A trade signal is an indication generated by a technical analysis system that suggests when it is most advantageous to buy or sell a security. This signal is typically formed by studying levels of support and resistance in the market, or analyzing momentums of trading volumes, and is often used as a catalyst for investment decisions. Trade signals can help investors identify opportunities and make informed decisions on when to enter and exit positions in the market. With the rise of algorithmic trading and data-driven systems, trade signals have become increasingly important in today’s finance world.