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Trading Signals Key Terms

Updated over 3 months ago

Term

Description

Account type

Trading conditions packaged within an account - Trading Signals offers 5 account types identical to regular trading accounts.

Copy Ratio

The ratio between the investor's and signal provider's investment in the strategy. This calculates the number of lots to be copied when following a signal.

Commission

The percentage (0-50%) of profit that investors pay to the signal provider at the end of a trading period, defined by the signal provider when creating their strategy.

Copying process

The automatic replication of every order made by a signal provider from a particular strategy that an investor follows.

Equity

The total value of a signal provider's trading account.

Investment

Funds allocated by an investor when they begin copying a strategy.

Investor

A trader who copies strategies provided by Signal Providers to potentially grow their capital.

Leverage

The ratio of margin to loan capital, set by the Signal Provider.

Maximum drawdown

The largest percentage loss a strategy experienced during the selected time period.

Portfolio

The collection of strategies an Investor has chosen to copy.

Client Portal

The main dashboard accessed after logging into your account where you can manage all account preferences.

Rating indicators

Parameters used to evaluate strategies, such as Risk Level or Return.

Risk Level

A 1-10 scale assessment of a strategy's risk factor, with 1 representing the lowest risk.

Return

The cumulative growth in equity resulting from trading activity, calculated over trading periods.

Trading Signals platform

A copy trading system connecting signal providers with investors.

Trading Signals

A service allowing investors to automatically copy the trades of experienced traders.

Signal Account Types

Account types available specifically for signal providers.

Spread

The difference between Bid and Ask pricing.

Stop an investment

When an investor chooses to discontinue copying a strategy.

Strategy/Signal

A trading account managed by the signal provider that tracks their activity for investors to copy.

Signal Provider

A trader who shares their strategies and earns from both their trading and commissions paid by investors copying their signals.

Signal Provider's commission

Payment made to the signal provider by investors after a profitable trading period.

Signal Provider's Area

Management interface for signal providers to handle their profile, funds, strategies, and settings. Accessed through the FXTRADING.com Client Portal.

Signal Provider's profit

Earnings generated by the signal provider's trading activity.

Swap

The interest rate differential charged or paid for holding positions overnight.

Total Trading Volume limits

The combined volume of open positions held by both the signal provider and their investors.

Trading period

The timeframe for commission calculation, ending on the last Friday of each month from 23:50 UTC+0 to 23:59:59 UTC+0, when commissions are distributed.

Investment Wallet

The funding source investors use to finance their copying activities.

Strategy equity

The current value of a strategy, including balance and floating profit/loss.

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