhaps, their surging popularity can be attributed to their effectiveness. Thanks to them, many erstwhile Forex losers have now become winners!

Maybe now is the time for you to join on the train, too. The following tips will help you pick the best Forex signal service that will help you to achieve your trading goals.

  • Check for its success rate

The first metric to evaluate a signal service is the profitability of its signals. Of the signals it generates and sends out every day, how many wins? How many lead to losing trades?

Most providers measure the success of their signals by their winning rate, which is the percentage of their trades that result in gains compared to the number of those that they lose.

You should watch out for that. Signal companies put those statistics on their websites, so they should be easy to find.

  • Find out if its results are independently verified

Even though profitability is the most crucial point on which you should assess a signal service, you must, however, exercise some caution. Be skeptical of outrageous claims. For example, any provider that promises a 96 per cent winning rate, for example, should be placed under your skeptical lens.

Except if its claim has been independently verified by any of those credible agencies that monitor and report the trading performances of signal providers. Some examples of these agencies are MyFxBook and FX Blue.

Independent monitoring is the litmus test for ascertaining the profitability of signal services. Else, you might just want to be rigorous, on your own, in your doubting of any of them that posts suspicious results. 

  • Does it offer chart analyses and trading research?

A sound Forex signal service should be genuinely committed to its subscribers’ success. It can show this commitment through the provision of chart analyses and quality research for them.

The subscribers of such a signal service will tremendously benefit. First, they will see their skills improve. Secondly, with time, they can stand the chance of becoming expert traders themselves.

And as their expertise grows, they will become less dependent on signals. Such a contribution will be priceless for anyone who subscribes to such signal service. 

  • Do you use the same trading style?

What is the strategy with which the provider generates its signals? Is it based on fundamental analysis? Does the provider use only technical analysis? Or maybe it uses a combination of the two.

You should be aware of the approach by which a signal service approaches the market. From your knowledge of this, you can decide if it will be a good fit for you or not. For instance, if you have been trading fundamentals, you will most likely be biased towards a fundamental-based signal service.

Also, are you a day trader, scalper, or a swing trader? Are you comfortable holding positions overnight? What is the style of trading of the provider you are considering to use?

Using a signal service that fits your trading style will be vital for your convenience in the long run. However, in choosing a signal service, no factor should override ascertained profitability. 

  • What is the time zone of the signal provider?

What is your provider’s time zone? The time zone of your provider is weirdly critical in that if it does not match yours, you will be missing out on a lot of opportunities to make money.

For example, if it mostly sends out its signals at night, you will not be available to make use of them. This factor is especially important to consider for services that send out mostly short-term signals.

However, for those that send out long-term ones, the effect may not be too highly pronounced. Nevertheless, the best service for you will be one that operates within the same time zone as yours.

  • Does it allow free trials?

Before you settle for a signal service, check first if it offers a free trial. A free trial is the best way to intimate yourself with its services at no cost and no risk. After it, you can then decide if it is a fit for your needs.

Interestingly, the best signal services often offer free trials. They do so because they are sure of the services they provide. From those services, thanks to the free trial, you stand a chance of benefiting without having to incur any cost.

  • Shortlist and compare! Take your time!

Finally, take your time to shortlist different providers. Then, compare and contrast them on the points highlighted here. You can use Google to identify the strengths and weaknesses of each. And you can also decide to create a checklist with them.

Ultimately, the vital thing is that you are making the best choice for your needs. On that note, 1000pip Builder is a signal providing firm that prides itself on its expert analyses and proven track record of performances. You can subscribe to their membership list here.