The Fibonacci Retracement Binary Options Strategy

Trade binary options at fibonacci levels

Binary Options Strategy with Fibonacci Retracements When trading binary options, it is one of the most profitable ways to follow an existing trend. As long as this continues, it can be traded profitably with high probability. However, also a possible trend reversal or a correction move can be determined within a binary options trading strategy with a relative probability.

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To this end, the Fibonacci Retracements are used, which are already included in the MetaTrader 4 platform and can be drawn into the chart. The Fibonacci Retracements are based on a trade binary options at fibonacci levels of numbers that was discovered in the 12th century by the Italian mathematician Leonardo da Pisa.

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In the MT4 retracements, these are the levels 0. For this strategy, in addition, the point at How this is done can be seen at the bottom of the Fibonacci strategy for forex trading. Each of these plotted levels is an information for the Trader about the possible further price movement.

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For a better interpretation of this information, the Stochastic is additionally used. Example of a correction and trend reversal When the price reaches the level at This could be a short-term or just beginning correction movement.

At When the level at However, here applies special attention to the Stochastic indicator.

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As long as this does not signal an overbought or oversold market, the correction movement will continue with a high probability. If the price reaches the level at Indicates the Stochastic however an overbought or oversold market, this probably offer opportunities to buy binary options with short expiring times.

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Turns the price here significantly in the original direction of the trend, longer expiring times are the better choice. At the manually inserted The market here is often indecisive, and the further development should be awaited before a binary option is purchased. If the point is clearly broken towards the If it returns above or below the level at But before he does not break through the point at As with all other strategies that are based on a chart in MetaTrader 4,also in the Fibonacci binary options strategy the expiration times should be aligned on the times reflected by the candles on the chart.

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