For traders in Australia, a signals service is a powerful weapon. But if you are going to use a signals service, you need to know the basics about them first. First, know that the term “signals service” simply means a third party service that does trading research for you. These come in two main forms, an alert service or an automated trading service. Both have distinct benefits. Both may be free or they may have a subscription cost associated with them. Let’s look at the alert service first.
With an alert service, you are messaged with trading opportunities when they emerge. These come in a wide variety of form, but can be broken down into a few simple categories. First is the daily digest versus real time update. The daily digest form will say something like, “If EUR/USD crosses the 1.0905 line today, the resistance point will be broken and a strategy of call options should be used whenever the trend line begins to drop in price.” A real time update will send you the information, either by email or text, when such a situation occurs, and then notify you that a trade should be executed as quickly as possible.
A trading robot will execute trades for you. You supply the money, and they supply all of the work behind it. If you deposit $1,000 with the robot, you now can sit back and let the robot do its thing, right?
Just because trading robots execute your trades for you does not mean that these should be treated as a hands-off tool. First, you need to set up your account. You will need to deposit money with the robot and establish a risk amount. Let’s say you want to set your base trade rate at $10 per trade, and you want to only make 10 of the safest trades per day. This kind of information needs to be input right when you set things up, before the service makes a single trade for you. If you want to increase your risk as you go, you may. Be sure to evaluate any statistics that the robot has available, and consult with reviewers if possible. Once you have things set up, you should spend a few hours per week checking results and ensuring that the robot is doing what it is supposed to do and that you are not losing money.
A strong signals service lets you use your skills more efficiently, regardless of the type of service that you use. Some people want the benefits that come with binary options trading but don’t have the time to develop the skills needed to learn how to accurately pinpoint trade opportunities. For these, a robot can be really helpful. Other people enjoy making their own trades and have obtained some level of success with it. A signals service can help increase your profit rate, especially if you are able to use a top quality alert service to provide you with information. Many others use a combination of the two, or will use a robot as a hedge while they continue to research their own trades. All of these are meant to make life easier and help you make more money with less stress and less time-intensive research and work of your own. They are all great for people that have busy lives but still want to make money.
Finally, the general rule is that signals services of all sort focus heavily on the Forex market. This is simply because Forex analysis software is lightyears ahead of any other type of asset when it comes to public access. And even though you may want to trade the Australian dollar, because it is not one of the four main currencies, it might be a little bit harder to find a service that caters to this.