In the world of foreign exchange trading ("forex") forex signals are suggested orders for a currency pair. This suggestion may be made by an automated forex robot or by an expert forex analyst. As the value of a forex signal is time critical they are communicated by fast methods of electronic communication such as tweet, email, RSS, SMS or websites.

Any person considering subscribing to a forex signal service, or undertaking any form of currency trading should be aware of the risk of losses. Financial losses can occur in any financial transaction, but the potential high gains in forex trading have led to unscrupulous selling to investors who are not aware of all the risks.

The Commodity Future Trading Commission (CFTC) is a federal agency which regulates markets including foreign exchange trading in the United States. Advice published by the CFTC warns consumers of the special care which should be taken by anyone thinking of participating in foreign currency trading.

While currency trading is a legitimate and economically vital activity, a number of forms of trading have been touted to defraud the public. For example you are urged to be cautious when firms claim high profits with low risks: usually high profits are only possible if you are prepared to take high risks.

Also beware of claims that low investment can lead to high profits when you are trading on margin. The investor on margin may be liable for losses many times larger than their original small investment. If you do not 100% understand what trading on margin means then do not take the risk.

People with retirement nest-eggs are a particular target of unscrupulous or fraudulent promoters. Do not invest money you cannot afford to lose. If you lose your money to fraud you will find it impossible to get it back.

Be wary of transferring money on the internet. Many companies offering on-line forex trading are not located in the US and are outside CFTC jurisdiction. They may not display any identification of nationality on their website. If in doubt, do not invest.

Check the company's performance track record. You should be able to get this from any responsible firm. If individuals or firms do not have this information then beware. Also beware of purely verbal information.

You can quite easily get into contact with a network of real forex traders. You should look for unbiased reviews of forex services, and join on-line forums.

Check if a individual or firm is properly registered. They should be registered with CFTC and NFA (National Futures Association). Also check the fraud page by visiting the CFTC website.