Note:
We advise you to avoid signal providers who recommend working only with a specific broker, as you thus risk losing your deposit. Additionally, we recommend using RoboForex for trading with signal services, as the company has a great experience in this area and a built-in service for copying signals of trustworthy traders, which is more profitable and reliable.
Forex signals are data or indicators that aid in making trade-related decisions. They can simplify trading and assist those who trade to earn money. Forex signals will allow you to reduce risk and make the most profit.
Forex signals can help you decide which time to close or open an exchange. It is vital to select a reputable trading service, and there are a variety of factors to be looked on when selecting a forex signal company.
Forex signals can make trading simple and easy. All you require to do is sign up with a forex signal provider, and they will assist you in choosing an appropriate strategy that will help you execute your trade with success. Forex signals will help you make your life easier and simplify your experience in trading.
Making money with the help of forex signals can be a lucrative option that might give you good returns if done correctly. So if you ever wondered how you could earn more money through forex signals and generate a healthy income, you are at the right place.
So sit back, relax, and enjoy this article till the end.
Do you want to start trading Forex? Open an account on Roboforex!Forex signals were born as a result of a natural invention of the financial sector. They can help solve the most challenging task every trader must perform – identifying the best trade opportunities at the right moment.
According to the definition, a Forex signal is a trade idea or recommendation about a particular financial asset to be executed at a specific price and at a predetermined time. No matter your level of trading skill or expertise, forex signals will assist you in improving your trading practices. Furthermore, experienced traders can expand the possibilities of their profit and gain experience with forex signals.
There can be both manual and automated signal providers. Manual signal providers could be experienced traders, professional traders, market analysts, or strategy providers.
They create trading signals from their knowledge of trading or experience and their fundamental knowledge, experience, technical analysis, or their formulated technique.
However, the automated signal providers have computer programs programmed to generate trading signals if specific parameters or requirements are met in the market.
Automatic signal service providers like Expert Advisors (EAs) and different trading bots generally employ technical analysis techniques that rely on mathematical indicators to predict the future and other types of trading bots, like Moving Averages, Fibonacci levels and Stochastics.
MetaTrader is a well-known platform that allows Forex users to exchange an array of assets. It's the interface between you and the trading market. It is a feature-rich platform that enables traders to perform a variety of trading actions, such as technical and charting analysis, monitoring markets, and automating trades using Expert Advisors.
MetaTrader is a software that connects to various trading platforms, allowing trading through smartphones or computers. In other words, it is the bridge between them both. For this reason, the software is used by the majority of Forex traders, where they can choose the broker with whom they want to trade as long as it's in sync with their Forex platform.
There are two versions of MetaTrader available on the platform: MetaTrader 4 & MetaTrader 5. Both are accessible through mobile phones, desktops & the web.
It doesn't matter which platform you pick; it won't make your computer slow. It is lightweight and won't overload your systems, which means rapid trading and instant execution. These are essential aspects to consider when trading in highly volatile and fast-paced markets.
The first thing you must be aware of with MetaTrader is that it's free and lightweight software is available for download on the official website. This will permit you to execute operations quickly, which is advantageous when working in highly volatile markets.
This application lets you create stop loss markets, pending, and trailing stop order options to increase the profit.
Additionally, you can take advantage of EA (Expert Advisors) that trade on your behalf using the most efficient strategies for investing. Moreover, it provides you with the transaction history so that you can view every move you've done previously, as well as the positions you've opened to help you develop more efficient strategies for future transactions.
Metatrader is an excellent choice for Forex traders looking to profit from market volatility by speculating and opening opposing positions.
In the past, traders were given only two choices; they could either place their money in an account with a financial manager or trade on their own, using signals provided by an experienced expert. Today, traders are spoiled for choices. For those seeking a forex signal service.
You'll come across these categories:
Signal Provider
Investor Service
Copy Trading
A forex signal provider is a kind of service that is geared specifically for retail traders. When you use a signal provider, the charges can be an annual or monthly flat fee or a performance-based fee, contingent on the quality of services they provide.
A standard forex signals service provides you with an account on which they post their signals. This includes an offer price or buys price along with a stop loss cost and the price for taking a profit. You may realize that when you sign up with a forex signal provider, you'll have to execute the work of making trades promptly. Additionally, you will need to control those positions (or the trading lot or contract) to consider risks.
The prices are reasonable; however, the challenge is choosing a forex signal provider who has been around for a long time and boasts of a solid track record that demonstrates the gains, drawdown, and volatility of their trading. Certain signal providers will be available to advise you on the appropriate size of trading to use based on your risk tolerance and the amount you are willing to invest.
Investor services are a service that stays at the top of the spectrum and is usually expensive. The minimum requirements for joining the service are at the upper end of the spectrum. It's also known as a fund management company, also known as an investment firm.
These types of services generally require you to put in the amount over a specific amount of time and allow earning monthly, quarterly, or annually on the investment (of course, after deducting the various types of charges).
As the name implies, this type of high-end service is for those with a budget of $50k to $60k or a bit more and are looking to be in the game for the long term. Investors generally invest and hold for long durations of time.
If you intend to use an investment program, be sure to pay attention to the costs and the return, as well as the guarantee of your principal, and of course, take into account all of this for inflation.
Returns will naturally differ depending on the location where your money is put and how risky it is.
Copy-trading, also known as mirror trading, is the newest trend that has swept the currency or forex markets. It's also known under the term social trading.
It doesn't matter what it's called; copy trading operates with the premise that you can copy trades of "successful" traders then, you pay the same amount for the use of the service.
Copy-trading, based on the platform, is hands-free and all you need to do is reserve the amount you'd like to allocate and the size of your trade or the size of the contract per trade.
Although copy trading is vast and is probably where most traders who are new to trading begin, it has certain risks.
The answer is contingent on many factors, and before moving forward, you should ask them questions like:
The amount you'd like to invest
The period you would like to invest
The risk you're willing to accept
The results you're expecting
Answering these questions and reviewing the signal or investment provider more closely helps you make an informed decision in the field of the forex signals service.
The forex trading signals were the genesis of the copy trade. Forex signals allow traders the option of deciding whether to follow a trade suggestion or not. The trader copies the trades that a profitable trader makes on their trading account with copy trading.
It is automated, and you choose a trader, and their position will be replicated within the trading accounts you have. There are options to customize the size of your trade and assets, stop-loss orders, and take profits orders.
Copy trading is a valuable trading strategy that lets traders profit from the market even with limited trading knowledge. It also assists traders in freeing their time and diversifying their trading portfolios. In addition, it permits traders to select the type of trading that fits their risk tolerance and their objectives in trading.
Signals provided by MQL5 is a platform or service that lets you copy transactions from successful traders. Connecting to the signal providers is recommended, and their transactions will automatically replicate to your account. If you believe that the service provider has a problem and is not satisfied, you can unsubscribe and not receive the signal.
Signals service is available on the majority of MetaTrader trading platforms. On the MQL5 website, you'll see that trading signals are separated into two kinds of signals for MetaTrader 4 and MetaTrader 5.
They are displayed in two columns in the form of a ranking of the top signal suppliers. Only those registered traders on MQL5.com and have accepted the terms of the signal's Service terms of Use Agreement can access the service.
The concept behind social trading is quite simple:
A trader picks a trading signal.
Sign up to the chosen Signal with just a few clicks.
After confirmation of the subscription successfully, the trades of the signal provider selected will be mirrored to the trader's account.
No further actions are needed – the trader will automatically begin trading according to the signal provider's trades.
Copy-trading on the MetaTrader platforms allows traders to be successful by automatically copying trades from skilled traders. Just sign up for signals and start trading like an expert. Earn your share of the success with just a couple of clicks! Manual trading or using any Expert Advisor (EA) on the same account isn't forbidden.
However, such actions are not recommended, as they could impact the calculation of volumes copied.
The Signals service lets users access any signal and automatically replicate trades made by professional traders. Many thousands of signals are available for MetaTrader 4 and MetaTrader 5 in the service. Check out the pointers below to find out how simple it is to sign up and pick the most appropriate option from the many available signals on the platform.
Ratings are the most important criteria to find the appropriate signals. To assist users in choosing the most reliable signals, MQL5 creates an assessment of the signals based on various parameters.
The top-rated signals appear first on the list. The reverse is true for low signal ratings hidden out of the Showcase on the MQL5 website and on trading terminals to safeguard customers from low-quality strategies.
The display of signals has an additional feature for selecting signals with the most appropriate conditions to copy. Users only need to input the address of the server for which their account is opened. The system will detect the most compatible signals with configurations of the instruments used for trading and the lowest slippage.
How to Choose Server on MQL5
While choosing a signal, ensure that you look over the whole array of trading reports. Be aware of the warnings displayed on the page for signals. Make sure you read and analyze them carefully and then make the decision.
Provider Statistics on MQL5
To choose signals that meet specific criteria, utilize to sort and filter features. This will get rid of unnecessary signals that are of no value to you and save you time selecting the best signal.
Providers Search on MQL5
The traders can choose the signals they want to use and then subscribe to them through MetaTrader 4 and MetaTrader 5 terminals.
How to Add Provider to Favorites on MQL5
Select the headers of the columns to organize the data according to drawdown, growth, number of subscribers, and so on.
A handful of signals that meet the criteria you've chosen are listed in the list. Save them to your "Favorites" to make it easy to come back later to examine them once more. Click on the star in this list, and the page for the signal you have selected will appear in a separate tab called "Favorites."
The Signals service offers the highest convenience and security to all users who wish to copy trades of professionals. All you require to start is an account with MetaTrader and an MQL5 community account. After that, join trading professionals who are successful and make cash with them.
The Forex Expert Advisor (EA) aids you with trading, usually through the execution of trades while you're asleep or busy. The Forex EA removes the emotional component.
This means that emotional factors like fear or even greed don't get to hinder wise and intelligent choices. A Forex EA eliminates the anxiety that trading in Forex causes and allows you to evaluate all aspects at once and in a way that humans can't.
The Forex EA trades and takes decisions more quickly than human beings, allowing you to benefit from trading opportunities instantly. With the help of expert Forex advisors, you will make more informed trading choices, increasing the chances of earning profits. However, it's essential to select the correct Forex EA, one that ensures safety and profits.
Let’s take an example of a Forex Expert Advisor, which is a 1000pip Climber.
1,000pip Climber is the top-rated EA, with an average rating of 10/10. Customers of this EA are exceptionally pleased by the high return of the EA in both the trending and market segments that are range-bound.
This EA is ideal for novices because it offers all the support of the creator of the program.
This 1,000pip Climber EA has no minimum amount to deposit, and you are free to use every leverage amount you want.
To trade using a Forex EA, you must begin with downloading the EA on the internet. You can find an EA on numerous websites for no cost. When you download the Forex EA, there are a few actions you must follow to enable it.
Browse to the EA folder you've downloaded and place the file into it.
Find a folder called "MetaTrader4." You will typically find it within the C drive. Browse to the folder named "experts" within it and copy the EA files that you copied from Step 1. If you get a pop-up window asking you to grant admin permission, grant it.
Begin to set up the MT4 platform.
Go to the "Expert Advisors" section. Next, click on "Expert Advisors" and click on the "+" sign to search for the available EAs. Choose an EA.
Click and drag the EA you prefer onto the charts in the display.
Modify the settings by using the pop-up window that appears. Make changes to the settings, then click "OK."
When you use an EA, be sure you test it on the demo version to ensure everything is working perfectly. It is equally important to choose the best Forex EA.
Using a Forex trading signal service is simple. It is as simple as signing up and adding the data to the account you have set up for trading.
This can lead people into thinking that studying, using, and comprehending the forex trading signals is an easy way to get into the market. It's simply not the case. Although a simple signal could provide you with concise instruction, it will not erase all the risks related to trading.
Before you choose to use the forex signal services, you must be aware of the following:
No two forex signal trading solutions are alike, and you'll see that they differ significantly in terms of quality. The success rates of signal services range between 60% to a much lower percentage, and plenty of "dud" systems are around.
Don't take each forex signal provider the same way; instead, you must know the specifics of what you're signing up to before you get into it.
Because of its leverage and volatility, forex trading is risky. This means that it is possible to lose large sums of capital value in a single flash. Trending popular currency pairs, like the XAU/USD, may be subject to wild fluctuations.
Therefore, before reading any forex signals that you receive, it is crucial to know the level of confidence with the risk levels associated with it.
Forex signals will generally offer emotional advice. But this shouldn't be any excuse not to understand the market that is in front of you. Be aware of current market conditions and limitations before taking action upon a forex signal.
Back Testing is among the most crucial aspects of creating the trading strategy. If appropriately designed and implemented, it will help traders improve and optimize their system, discover any theoretical or technical flaws, and build confidence in their system before putting it into the real-world markets.
Trading with a real account lets you clearly understand that it is crucial to maintain the discipline to manage the risk. If you are using a demo account, discipline may seem unimportant, and stop-loss placement is usually thought of as something that blocks you from making money.
Anyone who trades with an actual account knows that both aspects are just as crucial if they are not even more important than a plan that identifies entry and exit points.
Although demo accounts do not allow you to learn the psychological aspects of trading, they are a must to understand how software works and the best strategies to implement at no cost and with no financial risk.
Many new traders follow the signals from brokers that are not regulated because of the lack of information. They follow these signals, and, in the end, they suffer a massive loss. A question might arise, Are forex signals legit? It all depends on the kind of source from which you receive the signal. Forex signals are legitimate only when you receive that signal from an honest broker or source.
Suppose you've signed up for an unpaid forex signal service or paid Forex service. In that case, the Provider cannot guarantee that their signals will function with 100% accuracy since it is impossible to forecast the future of this market with absolute precision.
Therefore, the forex signal is only a suggestion to traders regarding a successful trading strategy.
There are many sources where traders receive a forex signal. The forex signal can be purchased or free; however, the most important thing is to select the right forex signal provider that will provide you with a signal after conducting thorough research about the market, more than copy and paste.
If a trader chooses to use a free Forex signals service, caution and thorough due diligence are essential.
Traders must determine and analyze why the service is free and ensure that it's not run by a novice "wannabe" Forex trader flipping a coin at an office in the basement to decide the best position then posting Forex signals online.
If the Forex signals provider doesn't want to disclose details, a potential subscriber should think twice. However, it could be a genuine Forex signals provider who has recently launched the business but does not have a proven history to present to potential customers. It could be offering free subscriptions for a limited time to get businesses.
Paid Forex signal providers must prove to their customers the value they pay for. Before committing to a subscription, prospective subscribers will require a performance report of trades made and back-testing results for strategies that were recently created.
A brief explanation of how signals are created can be given, including the indicators utilized, the most fundamental metrics employed, the chart time-frame, and a risk-management plan - The more detail available to prospective subscribers, the higher the degree of comfort customers can feel
It is not the case that all trading signals are equally effective. Consider the source of these signals before adhering to their guidelines. The question is: do they have a clear understanding of what they're talking about? Every signal provider likely has the necessary know-how and experience; however, it's not always the same.
The issue is that these services typically aren't controlled. It's normal for a signal trade to be provided by an expert, and perhaps yours could be, but without regulation, there's the possibility that your service provider isn't very good at what they do. Even more troubling, you might be receiving a trading signal from a scammer who made a fake signal that will benefit your broker more than you or the trader.
A few reasons why you can’t always trust forex signal providers
They're most often looking just to make money.
They aren't skilled and professional traders.
They don't always provide tested trading results.
They don’t offer any trial period.
Trading signals do not match the trading history.
They are anonymous.
So, are trading signals worth it?
It all depends on the source you're getting the materials from and your willingness to take risks.
Most people will agree that it's not worth taking a risk on a signal that comes from a person that may not have proper qualifications. So, it's only recommended to look into trade signals through a regulated provider.
There are also several credible review websites and other sources that can assist you in identifying a reliable signal company to trade with. Be sure to check out various forex forums to understand better what other traders and your peers have to say about a specific service.
Although there are numerous MetaTrader brokers in the market, some excel at what they provide. So here is the list of best MetaTrader brokers in 2023.
IC Markets - Overall, the best for MetaTrader
XM Group - MetaTrader with customized indicators
Avatrade - MetaTrader for best for novice investors & understanding CFD trading
Vantage FX - MetaTrader suite, great pricing for higher balances
Pepperstone - MetaTrader suite that includes add-ons
IC Markets caters pretty well to algorithmic traders with the commission-based accounts. Third-party trading tools and research plugins are included in the IC Markets MetaTrader offering the top MetaTrader broker for 2023.
XM Group is a vanilla MetaTrader broker that has the entire MetaTrader suite of tools and some significant enhancements to enhance user experience and customized indicators. Apart from trading tools, the research offerings offered by XM Group are full of diversity and depth, in opposition to industry leaders like IG and Saxo Bank.
Vantage FX provides the full MetaTrader suite that includes its Smart Trader add-ons. While it's not a discount brokerage, if you deposit $20,000 for access to its Pro ECN account, Vantage FX offers low effective spreads and commissions equivalent to the leading pricing
AvaTrade offers average-to-competitive spreads, depending on the account type and adequate educational resources. The low minimums for accounts make it ideal for novice traders who are not well-capitalized and looking to improve their skill sets.
Even though they are designed to promote transparency, the marketing materials and website could be confusing to potential clients seeking information on account types, spread schedules, types of accounts, and fee schedules.
Being not FCA controlled is a concern as professional traders who are prominent and scale will likely find more value elsewhere due to the absence of volume discounts, premium trading platforms, and extensive research and news sources.
Although Pepperstone has a few options for trading products, it offers one of the most comprehensive third-party platforms that provide a variety of alternatives for trading with social copies. Its Smart Trader Tools module, created through FX Blue LLP, brings the platform with various add-ons to improve the MetaTrader experience if you own a balance of more than 500 AUD.
MetaTrader developers have built an integrated ecosystem for trading algorithms, where you can create, purchase, optimize, and deploy trading robots that operate continuously. MQL5 solutions help traders deal with every issue they encounter during their job.
Newcomers will find many articles and code for free programming experts who can market their software on the Market and complete orders through Freelancing. Investors can sign up for Signals that successful traders broadcast.
The unique "Signals" section at the MQL5 community website permits registered users to share their trading operations using your MetaTrader 4 or MetaTrader 5 accounts and subscribe to copies of deals to the trading account using Signals of other traders.
To make a signal, you need to sign up on MQL5.com. It is possible to create signals using both paid and free subscriptions - in both instances, there is no need to spend anything to make a signal.
Yes, MetaTrader 4 and MetaTrader 5 trading platforms differ in the execution of orders and order accounting. This is why you must select signals on the same venue you use for your account to replicate trades. Also, you could sign up for an account with that platform (and preferably with the exact broker) to sign up for a Signal you would like to subscribe to.
If you sign up for a paid signal, the amount of money for the whole duration of the subscription (week or month) will be frozen on the subscriber's account. However, these funds aren't transferred immediately to the account of the Provider. The Provider receives the money automatically after the subscription expires. If the Provider terminates his Signal, then the frozen funds are returned to the subscribers.
If the Subscriber chooses to end his subscription, the money is transferred over to the Provider. In this situation, Subscribers will be given an immediate warning.
Ivan is a financial expert and analyst specializing in Forex, crypto, and stock trading. He prefers conservative trading strategies with low and medium risks, as well as medium-term and long-term investments. He has been working with financial markets for 8 years. Ivan prepares text materials for novice traders. He specializes in reviews and assessment of brokers, analyzing their reliability, trading conditions, and features.
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.
Olga has extensive experience in writing and editing articles about the specifics of working in the Forex market, cryptocurrency market, stock exchanges and also in the segment of financial investment in general. This level of expertise allows Olga to create unique and comprehensive articles, describing complex investment mechanisms in a simple and accessible way for traders of any level.
Olga’s motto: Do well and you’ll be well!
Mirjan Hipolito is a journalist and news editor at Traders Union. She is an expert crypto writer with five years of experience in the financial markets. Her specialties are daily market news, price predictions, and Initial Coin Offerings (ICO). Mirjan is a cryptocurrency and stock trader. This deep understanding of the finance sector allows her to create informative and engaging content that helps readers easily navigate the complexities of the crypto world.
