Using trading signals is undoubtedly one of the easiest ways to make your trades faster and more accurate. Word has it that discord trading signals tend to be the best for certain trading styles.
So, in this article, we’ll explore Discord Trading Signals, their types, and the criteria you should consider for selecting a good provider.
What Are Discord Trading Signals
Discord trading signals are triggers or alerts from a discord server that inform you to buy or sell a financial asset at a given time. These trading signals come from deep analysis of market conditions based on specific indicators and trading strategies.
Furthermore, they are given specifically over Discord servers. They can either be generated by human experts, algorithms, or artificial intelligence. Regardless of the provider, each Discord trading signal comes from a thorough analysis of the financial market and historical data of the asset in question.
In addition, factors like market sentiment and on-chain data are considered to generate these signals. Experts use fundamental and technical analysis tools to accurately predict price movements.
So, things like market cap, volume, and other fundamental analysis parameters, alongside technical analysis indicators like MACDs, RSIs, and other tools, are used to generate signals.
Most Discord signals are detailed, containing information like entry and exit price, stop loss and take profit levels, and sometimes recommended leverage (if it’s a futures trade).
Types of Discord Trading Signals
Discord trading signals based on source
Depending on the source, Discord trading signals can be broadly divided into human-generated signals and algorithmic or AI signals.
Human-generated signals
These are signals that trading experts provide. They come from a wealth of trading experience and are usually based on deep fundamental and technical analysis.
For short-term trades, human-generated signals are more algorithmic or dependent on specific technical criteria, such as moving averages and relative strength indexes. However, signals involving a long-term holding strategy tend to be based on fundamental analysis more.
It’s important to note that human-generated signals are often influenced by emotions and personal biases, especially if it’s from a non-algorithmic trader. However, these nuances are sometimes important because an algorithm cannot account for highly volatile price movements in the short run.
Algorithmic/AI signals
Discord AI signals are trading predictions and alerts generated by artificial intelligence. They analyze specific currencies and trading pairs using a predefined algorithm and provide signals when these assets meet their criteria.
AI signal bots are often equipped with machine learning technology to provide signals with the highest chance of generating profit. And a well-trained model can generate very accurate signals.
They are also typically faster than human trading experts and remove human biases and emotions from trading. But this lack of human insight can sometimes be a pitfall as they aren’t perfect at responding to black swan events in any financial market.
Discord trading signals based on the financial market
- Forex trading signals
- Stocks trading signals
- Crypto trading signals
Another way to categorize Discord trading signals, is by the financial market they are designed for. In that regard, they are broadly classified into forex trading signals, stock trading signals, and crypto trading signals.
1. Forex trading signals
Some discord signals are dedicated solely to foreign currency trading pairs. They are designed to cater to traders who navigate the forex market. So, they take into account the peculiarities it comes with. Some Discord forex trading signal servers include TraderBeast and The Trade Hub.
2. Stocks trading signals
Stock trading signals are trading signals for the stock market. They are usually for day trading but can sometimes be calls for possible long-term investments. The assets involved in these signals range from blue chip stocks to unpopular penny stocks. Eagle Investors and Xtrades.net are some Discord servers that offer stock trading signals
3. Crypto trading signals
Crypto trading signals are perhaps the most popular on Discord. These signals cater to crypto traders and involve crypto trading pairs. They are used for various trading styles, from day to futures trading.
Furthermore, Discord crypto trading signals are exchange-specific, so each signal is optimized for one or a few specific exchanges.
Some examples of crypto trading signal servers include Crypticorn, Cryptohub, and Spacestation.
Types of Crypto Discord Trading Signals
Crypto trading signals on Discord are usually optimized for a specific trading style. The most common trading styles for crypto signals are day trading, futures trading, copy trading, and arbitrage trading.
- Day Trading Signals
- Futures Trading Signals
- Copy Trading Signals
- Arbitrage Trading Signals
1. Day Trading Signals
Day trading signals are alerts for trades that must be entered and closed within 24 hours. They can either be generated by expert traders or artificial intelligence. Day trading is relatively less profitable than other trading styles unless you’re trading highly volatile cryptocurrencies, which comes with more risk.
2. Futures Trading Signals
Futures trading signals are crypto trading signals that involve leverage. Unlike day trading signals, these signals last longer than 24 hours and involve a lot of risk. However, they tend to be very profitable if the trades go precisely as planned.
3. Copy Trading Signals
Copy trading signals are signals from expert traders with exact trading setups that they plan to use in their own trades. Once you copy and execute these signals, the signal provider often requires a certain percentage of your profit.
Some signal providers even execute trades on your behalf, take their commission, and give you your profits. Copy trading tends to be relatively more successful and is only generated by human traders.
4. Arbitrage Trading Signals
Arbitrage trading signals involve two exchanges. AI signal bots usually generate signals like these. These bots scan the market for exchanges where the price of a cryptocurrency is relatively lower than others, immediately alerting you to buy there and sell on an exchange with a relatively higher price.
To make the most from arbitrage trading signals, it’s best to trade in bulk.
Factors to Consider When Picking a Discord Trading Signal Provider
The following are factors you should consider when selecting a Discord trading signals provider
Accuracy
When picking a signal provider, make sure to check its historical accuracy. You should aim for trading signal servers with an accuracy rate of 70% or higher. While their websites typically contain this information, you should also look for online reviews from credible authority sites like The Coin Bureau.
Reputation and reviews
Speaking of reviews, select signal providers with relatively balanced reviews. Overhyped signal servers on Discord are usually scams and aren’t worth your time and money. This doesn’t mean that servers with good reviews are bad, but if it seems too good to be true, it most likely is.
Active Community and Customer Support
Go for signal providers that have robust community and customer support. Any server that doesn’t have discussion channels is a red flag. Because you won’t have anyone to voice issues if you encounter problems while trading or have questions regarding the service. The best trading signals servers also have round-the-clock support teams that provide helpful responses to complaints quickly.
Cost
Quality Discord trading signal servers cost money. However, pick a signal provider with the best value for money. Consider going for cheaper alternatives if the subscription fee is too extreme for your trading goals.
Conclusion
Discord trading signals are a great way to make profits from trading. They save you the stress of doing market analysis yourself and almost always guarantee positive results. In this article, we’ve discussed several different kinds of discord trading signals, examples, and how to select the right server. Properly applied, the information here should set you up to begin your signal trading journey using Discord.
FAQ
Do professional traders use signals?
Professional traders use signals to save time and diversify their trading portfolios.
Is paying for trading signals worth it?
From the right provider, paying for trading signals is worth it. Profits are almost always guaranteed when the provider is an expert with a good ROI track record.
How do I get legit trading signals?
To get legit trading signals, seek signal providers with high accuracy, good reputations, and balanced reviews that are within your budget.
