It is a suggestion for entering into a trade for a foreign currency pair at a specific time and price. A Forex signal provider sends the signals to a subscriber either through a human analyst or through a Forex robot. These signals are usually sent through emails, SMS, RSS, websites, tweets and other timely communication channels XFR Financial Ltd has. Forex signals are very useful for the subscribers to take trade decisions when required.
Types of Forex signal services
There are 4 types of signal services basically and here are those-
- Unpaid or free signals- These are provided for free to the subscribers and no fees is charged on that account.
- Paid signals from one signal provider
- Paid signals aggregated from various multiple signal providers
- Signals which are provided by a trading software situated at the trader’s computer
Every type of signal service is useful and that depends on the choice of the subscriber and selection.
What are the common features offered by XFR Financial Ltd?
Here are the main features provided by a signal service provider.
- Approximate figures for entry, exit and stop loss on one or more currency pairs
- Analysis and supporting graphs for the signals
- A Forex trading history which have the number of profit/loss per months, risk/reward ratio and actual trades.
- They also provide one to one coaching and additional interaction as well
- Some provide forum interaction too along with comments and threads
- Account management facilities where the account of the subscriber can be traded by the signal provider
- Other educational resources over phone or through internet
- A trial period for free or less pricing
There are other services also provided by the Forex signal providers and this list is not limited to only those mentioned above.
What is the methodology behind the Forex signals?
Most of the Forex signals providers focus on sending signals based on the technical analysis, price action and some fundamental analysis of the Forex prices. Technical analysis of the trade helps signals provider to get the flexibility in supplying a range of FX trading options and show both the long term and short term price trends. Fundamental analysis is helpful in giving long term trading ideas, according to the experts at XFR Financial Ltd. Price action is also referred as scalping and is helpful only in giving short term trade ideas.
Be aware of the fraudulent activities and scams
Since Forex market is the biggest financial market of the world, there are many people and groups which want to take the unnecessary advantage of the eagerness and enthusiasm of the people who want to make money through the market. In this regard there are some fraudulent signal providers too which provide Forex signals of debatable quality and not fulfilling the user expectations for profits. XFR Financial Ltd warns that they may be scam and not genuine services and just only for making illegitimate profits from the users. So beware of them.