Binary Options Strategy
Follogaing a system when trading digital options may significantly increase your chances to be profitable. However, you should stay realistic and be aware than you can never be certain of success. Binary Options Strategy
Are binary options methods infallible?
There is no perfect system in trading, no matter what any so called “Guru” or signal provider will tell you. All methods have some flaws and weak points, and there is no such thing as a perfect mathematical model to achieve profits on the financial markets. When deciding to use a system you must be aware all the time that even the best system is no guarantee for success. However, this should not discourage you, because certain methods can be very profitable most of the times. You only have to keep in mind that luck is a very important factor in trading, just as it is in life in general. Binary Options Strategy
What type of binary options methods exist?
Generally speaking, there are two main categories of methods when it comes to binary trading:
Type 1: Strategies based on betting models – Those methods presume that using specific patterns in terms of investment amounts and the right timing can generate profit no matter if the trader is skilled or not at market prediction. Those methods presume that in certain situations you can design your option buying system to give you a high probability of gainning. In this category you will find betting pattern methods like The Grinding Strategy or methods based on trading the news. Binary Options Strategy
Type 2: Strategies on how to predict the direction of the market better – In this case the methods are based on effortless technical and statistical evidence that in some circumstances the market has greater chances to move in one direction over another. While technical analysis can be pretty complicated, there are much effortlessr ways of interpreting the charts, especially when it comes to binary trading.
Binary options effortless system
The system that we are going to present is a very effortless “Type 2” system. It's purpose is to help you predict the direction of the market movement and have a high percentage of options that finish in the money. This system is based on the assumption that markets tend to correct themselves after movements in one direction, and the price usually goes up and down. This means that if the price has raised in the previous timeframe, it is more likely to fall in the next one. Binary Options Strategy
Of course, this is not a rule and there will be many times when it won't happen, especially when the market is on a trend, but when the market is calm and fluctuations are at small levels (a low volatility) you will most likely see ups and downs constantly.
Binary options usually have a small timeframe and are ideal for this type of technique. The trading platforms of the brokers will show you a recent chart of the asset that is well suited for the option's timeframe. If an option expires in 15 minutes, you are likely to see the chart for the last 45 minutes and an empty chart for the next 15 minutes. Binary Options Strategy
Binary Option 60 minutes Chart
If the current price is higher than the opening price (in the current sample the current price of 79.7199 is higher than the opening price of 79.6921) the price is more likely to move down, and you should buy a PUT option. In the opposite situation, when the current price is lower than the opening price you should buy a CALL option as the market is expected to move up. Binary Options Strategy
After buying the PUT option you must wait until the expiry time, which is 15 minutes in this case. Let's see how the chart looked like after 15 minutes. Binary Options Strategy
Binary Option final chart
The price moved down to 79.7032 and the option finished “in the money” generating a profit of 81%* (Amount to be credited in case the operation is successful) in only 15 minutes. As you can see, the price followed the tendency to normalize after a small increase and finished cfailr to the opening value. While this outcome is more likely to happen than the opposite, you should expect a decent amount of trades to end up the wrong way.
You should also keep in mind when using this system that sometime the market is on a trend or some important news may be released that will shake the market to a degree that such simplistic analysis will be useless. This system is recommended on calm markets with small trading volumes and no news expected to be released in the follogaing hours. Binary Options Strategy
Binary options signals and automated trading systems
Some very experienced traders have developed their own complex trading methods that render very good results. Such methods and algorithms are available to everyone through special services that offer trading signals or even automated trading through their advanced systems.
We have a dedicated page where you can find the most popular trading systems that can be used for free. Check the list here: Best Binary Options Systems.
More binary options methods
Here is another interesting system that helps in predicting the asset movement that can work great with certain pairs: Cointegration Strategy
If you want to see more binary options methods we recommend you to visit the system section of Binary Options World (www.binary-options-world.com): Binary Options Strategies Binary Options Strategy
There you will find more “Type 1” trading methods, including methods for news trading (TOSNT and ASBOCT) and the so called “Grinding Strategy”.
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