Finding profitable trading opportunities is the most challenging aspect of trading binary options. With a signal provider, you can outsource this difficult process, thereby reducing the effort required from you while maximizing your profits.
Signal providers are the answer to a dilemma that is as old as binary options: If you know what to invest in, binary options offer a huge potential. With payouts of up to 90 percent, you can make a lot of money in a short amount of time – if you know what to invest in.
This is where things get difficult. Most traders have a hard time at finding trading opportunities, and especially newcomers often find it difficult to constantly maintain a high level of accuracy. Faced with the near endless instruments of technical analysis – thousands of indicators and strategies – these trader feel paralyzed. Unable to make clear decisions, they either give up on trading or invest based on their feelings and lose money.
Compared to finding trading opportunities, all the other aspects of trading are easy. Most traders intuitively understand how to choose the right asset and binary option type, and why money management is important. It would be a shame if those traders had to give up on binary options, just because they have difficulties with one trading aspect.
If you are one of these traders, signal providers can solve your problem by finding trading opportunities for you. With this system, you can trade successfully, even if you do not understand technical analysis.
Generally, signal providers send their signals as emails or text messages. Most of the time, you can choose between both options or use both. Either way, every signal will contain the asset you are supposed to invest in, the type of option you should use, and the expiration time. With this information, even a complete newcomer to binary option can immediately invest.
Some signal providers also use trade rooms. Trade rooms are online platforms where professional traders analyze the market for you, explaining every detail and showing you the best trading opportunities. While trade rooms require a daily time commitment, they also provide you with insights and learning opportunities simple signals can’t match.
You should choose the type of signal provider that fits your daily routine better.
Yes! Good signal providers can create signals with an accuracy of 70 percent and more. With such a high accuracy, you would only require an average payout of 60 percent to make money with binary options. Any of the brokers we recommend offers you more than that.
Of course, signals cover only one part of your trading process. To make money, you still have to employ a solid money management and invest without mistakes. If you do a good job at these relatively easy tasks, you can certainly make money with the signal providers from our list.
While the price for signals can vary greatly, the most common price is around $97. Those providers usually send you 5 to 10 signals a day, which is easily enough to make more money than you invest, even if you invest only a small amount per trade.
While there is no need to pay more than $200 a month for signals, in general, the price should not be your main criteria when choosing a signal provider. Good providers can make you more money than they cost you, even if they are a little more expensive, but good providers are not necessarily more expensive than bad ones.
Good signal provider share two features:
Realistic promises: A signal provider that promises things that are to good to be true is probably lying. For example, a constant winning percentage of 90 percent is simple unrealistic with binary options. If your signal provider promises you such unbelievable returns, it is better to look elsewhere.
The right assets: Make sure that your signal provider offer signals for assets that you can invest in with your broker. If not, you will waste a big part of your signals.
Robots take the approach of signals one step further. Robots not only create their own signals, they also invest on your behalf and manage your money.
With such an offer, it might seem as if choosing a robot over a signal provider would be the logical decision. Unfortunately, though, most robots have one big disadvantage: Their money management leaves a lot to be desired. Most robots simply allow you to define an amount and then invest this fixed amount on every trade, thereby putting you into a position where a long losing streak can ruin you.
If that is not a problem for you, for example if you plan to check on your robot daily, you can consider a robot. You will find more information about robots in our articles. If you want the last word when investing and managing, however, a signal provider will allow you more control and security.