Signal Factory is asking you to join its global community of more than 45,000 traders. Then, you can start receiving the best Forex signals from live and profitable professional traders. The company promises not to supply you with losing signals, only lucrative ones.
Unfortunately, the people behind Signal Factory are anonymous. Their names, roles, professional backgrounds, physical location, contact details, trading experience, etc., remain a mystery. This lack of openness is concerning.
Signal Factory features
The service provider doesn’t take the time to explain to the public what they are offering. We only have several statements that don’t reveal much about the features of the signals. The little available info is summarized below:
- The company helps you to remain focused by providing the signals you need.
- The provider allows you to use your current account but does not dictate to you how to apply the signals.
- There are no hidden costs. This is in contrast to other signal providers who use brokers to demand commissions from you.
- No conflict of interest. The company is independent of Forex brokers, and therefore, joining the service leaves the spreads in your account intact.
Signal Factory offers 4 distinct packages for this service. Telegram news package is the least expensive plan — $49.99 per month. Both the Algobot gold trade copier and the Algobot trade copier are much more expensive as they are priced at $199.99/m. You can get the Algobot signals package at $99.99/m.
How it works
Being a signal provider, this company specializes in supplying trading signals to its clients. However, Signal Factory sources its signals from professional traders who trade live accounts using their own money. The company sends these signals directly to your account after confirming that they are profitable. Notably, the signal alert sent to you features the currency pair to use, buy/sell order, and the recommended SL and TP levels.
In regards to the signal strategy, the claim is that the company applies risk aversion in approaching the market. They particularly depress any kind of money management techniques as they measure how their signal providers’ accounts perform in the real market in terms of pips rather than by profit or percentage. In fact, they do not factor in the lot size in the performance whatsoever.
There are no backtest results for this service. It could be that the provider has not tested the efficiency of the signals they provide on archival data. This is disappointing. Backtesting is one of the vital ways of ascertaining the viability of a Forex technique as it illustrates how it can perform in the long run. Moreover, backtesting can help traders forecast the amount of gains and losses they could get in dollar terms if they use the service. This can assist them to set reasonable daily and monthly targets for their payouts.
Several trading results for this service are available on FXBlue. We present the performance of the Algobot signals package below:
This account is very new as it was opened on November 30, 2021, and deposited at $10,000. Sadly, the signals have caused losses amounting to -$1245.15. The current balance is $9578.69, and $7177.07 is available for trading.
The signals have managed to deteriorate the value of this account by -16.7% within 29 trading days. They hardly bring in profits weekly (-1.0%) or monthly (-4.2%). Only 64.4% of the trades have been successful so far.
The profits made are quite low. Some losses were recorded.
Signal Factory has 3 customer reviews on FPA. Two of the customers accuse the company of being a scam. According to them, the signals provided are far from being profitable, and you can lose a lot of money while using the service. However, the only satisfied customer claims that he has received amazing results from the signals. Therefore, he implies that the company deserves to receive more than 5 stars.