Simple and profitable binary options strategies. 7 Binary Options – Strategies
Easy Binary Trading - Binary options trading strategy
As of today, I am selling my first manual binary trading strategy. I have three more, which I will soon list for sale.
Live Binary Trading Example 1: Note: you are not required to execute multiple binary trades. It is possible to do, but not required in anyway. Click here to see more of my trade history images : What is binary option trading? BO [binary-options] is a special kind of financial instrument. It allows traders to invest money in speculative currency trading. Are you wondering why people call it financial betting?
Well, BO is surely a financial instrument, but truth of the matter is, brokers execute no real trades in the inter-bank, or with any market maker. Binary trading is much simpler than forex trading.
Mark the strong signals and weak signals. Once that is done you can take an average of the number of bars needed. Both for the strong and for the weak signals to move into the money.
With forex brokers, you can actually trade currencies in the inter-bank, though you need much bigger investment to do that. Binary options are an alternative to forex trading and it helps you limit your losses.
Instead of losing huge amount of money, BO limits your profit and loss on a per trade bases. In BO trading, you simply choose the direction in which you think a currency pair is going. In forex trading, you have to use a trading platform such as MetaTrader 4. Many forex brokers also have their own web-based platforms.
You can open a trade by buying or selling a currency pair; you can use Stop-Loss and Take-Profit features to trade effectively. Unfortunately, not many traders trade successfully in forex.
Get started with 3 easy steps:
Binary trading is simple and easy to understand. However, you still need a working strategy to make profits. If you leave things to pure-guessing, then you are going to lose all your money to your binary broker. You need to find a system that works i.
What is a binary option contract? A BO contract is simply a trade that you open with a binary option broker. Each contract, or trade, has a fixed expiry time.
Trading Strategy For Binary Options. Winning Strategies Explained
If it moves in the direction you predicted, then you win the trade. Note that the asset price has to not just move but also stay above options triangle tactics below the rate at which you opened the trade.
A trade can also end in a tie if the opening and closing rate of the asset is same at expiry-time. If you use a good system, you can earn good profits in this business. What percentage of winning [in-the-money] trades is profitable?
This winning percentage will only keep your account in positive. Your winning ratio should be at least ; for every three losing trades, you need to win seven trades to recovery the loss and make some profit. But why buy my strategy when you can get free ones online? Yes, you can get your hands on many Option purchase example strategies on internet.
However, do you really think someone is going to publish a real money generating system online for every trader to see? Even if someone does that, how long can such strategy work before it runs out of gas?
I am going to show you few binary strategies now; these are available online free of cost. Remember, these strategies have nothing to do with my strategy; these ones are available online free of cost. You can easily find them on internet. It is a small software traders use [mainly] in forex trading, but some brokers also allow binary trading using a special MT4 terminal.
Installing and using MT4 platform is easy; use Google to find details about it. You can get a demo account with any forex broker, like Oanda. Download their MT4 platform and install it, then use the demo account to login. You should also learn how to read currency charts, specifically candlestick charts. You can easily learn to read candlestick charts. After you install a MT4 platform, add all major currency charts to the main screen. Select 15 minutes period and change [if needed] the chart to show candlesticks instead of line-chart.
You can easily analyze currency charts to find channels, or trends. Here is how the channel-surfing strategy works. As you can see, this chart is showing a channel going downwards.
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Point A, B, and C are showing some interesting things. This is pure speculation and there is no guarantee that this is what is going to happen next. Look at the following image; it shows where the price moved next: What kind of success rate can you get with this strategy?
As I mentioned before, this strategy is a freely distributed on the internet, so do not expect high success rate. My personal suggestion is that you try this strategy in a demo BO account and see for yourself what success rate it enables you to achieve. You cannot rely on candlesticks charts and some lines.
There are many things that influence the currency market and they can change trends in few seconds. Price of currencies pairs, especially ones with USD in them, can move up or down sharply. It is wise to ignore, or not trust, any signal you get from channel-surfing strategy. When you are using this strategy to execute trades, my suggestion is to opt for longer trade duration.
Choose at least 45 minutes or longer trade expiry time. Simplified Market-Reversal strategy Look at the following image: It is showing you few 15 minutes candlesticks; I want to focus your attention on only three of them namely A, B, and C.
Candlestick marked as A is showing a sharp pips move. After such a sharp move, you can expect a small market-reversal or correction.
You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. The financial products offered by the company carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose. Start trading with four easy steps: How to minimize the risks Our goal is to provide you with effective strategies that will help you to capitalize on your returns. These are simple techniques that will help to identify certain signals in the market that guide you make the proper moves in binary options trading.
The reversal is not big and it does not last for a long time. It [candlestick marked simple and profitable binary options strategies B] tries to move up but fails. It only moves a bit higher than the previous candlestick. Look at the following image: When you get conformation from the second candlestick, you can go ahead and start a PUT, or down, trade. The tricky part is what expiry-time to choose. Usually, 5 to 20 minutes expiry time yields the best results.
This market reversal strategy does work but definitely not all the time. There are many reasons simple and profitable binary options strategies an asset price can jump; you simple and profitable binary options strategies possibly win every time there is a big sharp price change in a currency pair. The basic idea is to trade immediately after a big news comes out or some market moving event takes place.
As I have mentioned before, forex market is very sensitive to economic and political events. For instance, when report of US unemployment rate comes out, the currency market becomes volatile; this is how the market reacts most of the time.
Anyway, the news market-reversal strategy dictates that you monitor the market just before a big news announcement is pending release. You need to watch the pairs that this event is going to affect the most. Focus on the pair that moves up or down the most. You can simple and profitable binary options strategies an expiry-time between 5 and 15 minutes. The logic behind this strategy is that there will be some degree of retracement after the initial sharp move.
The price temporarily moves in the opposite direction of the prevailing trend. The reason behind this system is that a huge selling pressure is often followed by some buying period and vice versa.
See this strategy in action in the following image: You are welcome to use this strategy, but I suggest to first use it in a demo account. Practice it and see what ITM you can achieve.
- This strategy is designed to help you identify whether you'll like trading binaries and teach you how to trade binary options the right way.
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If you find this strategy profitable, then by all means, start trading in a real binary trading account. Recovery Strategy This strategy is less about trading and more options parity theorem recovering your loss.
Assume that you execute a CALL trade with 30 minutes expiry time, but the asset moves hundreds of pips against you! After few minutes, your position in the trade is bad and your chances of winning it are grim. The logic in this strategy is to start a second trade and select same expiry-time so that both trades end at the same time.
More importantly, you must choose the same direction that you chose in the first trade. I will try to explain it by showing you this strategy in action. These two candlesticks are showing a sharp move in a currency pair. This is when you can use the recovery strategy; you do that by executing another CALL trade at point B. Remember that the second trade must expiry at the same time as the first one does.
Sometimes this strategy amazes you; do you know why? Well, because sometimes on expiry time, you win both trades! Check the following image to see where the price moved next: 5. The aim of this strategy is to invest your equity in the strongest currency of the day and pin it against the weakest one. Big investors, bankers, and professional traders are using this strategy worldwide. Each trader uses a different version of this strategy.
Add it in your MT4 platform. I suggest you try different indicators; find the one that gives you the most accurate currency strength parameters. The rest of the strategy is pretty straightforward. As soon as you detect the strongest and weakest currencies, you can execute a trade going against the weak currency.
Choose a longer expiry-time. Following links may help if you are looking for free trading strategies:.