Binary signals can be said to be tips on trades that the signal provider thinks offer high value. When the signal provider identifies a good trade, they send out an alert. Different signal subscriptions focus on different types of trades and provide different information. There are both free and paid signal services. A third alternative is signals that are free for traders who have purchased a certain trade system.
We recommend that you do your own research or get your signals from a good paid signal provider. Free signals are usually not very good.
Lets look a little closer on the different types of signals for binary options.
Lets start by looking a little closer at the free option. It is very easy to think about free signals as a cheap signal. The reality is, however, that they are anything but a cheap alternative. A cheap signal is a good signal. This is true almost regardless of the price you pay for it. This is due to the fact that you can’t just look at the up-front cost. You also have to consider what results they give you. Every single signal that you act on that turns out to be wrong costs you money. The success rate cost is usually a lot higher than the actual cost of a signal. The only way to evaluate the true cost of a signal service is to look at its success rate. A signal service usually needs to have a success rate of above 55% to be worth the money. The higher the success rate, the higher the value the service offers, and the cheaper it actually is. Free services are often not as good as paid services. This is due to the fact that free services have nothing to lose by offering a poor service. A paid service is, therefore, usually a better choice.
Companies that offer paid signals need to make sure that their service is good enough for people to feel that it is worth paying for. The price of signals can vary a lot, but you will usually have to expect to pay at least $99/month for a high-quality signal. There are some signal services that are a lot more expensive. Most signal services welcome new customers but there are a few that are available by invite only. It is not unusual that binary option brokers offer their VIP clients (usually clients with more than $50 000 in their account) free access to different signal services that otherwise would cost you a lot of money,. When you choose a signal service, you should look strictly at their success rate and ignore their monthly price. The price does not matter if the service allows you to earn money.
There are two different types of signal services. Does that only provide their own signals, signals from one source? The second type is services that collect their signals from multiple sources and only alert you when several sources recommend the same trade. The number of sources that need to be recommended for you to receive an alert varies between different services.
It can be good to be a member of several signal services and compare their recommendations to make the most informed decisions possible.
What to think about when choosing a service
You should always strive to choose successful, well-established services. New services that come on the market can be very good, but it is a good idea to be a member of at least one established service. This does not mean that you can’t try the new service as well.
You must understand how the service you choose works. Are the signals based on technical analysis or some other type of analysis? A good service usually provides good information on how they produce their signals. This does not mean that they tell you the exact methods they use. Quality services provide additional data, such as graphs or other data, to show why they recommend a trade.
A good service should provide historical data to see their historical record.
A good way to find a good binary options signal service provider is by visiting binaryoptionssignals and looking at their reviews of signal providers. This allows you to quickly narrow down your choices to a few providers that you can research more in depth.
You should always consider the following factors when you choose a signal service.
- How many signals do they issue? How many alerts you get each month greatly affects how much value you can get from the alerts. More alerts are not always better, but you need to be provided with enough alerts for the signal service to be worth its price. How many alerts you need to get each month to justify a subscription depends on the size of your investment and the success rate of the signals provided.
- Success rate: The success rate is key for you to earn money from the signals. The higher the success rate, the better. It needs to be at least 55% for you to make money. (the exact break even rate needed depends on the broker you use).
- The additional data provided: The better data they provide, the easier it is for you to evaluate the signal.
- Price: The more expensive a signal service is, the better the service needs to be for you to earn money from the alerts provided.
This article was last updated on: May 11, 2025