Is it okay to use forex signal services?
- Thread starter Henry Edith
- Start date
Useful to learn from another source like as news site, good analyst will share many information related market forex and economy condition, although not all trader like with trading based of news.
The problem with signal providers is that their past profits doesn't guarantee future returns at all. Although same as with self-trading. What you should pay attention too is risk management and risk-of-ruin probability, and how do they handle losing trades, their max. drawdown. Weak spots become visible during losses, because it shows how signal providers copes with stress and keeps himself from doing wrong trades in order to pare declines quickly.
I used a couple of signal providers with Hotforex, split deposit between them in equal amounts and adjusted risk per trade to keep max losses at 1% from deposit. It was going fine but on the distance I stalled near breakeven so I switched to self-trading.
I used a couple of signal providers with Hotforex, split deposit between them in equal amounts and adjusted risk per trade to keep max losses at 1% from deposit. It was going fine but on the distance I stalled near breakeven so I switched to self-trading.
Here's the common sense
I agree... if that man had such a success, he'd already be somewhere at the top, but...
Surely, everyone can lose, and those who will to invest (=trust their money to a trader) have to understand that.
The other thing that people trust money someone they don't know at all (account managers) and later those managers turn out to be scam