What is a Trading Signal?
A trading signal is the outcome of an expert analysis done by a professional trader or a trading system. A trading signal aims to inform traders about an opportunity for arbitrage in the global financial markets. Signal providers analyze multiple technical analysis data and statistics deriving from the daily activity of financial markets.
Trading Signals are either manual or automated. Automated signals are usually applied on a Metatrader4 trading account (copy-trading). Manual signals are delivered via SMS, email, Twitter or other. Trading signals are usually offered in monthly subscription plans that cost from $30 to $300. Trading signals may prove profitable as long as you choose your provider wisely. Remember that every technical analysis system makes mistakes and can suffer losses. When it is available, take advantage of a trial subscription and evaluate in real conditions a signal provider.
A trading signal provider must always deliver to its subscribers 3 things:
1. An entry time or an entry price level
2. A target price in a pre-determined time frame
3. A Stop-Loss Price for Hedging against unfavorable market developments