You must have observed that they usually go in a zigzag manner. This might seem like an easy job, but it requires practice.

First, it is better to get familiar with trading graphs and their trend on demo trading apps before trading your money in a real-time market. To apply this strategy, you must study the chart and see the movement of lines. If the line is going up, the prices are increasing and vice-versa. If the line is horizontally straight, then find some other option to trade your money.

It is essential to have practical knowledge, practice on the demo trading sites and get a clear-cut idea. The use of this strategy must be done in combination with the news strategy. First, you must know the nature of the market you are trading in. Then, after knowing about the ongoing trend, you can start using this strategy.

This is a strong strategy that increases the chances of right predictions and winning. The rainbow strategy is a pattern that includes the usage of various averages in actions with varied periods.

Each of these periods is identified with a different color. The moving averages are used to recognize the price changes. Moving averages with many periods react slowly to price changes and moving averages with few periods react quickly. If you observe a strong movement in the asset chart, the moving averages are most likely to move from a slow to a fast direction in real-time trends.

The average that moves the fastest will be placed closest to the asset price, the second closest will be the second fastest, and the third closest to the price will be the third-fastest moving average, and so on. When you observe that the numerous moving averages are placed in the pattern as discussed above, you can say a durable movement in price in a determined direction.

Therefore, when you encounter such a pattern and trend, trade your money right away as this is a favorable time. You can choose how many averages you would like to use. Most good traders use three moving averages. If the moving averages are positioned so that the shortest line is above the medium moving average and the longest is below the medium line or moving average.

You must trade on the asset prices falling. It depends on you to determine the number of moving averages in a period. Therefore, it is recommended to use a duplex of periods you used previously in each moving average. This change in the number of periods used in different moving averages will give you reliable ratios, which will, in turn, provide you with precise signals.

Steve Nison introduced the binary candlestick formation strategy in one of his books in the year A good trader must know how to read asset charts. Once you understand its patterns and movements, it will be easy for you to predict the next move of the asset in the charts. For example, there is a pattern formation in the asset charts called the candlestick formation. The patterns formed by the lines going up and down appear like candlesticks.

The top line is the highest price called the mountain, and the bottom line is the lowest, called a valley. There is no one specific formation in this strategy, but there are a few that you must learn to identify and read to trade better.

To apply this strategy, you must observe the chart and pattern of prices for a while. You will notice some repeated pattern formation. Then you can use your knowledge and experience to predict whether the line will go up or fall. Yes, this strategy works that quickly. It is fast and effective. Being a trader of binary options trading, you must be aware that the trading market is not random in the short term.

One more benefit of this strategy is that it saves you a good amount of time. If you play in 5 minutes, you can make more trades per day. However, such short-term binary option trading strategies are required risk management and technical analysis. So, the money flow index strategy is time-saving but also includes lots of risks.

To master this strategy and make money every 5 minutes with Binary Options , you must learn technical analysis. This will help you in understanding whether the other traders are selling or buying. Once you understand this, it will be effortless to use the MFI strategy with the money flow index indicator.

MFI index indicator — the indicator tells you the ratio of the asset sold to the number of the asset purchased. The value is generally between Now that you understand the relationship between the ratio of the MFI indicator and the traders planning on buying or selling the asset, it will be easy for you to choose one option and secure your money.

In addition, you can easily estimate the asset price movement after understanding the demand and the supply. In simpler words, if the number of traders buying an asset is much greater than the number of traders selling the same asset. There will be fewer traders to force the price of assets upwards. As a result, the demand and price will both go down. In the same way, if the number of traders selling an asset is greater than the number of traders buying it, the supply will diminish, and prices will increase.

Mentioned below are the ways you can use the MFL index for your next accurate prediction:. This strategy works best for a short period. Traders usually use this strategy to play 5 minutes bets.

In the long run, it is tough to predict the process through this strategy as it goes to extremes. So, avoid using this strategy for your long-term trades. This is a popular strategy among binary options traders. As the name suggests, this strategy uses the movement of asset prices in the last twenty days.

Then use this data to predict the next hit; it might be a high or low. This strategy provides you with two signals:. This strategy can be used easily by beginners. However, the outcome of the turtle strategy has been mixed. We use a heuristic approach to speculate on which way the price is going to move during the next 60 seconds. At the end of the day, traders are looking for a reliable binary options system that will help them make money from trading.

The good news is that the best binary options strategy is exactly that system. Our team is built of many traders with experience in the industry, including binary options traders who know how to make winning trades. Please Share this Trading Strategy Below and keep it for your own personal use! Thanks Traders! We specialize in teaching traders of all skill levels how to trade stocks, options, forex, cryptocurrencies, commodities, and more. Our mission is to address the lack of good information for market traders and to simplify trading education by giving readers a detailed plan with step-by-step rules to follow.

The article on binary option trading strategy was useful. Thanks sharing for valuable information about binary options. Thanks for the article. Are you referring to building a strategy multi-step indicators in a trading platform?

Does the starting point and ending point of your 50 candle low have to be the same color candlestick too? You from tradingstrategyguides, could you create an indicator with these settings for us binary traders.

That way we would be better able to migrate to Forex. remembering that I am a loyal customer of yours and I pray that one day you can help us with this. And thank you so much for that knowledge. Please log in again. The login page will open in a new tab. After logging in you can close it and return to this page. Binary Options Trading Strategy — Best Seconds Strategies by TradingStrategyGuides Aug 8, All Strategies , Options Trading Strategies 21 comments.

And that, my friends, is the real beauty of binary options. What are Binary Options? So, the first thing you need to decide upon is to select the asset to trade. Trading binary options require you to correctly forecast two things: Whether the market will rise or fall. Your forecast needs to be accurate during a certain time frame — called the expiration time. The Best Binary Options Strategy Our team at Trading Strategy Guides is ready to share with our beloved trading community our second binary options strategy.

Use the second chart 1 Minute TF The 1-minute binary options or the seconds time frame is the best chart for trading binary options. See below: Step 2: At the moment the 50 candle low develops, we need an RSI reading of 20 or below Since this is a reversal trading strategy we need the RSI indicator to show a bullish reversal signal.

See below: Step 3: Look for a bullish divergence to develop between the RSI indicator and the price. See below: Step 4: Buy a Call Option after the first candle that closes above the high of the 50 candle low The first thing you need to do is to mark on your chart the high of the 50 candles low with a horizontal line. If you want to buy Put binary options, use the same binary options guide, but in reverse. See below: Conclusion — Binary Options Trading Strategy Before learning how to make money trading binary options you need a great Binary Options broker.

Thank you for reading! Also, please give this strategy a 5 star if you enjoyed it! No Ratings Yet. First option recovery says:.

April 6, at am. Rury says:. January 4, at pm. Ky says:. January 14, at pm. lenniiijuss says:. February 20, at pm. TradingStrategyGuides says:. March 23, at pm. aman says:. February 22, at am. As a beginner learning technical analysis, you could benefit a whole lot by practicing strategies using dummy money with a demo account.

Many brokers offer demo accounts for free. Getting some practice and gaining some experience before investing real money into the market is the right way to go. Until then, use news sources to make money with binary options more on that below. You must have an underlying money management strategy to determine how much you will trade regardless of your approach. The two most common money management approaches traders use are the Martingale and the percentage-based approach.

The method is a lot less risky since it determines how much you should invest in a trade based on how much you have in your account. If you lose money, the next time you make a trade, you will have less to invest since you will have less money in your account. But this also means that you will have money in your account at all times, and you could bet more after each successful trade. The percentage-based approach helps ensure that you make profits consistently. Learning strategies, personalizing them, and testing them out is the only way to find a good strategy.

Any trader worth their salt will tell you that the strategy you use will pave the way to your eventual success or failure. You must remember that some strategies yield outstanding results in the short term, and others make you great money in the long term. Recognizing which strategy is suitable for what circumstance is a part of being a good trader. Every time you develop a new strategy or make changes to one you use, test it out.

Also, make sure you have a money management strategy to complement your signal. If you want to start trading Binary Options successfully, you will need a reliable broker. In the next section, we show your 10 different strategies. We recommend using the practice account first before you invest real money. The following 3 brokers a tested and checked by us:. Asset prices typically move in accordance with trends. The price will rise or fall along with associated assets since the market is constantly speculating and in real-time.

You must remember that a trend rarely has a straight line up or down. There are two ways of trading with trends: you can either trade with overall trends or trade with swings. Most traders make a profit by looking at the general direction and setting an end-of-day or end-of-week expiry.

Alternatively, you can trade with every swing in the trend. As mentioned earlier, trends typically move in a zig-zag fashion.

Betting during the up or downswing can make you more money in a short period, but it is also significantly riskier. You must examine the chart and look at the trend lines. If the line is flat, find another option to trade. However, if you see that the line is going up, the price will likely go higher. The same is true if you see that the line is going down. Once you find the right asset and trend, you can use Binary Options and make money if your speculations are correct.

While following the news is one of the most basic strategies, it can make you good profits. It is easier than performing technical analysis, but it requires you to read the news and stay in the loop all day, every day. Online news is only the start. You must pick up newspapers, tune into news stations, and leverage as many other sources of information as you can. The idea here is to understand the asset as deeply as possible before evaluating whether its price will rise or fall.

You also need to reflect upon human behavior. A piece of news you find positive may not be seen as great news by the rest of the market. One of the drawbacks of using the news to make trading decisions is that you cannot tell how far up or down the price will go and how long the price movement will last because of a particular event. If you find out they will be unveiling a new product, you can buy options and wait for your profits to roll in when everyone loves the new product.

This strategy must be used in conjunction with the news strategy. Straddle trades must be made right before an important announcement. The strategy leverages the swings of a trend. You will make some money regardless of if the price goes up or down.

The straddle strategy is known among traders as one of the most consistent ways to make profits — even in a volatile market. In this scenario, the affected companies will scramble to find a solution to continue production.

Using the straddle strategy and leveraging the waxing and waning of the market in scenarios like these is an excellent way to make profits using binary options. You will benefit from the market regardless of what happens in the long run.

The Pinocchio strategy is similar to the straddle strategy — it calls for deliberately betting against the current trend. In a nutshell, if an asset is experiencing an upward trend, you must place an option expecting the price to fall.

While beginners with no knowledge can apply the strategy, a deep understanding of the asset is essential to making this strategy work. Only if you understand how the asset works will you make accurate predictions and make profits. When the candle is white or dark, it indicates that the market is bearing or bullish, respectively.

If the wick of the candle points downwards, place a call option. If the wick points upwards, place a put option. If you know how to read asset charts, you can try out this strategy. Candlesticks show you a lot of information about how the asset behaves over time. You will start to see formations that repeat over time, which will reveal the potential movement of the price in the future.

If you see that the candlesticks of an asset are taller and the price is experiencing a peak, you can expect the price to fall soon. On the other hand, if you see a trough of candlesticks, you can expect the price to rise.

These mountains and valleys often appear over months.

Home » Strategies » Best Trading Strategy. On this site, I will show you my best Binary Options Strategy. You can easily use it in every timeframe like 60 seconds or higher expiry time. Also, it is possible to use the Martingale strategy to improve your results. It works on every asset and in every timeframe. Learn to trade profitably in a few moments. Look at the picture below for the first impressions.

If you only trade this style of trading, it is possible to make a lot of money. In the next chapters, I will provide you with more information to win against the market!

Binary Options Strategies can be different methods to trade the market. First of all, a Binary Options Strategy does not have to be difficult. It is possible to make money with simple ideas and methods. Therefore it is important to use strict rules for trading the market.

The most common mistake is not keeping to your own rules! In addition, a good strategy reduces emotional and irrational trading. Most traders lose their money because they trade without a proven method and strategy.

Advanced traders know how the market work and they practice their own methods a lot. You have to learn and get a higher knowledge of the market. From my experience, it is not easy to learn to trade successfully in a short time horizon. In the following article, I will give you strict rules for trading the markets and I will show you how the strategy is working easily and successfully.

Learn more. Load video. Always unblock YouTube. False Breakout is an easy way to trade the markets. To trade breakouts does not work very well. I have tested it many times in the past I will show you the reason why it does not work well below. After a breakout , the market comes back most of the time. If the market comes back you can go short put and long call.

It is universal. See the picture below! For this question, it is important to have more knowledge. At highs and lows are a lot of stop-losses from other traders in the market.

Professional traders use this knowledge to get high liquidity for their own positions. They quit or open a trade where high liquidity is. In most cases they will fake this breakout or the market will turn because of closed positions.

There are a lot of traders who will trade such breakouts. Algorithms are programmed and triggered to make lose them money. New and fresh highs and lows are the best levels for this Binary Options Strategy! With several highs in a row, it is more likely that the market will break through this level. Search for big new and fresh highs. For the best results, the level should be created in the current day. See the picture below. Furthermore, the best levels got the V-Form. I will show you the picture below.

The V-Form is seen clearly by a lot of other traders in the market. They put their stop-losses on these levels. Also, it is possible to trade the V-form as support and resistance. I rather wait for the false breakout of the V-Form. It works with a high hit rate and you can easily make money with Binary Options.

Risky traders open a position directly in the opposite of the breakout. In my opinion, there is a better way to get good results. In the picture below I will show your my exact entries. Select the level in the markets. If the market passes the level back, you can open the trade. It is just so simple as it sounds. Sometimes you will need trades to make a profit. That is why I double my investment amount if I lose a trade. You can use any timeframe for this strategy.

The time does not matter for your analysis. Only the price of the asset matters. No professional trader cares about the time. You will see that the small timeframes are more difficult to trade because you have to pay more attention to the market.

You have to react much faster than in higher timeframes. In conclusion only the price of the asset matters. Money Management belongs to every Binary Options Strategy. Without the right money management , you will lose everything. Most traders do this mistake. So you can lose some trades without destroying your account completely. Money management depends on the trader, too. Some traders are very aggressive and take a lot of money to invest.

In the end, you have to decide for yourself how much money you want to risk. In my opinion, it is insane to use this risk. Most professional traders use a risk of 0. From my experience, you will get hard emotions by losing a huge amount of money in a short time horizon or a few trades. If you lose your trade, you can double your investment or use more than 2,3x of the last investment in the next trade. This is very risky, but with a successful strategy, it is a good way to work with.

A martingale can blow up your account in a few trades. I only use it when I feel very safe for the next trade and I recommend that. Another point of successful trading is the market economic news picture below.

A lot of traders use this economic news to trade the market. In my opinion, it is like gambling, because you do not know the result of the news. In addition, you are to slow to react quickly when the news appears. Orders are triggered in less sen 0,01 seconds. There are automatic trading programs which are faster than you!

In conclusion, it is not a good idea to trade economic news. My advice to you: Stop trading 10 minutes before and after the news. The volatility is very high and in most cases, the market will jump right over your screen. The market does not care about the numbers, because they are priced in already. I use the economic news of www. You will get the right news 0,1 seconds after they are released. In the table below you will find the best Binary Options Brokers.

It is very important to use a broker with good charting software. It is useless to trade a successful strategy for a bad broker because maybe they do not pay out your profit. I tested several brokers and recommend them on my website. You can create a demo account to practice this new method of trading the markets. My recommended brokers offer you a free and unlimited account.

The conditions are the same as in the real money mode. Another relevant point is the trading software for the execution of your trades. You should analyze the chart in the best way you can.

You can also change some of your preferences. Moving averages come in many forms and are often used to determine trend, provide targets for support and resistance and to indicate entries. What we need to see here is for the price to continue moving lower after the 50 candle low was identified. Every strategy involves either creating or recognizing a signal, which you must use to decide whether you should buy or sell an option. There are only 24 hours in a day, and with long job working hours, it is challenging to make time for trading. Fundamental strategies focus on the underlying health of companies, indices, markets and economies and while important to understand, is not as important to binary options as the technical aspect of trading.

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