Free Forex Signals? Think Again

Free Forex signals sound like a pretty good deal to some. At least you can't beat the price. While you might think that you are getting something for nothing, it usually doesn't work that way. Here are a few things to consider about free signal services.

Free Signals

Many companies claim to give out free trading signals to their subscribers. You can sign up for the signals and receive them on a daily or weekly basis.

While these signals are definitely free, most of them aren't worth a dime anyway. Most people who are giving out free signals are not very good traders to begin with.

free forex signals

Generating Attention

Every once in a while, a source of free signals will come along that isn't half bad. This usually happens when some guru is trying to drum up some business for his signal service. For example, a good trader might give out his signals for free for a limited time to try to get people hooked. Then after a certain amount of time, the trader starts charging for the signals. If the signals are actually good, many people will start paying for them.

Hidden Ways to Make Money

In some cases, the free signals are actually free. For example, services like Zulu Trade and Tradency advertise that they will give you free signals. In fact, you can link up your account to a signal provider and your account will be automatically traded. This makes for easy Forex trading and it can sometimes be profitable if you find a good trader to work with.

The problem is that these services aren't really free. When you fund your account with a broker and start trading, the trader gets a cut of each trade. The broker gives the trader a certain percentage of each trade, win or lose.

This money comes from your funds indirectly. If the trader is good, it doesn't really matter, because you can still come out ahead and make some money. The only issue is that this creates a conflict of interest for some traders. They might simply try to open as many positions as they can so that it will open more positions in their follower's accounts. Often, these traders do this on a demo account and use strategies that you would never use on a live account. This is done so that they can increase their commission from the brokers.


Before you sign up for a free signal service, you need to do a little bit of homework. Remember that free lunches are pretty rare in this life and this is especially true in Forex. Try to find out how the person giving the signals is going to make money at some point. Then find out if the trader actually knows what they're doing.

Return From Free Forex Signals to Forex Trade Signals

Return From Free Forex Signals to Forex Trading

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