Signal Mechanics Beginner

Active vs Closed Signal

Also known as: open vs closed signal, live vs settled signal, signal status, active signal, closed signal

What is it?

An active signal is one that is still live in the market, running toward its target or its stop. A closed signal has already settled - it hit the take-profit, hit the stop-loss, or expired - so its outcome is final and nothing more can happen to it. When you act on a signal, you watch its state move from active to closed.

How it flows
stateDiagram-v2
    [*] --> Active: Signal fires
    Active --> ClosedWin: Price hits target
    Active --> ClosedLoss: Price hits stop
    Active --> ClosedExpired: Time limit reached
    ClosedWin --> [*]
    ClosedLoss --> [*]
    ClosedExpired --> [*]
    note right of Active: Still live - you can act on it
    note right of ClosedWin: Settled - history only
    
A signal's lifecycle: it stays Active while running toward target or stop, then closes as a win, a loss, or an expired no-result - after which it is a settled record.

Say you take a EUR/USD buy signaled at 1.1000 with a stop at 1.0980 and a target at 1.1060. While price sits at 1.1030 the signal is active and its result is still undecided. The moment price touches 1.1060 it closes as a winner, or if it slips to 1.0980 it closes as a loser.

Reading this state correctly tells you which signals you can still act on and which are only history.

Why it matters: Knowing whether a signal is still active or already closed tells you which ones you can still act on and which are only a settled record.

Trade impact: High

Acting on a closed signal as if it were active means entering at the wrong price and distorting the original reward-to-risk.

Real-world example

A GBP/USD sell signaled at 1.2700 with a 1.2680 target stays active until price prints 1.2680, at which point it closes as a settled win; a Bitcoin long that expires before reaching its target closes as a no-result.

How SignalBots handles it

Every SignalBots signal shows its live state, so on the Web Dashboard and in Telegram you only act on what is still active and treat closed ones as a historical record. See /risk-warning.

Pro tip

Only place new orders from signals that are still active - a closed signal's entry has already passed and chasing it changes your reward-to-risk.

Common pitfalls

Entering a trade off a signal that has already closed, so you buy a worse price than the one the signal was measured against.

FAQs

Frequently asked questions

How do I tell if a signal is still active?

An active signal has not yet touched its target or stop and has not expired, so its outcome is still open. SignalBots marks each signal's state so you can see at a glance whether it is live or settled.

Can I still enter a trade on a closed signal?

You can, but the entry price the signal was based on has already passed, which changes your reward-to-risk and your capital is at risk. It is usually better to wait for the next active setup.

What makes a signal close?

A signal closes when price reaches its take-profit, reaches its stop-loss, or the signal expires before either is hit. At that point its result is final and cannot change.

Does a closed signal mean I made or lost money?

Not by itself - closed only means the signal settled. The result depends on whether it closed at target, at stop, or expired, and your own fills, and your capital is at risk.

Why did my signal close as expired with no result?

Many signals carry a time limit; if price never reaches the target or stop within that window, the signal expires and closes as a no-result rather than a win or loss.

Trading involves substantial risk of loss. Historical and backtested results do not guarantee future performance. Read the full risk warning.