We are covering everything from a start on how to trade binary options, what to focus on, what brokers are good and can be trusted, what strategies and tools you should use but let us focus on how not to trade binary options here. Some people even think that wearing certain type of ring or bracelet or anything like that can give them better chance of winning while it is only them who can do that. Because binary options trading is not based on some random events or moving planets or anything like this. It is purely based on dedication, patience and focus you show and give.
LUCK IN BINARY OPTIONS
There is alot of methods that are alternative and people trust them becuase it gives them an extra security. Within that we have lucky charms, they can do some rituals or go to astrologer. There are other aswell. This kind of tactics may only imporve your psychology level it has nothing to do with actual trading since these are superstitions. If you check online on wikipedia, they say luck is:
The definition of Luck (or chance) varies by philosophical, religious, mystical, or emotional context of the one interpreting it; according to the classic Noah Webster’s dictionary, Luck is “a purposeless, unpredictable and uncontrollable force that shapes events favorably or unfavorably for an individual, group or cause”.Yet, the author Max Gunther defines it as “events that influence one’s life and are seemingly beyond one’s control”.
As you can see luck is beyond control and it is something you can not affect by only desire. You are basicly waiting for a miracle to happen, in this case luck that will bring you profit because you are wearing your lucky underwear for example. Even if you did have a lucky strike, it was because of yourself not pair of undies since luck does not know what is good or what is not. As you can see now, luck is something that is totally random. If you think and focus you will see, everyone from time to time wishes for some luck even though we all know how the world, real world works.
ASTROLOGY IN BINARY OPTIONS
Ok, so maybe if luck does not ahve anything to help you out as a trader then astrology definitely can, right? Wrong. You may know that astrology is actually based on time and that is why the assumption that trading and astrology should go together really well. If you do not know what astrology is, you must read this first:
Astrology consists of several systems of divinationbased on the premise that there is a relationship between astronomical phenomena and events in the human world. Many cultures have attached importance to astronomical events, and the Indians, Chinese, and Mayans developed elaborate systems for predicting terrestrial events from celestial observations. In the West, astrology most often consists of a system of horoscopes that claim to explain aspects of a person’s personality and predict future events in their life based on the positions of the sun, moon, and other planetary objects at the time of their birth.
There were actually some trading system based on the astrology but they are not working in long-term as expected. For example, astrologist are prepared to create you a chart for each company you want to trade so he can tell you then when its the appropriate time for executing the trade. There are other methods aswell but there is no point no revealling such things because this is not possible. This is something you have to learn and do on your own. You are the luck creator.
You saw that luck is something random and relying on astrology is also not gonna work but you can always relly on yourself. You just have to practice and dedicate yourself to this. It is not easy but it will work if you will learn hard and start practicing. To make your own luck is basicly that you put yourself on the right spot at the perfect timing. If we do example in binary options, this would mean that you would know for earning announcement and you already did your reserach and anticipated in which direction it will go. That is how you create it!
When you are new to trading it can be confusing when you see how many indicators and tools are available for trading. Some of them are good but some are also bad and not that good. That is why you can check here descriptions of top ones that would be recommended for binary options beginner. If you learn all of the below listed, it will definitely provide you with solid foundation for future trading strategies that are more advanced.
Candlesticks basic trading – Japanese candlestick are one of the best ways that you can view the charts and get an idea where it will go. It gives you the most information. It is more then hundred years old which means it will not die in near future. You can see that each candle represent where it was opened and closed and they are also colored so you can identify if the price is up or down. If you are not familiar with them, then this is a must read for you.
Fibonacci miracle trading – If you are not familiar with who Fibonacci is then i can suggest that you should leanr about it since it is very interesting. If we make this story short for you, he was a mathematician who has seen that nature around us was rules with a set of simple ratios. He found them everywhere around him in everything. His numbers are nowadays used to measure the market in several ways but most useful for new traders is definitely fibonacci retracement tool. When you activate this tool on your charts it will show some good prediction of support and also about resistance based on the provided chart you are looking at that moment.
Moving average tool – There are many trades that are successful that use momentum for their trading profits therefore this is one of basics when it comes to technical analysis principals. This is definitely one of top tools if you want to meausre momentum. It utilizes two moving averages and then it measures the distance that is beetwen both of them. With this as we said you will easily identify also support and resistance and when to enter a trade.
Time Series Forecast Indicator – This many sound complicated but it is actually easy to use since it provides you clear signal for trading short term. But if you use this indicator and combine it with others it can become even better. THe indicator uses multiple linear regression which will show you the movement for future. A signal is simple as croosing above or below.
Force indicator – This is an oscillator which was made by Alexander Elder. He is a trader that is trading commodites and also a book author such as “trading for a living”. This is indicator that showy you momentum but based on volume and direction. It can help you to determine support or resistance and also trend.
You need to go through all of them in order to be a good trader that has a good base of knowledge. Based on these you can go into more advanced strategies later on. Also do not forget to join our community.
We have checked many different strategies and some can be used for binary options and others not. You can see here five strategies that you can apply to binary options even if you are novice trader. There are also better, highly efficient strategies but they require much more knowledge and expirience from the market that is why they are not recommended for traders that are new to this. Strategies that you will read will be easy to understand for you and will give you a good base for your future trading expirience. Click on the one you wish to read in more detail.
MACD ENTRY STRATEGY
Macd entry strategy – MACD or in long, Moving Average Convergence Divergence is an indicator we use here and is best for short term charts such as 5 minutes. It uses two moving averages and also the MACD histogram to determine the trend by following singals. Although it is good to use it on short time charts, it also can be used for longer time frames.
TREND IS THE FRIEND
Trend is the friend – It is one of well known things in trading because following trend strategy will always be here. But it takes you some time to understand how to take it and turn that into profit. You will get to know how to use trend lines and trade with them. You can also use this strategy for other more hard strategies.
Pinocchio strategy – This strategy is based on price action signal such as pin bar. This is actually known as shooting star in technical analysis based on candle sticks. The nam itself does not matter that much but you will learn how to identify support and resistance.
BINARY OPTIONS HEDGING
Hedging strategy – Hedging is actually really important for tradinf of any kind. It is something that you need to practice to protect your account by opening trading positions that are off-set. This means you will protect yourself from losses and help yourself to profits. With this information in the article you will see how to hedge in binary options even though they are simple form of trading.
1-2-3 SYSTEM STRATEGY
1-2-3 system strategy – it is based on price action focusing on reversals. System is relying on reversal patterns that are forming at support or resistance and it has been used for decades. It is great for a novice trader since it is really simple tos tart with and later can be used with other strategies.
These are the strategies that you should atleast read if not learn. They will represent you a base for future trading. To learn more, i would recommend you to join our community and learn in the school section.
Indicators are based from technical analysis, that is where they are used. As the name itself suggest, they indicate us based on what the choosen indicator is specified for. There are traders out there who trade based on naked chart, meaning there is only price line with no indicators. That definitely not means they are without use. What indicators can do is they can show us more of a bigger picture on the whole thing based on the history by for example, smoothing the price line.
WHAT YOU WILL LEARN HERE:
- What is indicator?
- Old-school indicators
- Future Indicators
- More examples of indicators, provided from other websites in technical analysis!
You will here about these ones, that is why we will cover them. It is good that you know a little about history aswell. Some of most used and also we can say respected indicators from the old-school guys are still being used in trading. Bollinger Bands was invented by John Bollinger in 80s, we also had Stocchastic indicator which was created in 50s by futures traders and George Lane. The times when people were outisde having a good time, Geral Appel has made MACD. Relative strenght index should also be mentioned who was created by mr. Wilder. So, if you want to more about technical analysis, you definitely should check all that were mentioned here in details. There are also others as you will see and does not man they are any worse then these here.
There are always some new indicators coming out on the market but mostly they are just using old ones with midifications. There are amongst them also some really good ones such as Fibonacci that automaticly draws levels on the chart. Since there is so many indicators, trader must know his strategy bcause based on that he can choose the indicators that will be most helpful for him. You can use an indicator for whatever you wish, for exampl when to exit from trade.
MORE INFO ON INDICATORS
Check on these websites for more technical analysis indicators and their description:
So if you read this article from top to bottom you have realized there is alot of indicators and therefore you can not use all of them at once otherwise it would be a mess when you would look at charts. That is why you need to establish what you want to see from teh chart based on your strategy. You have to find righ combination to determine yourself a success. It will definitely be hard work but it will pay-off at the end if you focus and not give up.
You were already probably searching around the internet for binary options strategies and you asked yourself, is this legit so is it good strategy or is it a scam and they just want to sell me something. There is so much different strategies listed all over the web you can not know waht is right and what wron and i can understand you that is why we are going to try to give you some insight information on how the proper strategy should look like so next time you will judge better.
WHAT YOU WILL LEARN HERE:
- What is binary options strategy?
- How a good strategy should look?
- How bad strategies look?
- Where to find good strategies?
WHAT IS A STRATEGY?
If you see someone who is trading gold and is placing a call option on it and says that is his strategy, well that definitely is not it. Strategy is all that behind, before you press that call button and put a trade on. Basicly you have to know why you did a call on gold right now. If you do not know then that is not a strategy and it is called gambling.
HOW GOOD STRATEGY LOOK?
A good strategy is considered something that gives you a reason to do some trade, which means it already has some conditions that need to be predetermined and fullfilled, only and after that i enter the trade. This are the characteristics of a good strategy explanation:
PICTURE. A picture of a graph with signals on it from the specified strategy simply because picture is worth 1000 words and it is easier to remember.
RULES OF ENTRY. Why you put a trade on, basicly specify all the reasons that needed to be fullfilled to enter the trade. There needs to be determined when you click a call option and why that and on other side, when to click put option.
RULES OF EXIT. When to get out of the trade in the specificed strategy. What to do if the trade will go against me. If you are reading a good strategy, this is a must specified factor. You always have to think about this before entering the trade becuase you have to anticipate the worst that can happen.
MANAGING MONEY. How much of your portfolio should be invested or how many trades can i open. Definitely do not use 50% of your account on single trade because that means you will lose your money fast. Keep yourself some room for mistakes.
HOW BAD STRATEGIES LOOK LIKE?
If you go on google or youtube and search for binary options strategy you will find alot of things that can be dangerous for you and can potentially wash your brains. These are some common things that such sites claim or look:
- Website that is long and has lots of text which looks like it will never end and tells you how much money by trading you can make really fast
- Videos of how someone has made thousands of dollars over night or few minutes
- Usually these claims are made by some never heard super trader who is successful. Could be some pictures with cars, yachts, etc.
- Sayings that you do not need any or very little knowledge for such gains
- Testimonials!!! Do not buy this things, these things are all premade or bought from a website called fiverr
To make this short. There is no shortcuts, you have to learn this in life. Think of it, if this would be true, why would he sell this super formula to you when he could be making money on its own.
WHERE TO FIND GOOD STRATEGY?
As you know already, you can find alot of them by searching online and some are good and some are bad and also there are some that are really bad. I can not give you straight answer here and direct you towards websites and strategies to find it simply because even if it is a good strategy it also depends what suits you as a trader. I would say to check here on the website for strategies and in the community.
You need to have some good strategy and focus at the end to be a good trader and especially a serious one. As we said, important to that is also your mind, because it plays a big role in this business. Go do your research and try different strategies and use the one you feel most comfortable with just do not trust someone that is selling you dreams.
You have gained some knowledge about binary options and you are doing it well over month now and you feel excited and motivated enough to go to next step and choose the broker you will deposit moeny with. You have checked on several review websites to make sure you will will not doa bad decision when it comes to choosing of a broker. So you are asking yourself probably what are some of most important things to look at the broker to choose it based on that.
WHAT YOU WILL LEARN HERE?
- What is important to look for when choosing binary options broker?
This is something i would look at my choosen brokers since this will ensure me that money is at safe place, secured by some thir-party. This will assure me that my brokers has rules and risk of scam is almost gone. Ask broker where they are regulated and check with proper authority yourself it this is true.
How you will get in touch with them if they are not available online for discussion. A good broker has responsive sales and support team which is available for you at any time. So defnitely choose some brokers who can give you live support chat service and that they can answer your questions in proper way and not hide things from you or bend the rules.
The broker you want to use must be easy to navigate through the platform and also user friendly because you have more fun when it comes to trading. You need to move quick when the trading comes along. Also check broker who has available mobile application for you since it could save you if you are not infront of computer or you have a day job but you still can monitor what is happening on the market.
SIZE OF PAYOUTS
The percentage payout per trade is something that varies from broker to broker and you have to check you will choose the one who has normal percentage rates not that they offer you 50% payout. So if you find a broker who has conditions that are in your favor then you should go with this opportunity.
PROCESS OF WITHDRAWAL
Make sure you read their terms and ask a representative what conditions apply ti withdrawing your profits. You should know the process and also how long does it take them. This should be clear from both parts and if it takes them longer then 2 weeks, you should start being concerned because this is the average time it takes the brokers to process such requests.
You also need to check one of the most important things that is usually forgotten. You have to know if they have the assets you want to trade avaliable for you. If they do not have them, how will you trade then.
As you see it is not that easy as 1-2-3 to find your perfect broker or two but with some research done from your side and our side, you can find some that will do great job for you. You have to have perfect infrastructure so you will not be bothered when it comes to those trading hours you put in.
I would advise to check our recommended and trusted brokers you can start with, here.