How to Determine the Quality level of a Forex Signals Service

The first step to make a judgment on a service is to ask for their activity history, this will prove or deny their claims.

The common mistake which most traders make is that they completely rely on these signals as a sole indicator to enter the market. Really these services save the trader a lot of time watching the market trying to pick a trading opportunity. However, the right technique should any one do is to use these live forex signals as an extra indicators which help qualify his or her trading decision, in other words, the trader should make his own analysis for the price action and end with a personal prediction to the market movement based on his experience, then use these signals to approve or deny this decision.

Most traders use the signal provider services for a short period of time before making a judgment whether it’s a good or bad service. The next step to make a fair judgment, the trader should use the service for a relatively long period of time and make his statistics about the quality of this service and whether he or she will continue using it or not.

Final note:

As a trader, you should not relay completely on signal provider service. When you generate your own signals, you combine several trading indicators like trend lines, moving average, stochastic…etc, in order to get a high probable trade signal. Meanwhile, providers might choose to employ just one indicator in order to generate their signals, which may not be 100% accurate. This justifies why you should compare and contrast signals between one another and for the movement of the currency price.

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