1. Profit4Traders Trading Signal Providers (Traders)
A) Introduction to Traders Program
A "Signal Provider" is a Profit4Traders User, who trades either on a Demo or Live account while Profit4Traders publishes his/her results and statistics publicly through the website. Each trading action performed in the Provider’s account is sent to all Profit4Traders Demo and Live accounts in the form of a broadcast signal.
Clients, who have chosen to follow the Signal Provider ("Copiers"), have the trading action automatically executed in their account, residing in their brokerage firm. Since a simple Provider signal is executed by various different brokers that have different trading interfaces and configurations, trading problems can occur. A possible instance is an orphan trade. An orphan trade is a trade that although it is closed in the Signal Provider’s account, due to a variety of reasons, it may be left open on one or more of the Copiers' Live accounts. This incident can lead to different results between the Provider and the Follower - e.g. although the Signal Provider gains, the Follower ends up losing as a result of the trade having closed long after it had been closed in the Signal Provider’s account. However, Signal Providers have the ability to both monitor and close their live Copiers' positions that are detected as "orphans".
By using the tool for orphan trades, Providers can quickly and efficiently remedy this situation. Whenever a trade is closed in a Signal Provider account, if any orphan trades exist, they will appear under the POSITIONS tab within 5 minutes after having closed the trade. A table will appear displaying the provider ticket, the number of users under the same broker for whom the order is still open, currency pair, date opened, entry and current values, and a profit tab. To close an orphan trade, click on the "close" option; the trade will immediately close and a corresponding close message will appear.
Copiers can fine-tune and override provider signals by configuring their settings in their Profit4Traders account portfolio, or even manually.
B) Creating a Signal Provider account
Anyone can sign up to become a Trader. Simply register for your Trader account here. You can open up to 10 Trader accounts with the same email address. Competition however is fierce. Traders’ performance is constantly ranked by Profit4Traders Profit4TradersRank algorithm and the Profit4Traders community, so that only the best ones appear on the top of our lists.
For the European version of our Performance page, competition is even stronger! As per EU legislation, only the top 1000 Traders will be displayed and available to Copiers residing with EU, provided that:
They have less than 30% Drawdown
Minimum trading time of at least 12 weeks
The profit per trade should be greater than 3 pips. Signal Providers (Traders)
The Performance page is updated several times per day, as trades and Signal Provider statistics develop. Performance page also contains visual indicators, helping followers to identify certain Signal Provider attributes. Most common of which are:
In order to appear in the Performance page, a Signal Provider must first close 1 trade, while a minimum of 12 weeks of trading activity is required in order to appear on the performance page
Signal Providers earn the amount which they indicate in his private cabinet in the section subscription fee minus profit4traders service fee. Total amount for pay to signal provider will calculate right away.
Signal Providers compensation is calculated on a monthly calendar basis.
No any restriction for amount pay to signal provider as monthly subscription fee from any quantity of trade signals subsvriders.
For example, amount pay to signal provider as monthly subscription fee:
140$ - monthly subscription fee, set up by trade signals provider
140$ - (service fee) = 100$ from each subscriber
100 subscribers x 100$=10 000$ per
200 subscribers x100$ = 28 000$ per month.
Service fee (80$ - 50%discount) = 40$
2,9% fee (applied on the requested amount) for PayPal requests. Minimum request is 100$ by PayPal.
Payment requests can include accrued
subscription fee for only the previous month(s), up to the end of the calendar month prior to the request. The current method of payment for all Signal Providers are via PayPal.
Also please take under consideration the following:
To submit your request, Profit4Traders needs to be provided with sufficient evidence of the Signal Provider credentials – typically we require a valid photo ID (passport, government identification card or government issued voter’s card) and a recent formal bill indicating your name and full current residential address.
Before issuing payments, all trades need to be checked against our Trading Compliance the estimated time frame required to process a payment after a request has been made via our website is 30-45 calendar days.
An active account balance with a minimum of $100 is required before proceeding to request a payment.
Please ensure that your PayPal details, account or are set up properly to avoid any complications with payment.
If for any reason your account has been terminated and you have the minimum of $100, you can request payment via email to firstname.lastname@example.org.
Profit4Traders values the safety of its followers’ capital as an utmost priority. For this reason, Signal Providers who apply abusive trading behavior, introducing high risks to their followers, will be examined carefully and if deemed malicious, they will be refused compensation.
For each specific calendar month that a Signal Provider presents a negative Total Monthly PnL performance in ticks/pips, the Signal Provider will not be compensated. Total Monthly PnL includes unrealized PnL deriving from the end of month valuation of the Signal Provider’s open positions.
Please note that payment must be requested within 30 days of receipt of the termination notification. Payment requests received after this period will be rejected.
3. Trading Compliance Rules
When trading from a Demo account, please make sure your trading strategy complies with the following restrictions:
There is an upper limit of 100 market and 100 pending orders, as well as a limit of 5000 update signals, permitted to be broadcast to followers within a 24-hour interval.
Signals to create market/pending orders should have a minimum time interval of 5 seconds from the last one accepted in order to be broadcast to followers.
Maximum overall number allowed of open - market and pending - orders is limited to 100; any further signals will not be broadcast to followers.
Please note that none of the above restrictions applies to Signal Providers trading from a Live Account.
Trading from NinjaTrader7
In addition to the above rules for Signal Providers trading via NinjaTrader7 and outside of the Profit4Traders web interface, compliance with the following rules is also expected:
Closing partial lots is not supported.
Deleting Stop/Limit via strategy (updating Stop/Limit from non-zero values to zero via strategy) is not supported and related signals will not be broadcast to followers.
We support trading in Futures and Forex.
Altering of NinjaTrader7 trading records and statistics in any way is strictly prohibited.
Closing trades via the 'Close by' type is not supported.
Inappropriate Trading Behaviors
Profit4Traders values the safety of its followers’ capital as an utmost priority. For this reason, Signal Providers who apply abusive trading behavior, introducing high risks to their followers, will be examined carefully and if deemed malicious, they will be refused compensation and may be banned from future use of Profit4Traders’s services.
In order to avoid extremes, Signal Providers are required to comply with a minimum set of guidelines that aim to reduce risks, such as:
A Signal Provider's maximum total draw-down should not exceed their profit in ticks/pips (Max DD % should not be greater than 100% for Forex). (Max DD % should not be greater than 50% for Futures). This applies once there is an adequate record of provider's performance, e.g. once overall PnL exceeds 1000 pips (for Forex) or 100 ticks for futures.
No positions should be allowed to reach losses of 700 pips or more for Forex or 70 ticks for futures. The use of stop loss at reasonable values is mandatory to ensure followers' safety. A careful and short use of Stop-Loss will also assist and promote you in our Ranking algorithm. Large stop-losses or no stop-losses is not appropriate trading.
Profit4Traders is not endorsing a winning trades ratio close to 100%. It is a potentially risky strategy as it may indicate exposure to unusually large draw downs.
Note that the above thresholds in pips are indicative for basic FX pairs. Please assume equivalent amounts for exotic pairs including XAU, XAG or CFDs.
No trading should be performed outside of Profit4Traders's Market Hours. Market Opens Sunday 22:00 UTC and closes Friday 22:00 UTC. When Eastern time is in daylight saving, market opens Sunday 21:00 UTC and closes Friday 21:00 UTC.
4. Recommendations for Effective Strategies
Scalping is not Recommended.
Due to the combination of different trading policies, configuration and rate feeds of various brokers to whom your followers may subscribe, scalping is not a recommended manner of sending signals to your followers. The practice frequently leads to very inconsistent results for different broker accounts.
Trading During News
Many brokerage firms will often reject trading signals during News announcements that affect the market, resulting in possible discrepancies between the execution in your account and your live followers.
Trading with Unrealistic Amounts of Virtual Funds
Apart from producing unrealistic trading results, no trader will ever be able to relate with your strategy if your starting balance is extremely high, or you trade huge amounts futures or lots.
Accurate Strategy descriptions
Your Strategy description needs to be accurate and descriptive, so that your Followers can be aware of what to anticipate from your trading activity.
As unexpected trading behavior is not appreciated by your Profit4Traders trade signals copiers, any Strategies that are not in accordance with your actual trading behavior will be disapproved, affecting your Profit4TradersRank accordingly.
Your current Status should always be up to date. Please keep in mind that Copiers can request for a Status Update, in which case you will be notified via email and expected to provide a status update as shortly as possible. Awkward silences are not friendly towards your Profit4Traders Copiers, so please ensure timely updates are provided.
Suspension of a Signal Provider’s account may occur in two ways: temporarily as a warning, or permanently, leading to prohibition from using the service. Liability for any consequences from a Signal Provider account getting suspended burdens the account holder.
Providers linked with NinjaTrader7 that violate the Compliance Policy Rules, will be automatically disconnected from their accounts. They can try to re-connect after they have reconfigured their strategy according to the suspension reason.
Inactive Accounts. A Signal Provider account is considered inactive if there is no trading activity for a certain period of time.
All Provider accounts that have been inactive for more than 3 months will be permanently suspended.
Especially for Provider accounts linked with NinjaTrader7, the permitted inactivity period is limited to 1 month.
Provider accounts that repeatedly get temporarily suspended.