Wednesday, April 25, 2012

Forex Signals – How To Know Whether The Forex Signals Are Reliable

April 15, 2009 by  
Filed under Forex Tips

There are a lot of subscribers of my newsletter asking me for forex trading signals recommendation and whether those they received are reliable or not. Therefore I am writing this post to address this question for all of you out there to know.

First of all, should anyone of us trade those forex signals that we received from your forex brokers. I will not say no or yes but I strongly recommend you to find out why and how those forex signals are generated. There are some forex brokers that provide such a service for their client and they also provide you with their technical analysis on why and how they came up with this signal. You should spend some time to go through the technical analysis explanation and then come to a decision whether it complies with your trading knowledge.

Secondly, you can also take a look at the accuracy of the trading signals which is usually provided by your forex broker. The forex signals that you are receiving will be divided into range trading or breakout trading and your forex broker will provide you the percentage accuracy of the trade. Only trade those signals that has higher percentage accuracy.

Thirdly, never trade live with any new forex signals you receive, you should always try out those signals from the company you get the signals from using a demo account for a period of time before you trade live with their signals. There are a lot of companies that do not provide reliable forex signals, so you need to be extremely careful when selecting the company that provides you the signals.

Once you have taken the above three steps to verify your forex signals, you can then decide whether you should trade with those signals in future.

Other Related Posts:

  1. Forex Trading Signals Week #11
  2. Forex Trading Signals Week #12
  3. Forex Trading Signals Week #9
  4. Forex Trading Signals Week #13
  5. Forex Trading Tips – The correct Way of Reading Forex Chart

Speak Your Mind

Tell us what you're thinking...
and oh, if you want a pic to show with your comment, go get a gravatar!

 Subscribe to Forex Traders Newsletter