Signal Providers in Copy Trading Explained

A signal provider is a trader or algorithm whose trades are replicated by other accounts. Evaluating signal quality is critical for sustainable copy trading performance.

Key Performance Metrics

Metric Meaning
Risk Score Composite volatility and exposure indicator
Win Rate Percentage of profitable trades
Average Drawdown Loss depth per cycle
Trade Duration Scalping vs swing vs position trading

Transparency Requirements

  • Full trade history
  • Verified execution records
  • Public risk parameters

Common Selection Errors

  • Overweighting short-term returns
  • Ignoring volatility regimes
  • Copying a single provider exclusively

Informational content only. No endorsement or recommendation.