It is a fact that a brokerage account is essential for starting any investment or trading. You can open such an account only with a broker. So, selecting the most knowledgeable and reliable broker is as vital as selecting the right commodity to invest. This vital task is not completely different from choosing a commodity or stock, as it needs muchmeticulous contemplation.
Perhaps, this is because not all brokers are suitable for all investors. Each investor has its own unique priorities based on which she or he selects an online or a brick-and-mortar broker. A few investors do not mind paying higher commissions, while others have a priority of lower overall cost. Here are some factors to consider and weigh as per your priorities for selecting the best broker.
Your Trading Style -> Full-Service or Discount Broker
Before you look for any brokers or online reviews, find out your trading style or how will you trade. You might choose the buy-and-hold strategy or move-with-the-market strategy to trade more frequently. Regardless of the chosen approach, do a thorough research on it, evaluate the current market state, and then pick a broker that can offer all services and tools for your strategy.
Here, you get two choices: Discount and full-service brokers. While discount is tempting, it is not always a great deal. It is more reliable to choose a full-service broker. Such brokers provide more services and have enough knowledge to guide the beginners.
They do much groundwork, offer timely advice, and give personalized recommendations. Thus, you can easily gain confidence for trading and knowledge of different markets.
However, a full-service broker charges handsomely. So, if paying brokerage fees is an issue, you can go for a discount broker.
Recognition/Endorsement -> The Key to Trustworthiness
It is essential to choose a licensed broker with good experience and loyal customer record. Having such a broker increases your probability of making profits. Well, licensing and loyal records only follow a certified/recognized broker.
Such brokers are usually the members of renowned institutions or agencies such as the Securities Investor Protection Corporation (SIPC) and Financial Industry Regulatory Authority (FINRA).
Pricing -> Quality Functioning
Selecting a broker just because its commission is the lowest one, is unwise. Remember, you get only what you pay for. This is how price indicates quality. If you choose an online service, an ad fine print states the services for which the advertised rate is applicable. So, do read it! Mostly, fees are high for limit orders and options.
Availability for Service -> The Key to Reliability
Ideally, a broker should be available to help whenever you need it. You can check out the work timings for that purpose. In case of an online broker, try visiting the site at different times, particularly during the peak hours of trading and see how fast is the loading speed. Further, test some links to ensure that there are no navigating issues. As a tip, check out this aspect in the specific reviews, such as trade.com review.
You can even call a company and ask for help to see how promptly it gives the response. At least, you will know the waiting time.
Extras -> Diversified Portfolio at Economic Rates
Choose a broker that offers extra freebies or goodies as well as different products such as bonds, options, gold, futures, and financial services. He will be an economical choice for you.
Every trader desires to earn more money so that he/she can have that ultimate vacation or buy that dream gadget or other stuff. Nonetheless, before success knocks on your door, you have sweat hard. With this, you need a good strategy to navigate your way through the trading arena. Once strategy that you can most likely use is Reversal Channel Binary Option.
HOW DO YOU USE THE STRATEGY?
The strategy’s name speaks for itself. You can use the strategy based on your personal trading decisions. Its strength evolved around the thought of knowing reversals wherein channels are formed on its charts. This method only needs two easy Metatrader indicators known as the CMA indicator and the TMA or Price border indicator.
You can use the price border indicator to know potential reversal places, as well as channels. This indicator’s lower bands are green which means bullish and higher bands are indicated in red which means bearish. CMA indicators run through charts either reflecting red or green. It actually acts like chameleons having 2 colors that depend on market situations. Both indicators need to agree so that you can open trades. For you to buy a Call, you have to confirm if prices has crossed over the Price Border indicator’s green bands and when CMA indicator has changed green. After so, you can then put calls at the next bar’s open. Conversely, in buying a Put, you have to make a confirmation that prices have crossed the price border indicator’s red band and that the CMA indicator has turned red. After this, you then place Put at the next bar’s open.
The good news is that you can simply download the strategy’s archive with all its indicators necessary for the strategy. You can paste all .ex4 indicators in your trading platform’s program files which are in the indicator’s folder and then apply them to the chart and then they will appear. These indicators are specially created for Metatrader trading platform. Moreover, you need to paste the template file to your templates folder then re-open the trading platform. After this click on the chart and then select template and then finally click on reversal channel binary options strategy.
WHY IS IT BAD?
The fact that it shows false reversals make this strategy suck. Yes, indicators typically show fakes signals but this signal actually repaints which means that the indicators recalculate’s its past price’s behavior. Moreover, if you already have a trading knowledge., you can observe higher time frames in order to know existing trades including resistance and support levels. This actually helps limit repainting.
WHY IS IT GOOD?
It does not suck primarily because it is a combination of everything that you might like in an ideal trading system. It is also quite east to use, well presented and allows traders to properly interpret signals. Its best feature is that it provides the probability of promising profits with a hundred twenty minute expiry. Moreover, it can be installed easily on Metatrader platform.
Overall, this strategy has a useful system especially when you can solve its repainting issue. Sadly, you cannot back test it even by scrolling back your charts. It may seem promising but when you test it out in live market, it can be very different. In its present form, not all traders can use it because it comes with advanced techniques that have to be used to lessen repainting indicator impacts. The best thing to do here is to try it out first and then find out if you are happy with it.
If you love writing on your diary then you will surely enjoy trading. You will also get then chance to keep a diary when you trade. Yes, it may sound boring or corny but with a trading journal, you can be one step higher on your trading goals. You may think that there is nothing worth writing about it, but it is actually a very useful process. Why should you write and what should you write about in your trading journal? Here are some reasons why and how you should start writing a trading diary now.
Keeping track of Wins and Losses – Say for example you have lost a trade, and you become so angry and miserable. You will most likely behave in a very common manner. You will probably jump from trade to another so that you can immediately makeup for your losses. And then you will blame your losses on being unlucky or bad luck and then get’s very pissed and so something strange. Another example would be the opposite – winning. You have delightfully succeeded, and you behave in a typical manner. You believe that you are invincible, and you think that you had the best strategy, and you feel buying everyone a drink. You might also feel that you will trade more. These are really awful examples, but this will actually happen to you and if you are smart enough to notice – none of these behaviors are admirable in the trading world. Why is this so?.Simply because there are lessons that you have to learn in every trade you have.
It is hard to achieve a useful experience when keep ignoring results and if you do not assess and analyze these results. This is when the need for keeping a diary comes in the picture. One of the best ways to organize and enhance your memory is by keeping a diary or journal. When you come across similar trade opportunities, you can act in a methodical and concise manner. You can do away with similar mistakes, and you can remember the right decisions that you have made in the past. Thus, your anger and celebration can hold because you need to jot down your trades while you still have a fresh memory. By using a journal, you can identify your strengths and weaknesses.
Keeping a trading diary is pretty easy. It’s just like keeping a diary when you were a kid. You need to have a safe place for your diary. No, it’s not on a notebook were you need a pen and paper. Times have changed and letting anyone know about what you went through with your trades is ideal. It is best to have a public journal so that you can share your ideas with others, and you can have their ideas as well. There are many online trading forums that you can go to such as Communitraders. Here, you can easily have your own thread. You can make use of this thread as your own trading journal.
Trading implies that you have deal with charts, it is also ideal that you put pictures on your journal. With detailed pictures, you don’t have to write more and explain more. Chart screenshots are highly recommendable.
Moreover, if you choose to write a journal the traditional way, you can always keep a notebook where you can put your notes and experiences. It’s always nice to read and re-read your notes before going to bed. You can make your journal as your trading novel.And here you are. They Why and the How in writing a diary for your trading experiences. The more organized and detailed your diary is, the more convenient it is for you to follow and learn from.
A lot of people love looking at horoscopes. They base their daily action, achievements, and even characteristics on zodiac signs. Even traders can make used of these symbols to make their trading experience more fun and meaningful. Yes, it seems foolish to do so and the entire belief may seem like a scam but relying on these symbols can be part of a trading strategy or it can be your guide.
What is a zodiac? It literally means “animals” and what it typically represents. These are groups of animals that are drawn using starts at night. Every symbol is known to have a unique characteristic to those who are born under it. When the Earth revolves to its annual cycle, it also rotates through a zodiac belt thereby gains influences on every turn. You may not want to use it on your personal analysis, but it can be fun looking it from a trader’s point of view. Each sign has its very own characteristic like female, male, positive, negative, and passive, active.
This zodiac is symbolized with a Ram, which is dedicated to strength. It is the calendar year’s first sign. Aries are “I am” thinkers and are most likely born and made leaders. They can easily get angry since they are hot headed and can be impulsive but are typically right in their assumptions. With natural leadership skills, Aries are great candidates for becoming CEO’s, presidents and other top corporate positions. They are typically patient when getting things done before entering on trading rampages. If you are an Aries, you have to put in mind that other traders might be looking up to you when it comes to leadership.
It is symbolized by the Bull. With the name itself, traders who fall under this February are bullish even in bearish markets. Bulls can get the greatest bull trades there is. Taurus always have an idea “I possess” in their minds. This means that bulls show that they fully take care of their own possessions. Bullish traders love joining trading communities and are most likely attracted to social trading forums. They are actually dependable and strong. When a decision has been made, it is immediately carried out. Bulls are really smart when it comes to managing their cash and adhering to a trading system. If you are a Taurus, you need to keep your eye on money management rules and your personal trading system. Only trade with good signal and wait for your profits to roll.
This is symbolized by twins. When you fall under this zodiac sign then you are most likely a great binary options trader. Geminis are very introspective and is ruled on the idea of “I think.” Geminis are also very keen observers and are quite intuitive when it comes to trading. As a Gemini, you can be in harmony with the tide of the market flow. Nonetheless, Geminis may seem to be without any direction and can be lost in the trading world because they admire variety.
Traders who belong to this zodiac sign are great nurturers. Cancers typically put in mind the idea of “I nurture.” They spend most of their trading time allowing their trades to improve. If you are a cancer then you have the patience to wait for strong signal. Cancers are great traders because they are very instinctive, and their instincts are hardly wrong. However, they sometimes find it hard to understand the meaning of their intuition. Cancers are also over reactive which leads to losses. If you are a crab remind yourself that you should not react on all pieces of the news.
Leos are aggressive and fierce traders with specific purposes. Leos love winning and want to announce their victory to the world. They have the idea of “I shine” on their minds, and this is their drive towards success. Lions rarely rely on other people. If you are a Leo then you will most likely be found following signal providers or making use of an auto-bot. Lions are more or less the same to Rams, but the former can control his emotions. It is a fact that many of the most successful traders are Leos. If you are a Leo, see to it that you do not lose focus on your purpose and goals. Always keep your eye on your purpose.
In the world of trading, Virgos are innocent. Virgos are very at ease and successful trading commodities such as oil, copper, and god. When left alone, Virgos can be very successful traders but they can be tempted easily by advertisement that lures towards higher returns. Virgos have an overreaction to news, and they are also perfectionists. Virgos easily become frustrated especially when they love to perfect their trades. If you are under this zodiac sign, you have to strive hard to reach your goals.
Be careful if you will start to relly on this. This is more just for eductional purpose so you can see what is possible. I would still recommend that you go through our free school to get proper base of knowledge and be comfortable noeugh with trading binary options.
Another popular Binary Options trading strategy is the Mother Candle Strategy. It is a classic technique for trading, but it just has a brand new name. This strategy is popularly used by Forex traders but it can also be used by binary traders. What is it and how does it work?
The Mother Candle Strategy comes with an attack pattern as what candle chartists say because it has a twist in its inside bar. A simple candlestick analysis is what is relied upon by the strategy. It attempts to capture price breaks led by longer candle movements. It is proposed for multiple time frame usage but it is recommendable for intra-day short term trading.
Price action is the entire basis of this binary options strategy. It makes use of candlestick analysis for signaling and predicting trending asset entries. This is typically made for ten to sixty minute charts but it can be used for any time frame even though even though a ten minute and sixty minute is not recommendable. This is because of a higher market noise level as well as higher false signal chances. The entire system depends on a price/candle pattern that is popular on another name. The pattern comes to like when the prices trend and create a longer candle and then creates another small candle with a body that is inside of the other candle. This first candle created is known as the “mother” while the other one is called the “child.” Other chartists have other names for this based on the smaller candle’s in the shape, size, location, harami and attack pattern. The signal is provided during the mother candle’s body’s 1st close. With this, trades have to be taken to the close’s direction. On the first close out of the mother candles’ body, the signal is then given, and this is when trades have to be taken in the close’s direction. To filter false signals and probable bad trades, a twenty bar moving average as well as support and resistance is recommendable.
WHY IS THIS STRATEGY BAD?
Novice traders can’t exactly appreciate this strategy. It sucks mainly because it is an advance signal that may take years for you to master. When you take a signal off from its candlestick pattern, this signal can have a higher chance of failing especially when other factors are not considered. Resistance and support, market sentiment, and trend can greatly impact on the strategy. The strategy’s authors indicate that you have to use moving averages and resistance and support in order for bad trades to be filtered. The sad part is that the authors did not emphasize about how to use these moving averages. It is a sound strategy and one that can be quite difficult to analyze.
WHY IS THIS STRATEGY GOOD?
It does not completely suck because it is widely used, and many traders consider it useful. Chartists of Old School HLC price calls this pattern as inside bar. Candlestick enthusiasts call it Harami. This signal often leads price reversal and may happen at the primary movement’s bottom or top of a secondary correction of short, long, or near term of importance. This means that it can happen at any probable reversal point. This is why it is very powerful. You can identify a probably harami and a reversal can just be at the corner.
Yes, it is an ideal strategy but it comes with a downside. Novice traders need not use it. There is basically nothing new about it and traders have long been trading using this technique. It has a very basic price action signal or candle stick. If you want to implement this, it can take years for you to perfect. You will have to use trend lines and resistance and support or Fibonacci. You may also have to use moving averages. This signal can be ideally used but it works best when you add an analysis tool to your current strategy.
When you trade binary options, a full understanding on specific days is essential. Yes, you might think that all the days are the same, but there are days that are not so good and not so bad. Anyone who has a life knows that this is true. In binary options, what is considered as a great trading day is when you get that signal. It does not matter what your trading style is because there is not a day that is precise for trading unless you have a great strategy that can generate signals every single day. However, these may be plausible assumptions, but there is that day when traders can best enter the market.
You might have learned over time that one day is as different as another and one trader is also as different as the other. Now, when we talks about commodities market, forex, bonds, and equity stocks, Mondays can be the best day to trade because this is the entry and exit day of retail traders as a whole. These traders go home during Fridays and do their routines including monitoring trading accounts and deciding which stocks they have to sell because of misses in earnings. Thereby, Monday can be considered a volatile trading day, and it can be a day that can be against long term trends. Moreover, Monday is a good day for binary options trading just when the market opens its doors.
OTHER DAYS FOR TRADING
Tuesday – Just like Monday this can also be an equally volatile day for trading. This is the day when last minute orders are files. This means that many carryovers are done on Tuesday. Additionally, when there was a severe trading on Monday, then there can be a snap on this day. Most of the time, Tuesday is a great day for binary trading unless there are some unfortunate economic events. Such events can be reasons for you not to trade and move away from the market.
Wednesday – This is typically “the calm day.” There is already a mellowing down of market shaking from Monday and/or Tuesday. At this point, trading is at calm pace. This is a good day for binary traders to go into long term positions. Just like other days, Wednesday is also affected by events and news. However, what is unique about it is that most big announcements that can ignite huge asset price movements such as housing data and ADP growth are done on this day.
Thursday – This can be your favorite trading day. If you are an eager trader or you are trying to confine movements ignited by economic dealings, then you have a huge chance to enter the market. This is actually the day when big-time money managers as well as investors buy and sell. If you want to enter trades which follow on long term trends with short term expiries, then this is the day for you.
Friday – yes, Friday is also another great day to trade as this day is the perfect indicator for long or short term trends. This is obviously the end of the trading week which means that if you need some catching up to do with your trades then now is the time. Fund managers, professional traders, and some investors don’t actually trade a lot on Fridays because they have already observed another trader’s activities and have already heard the news. Therefore, when you decide to trade on Friday, make sure you know what has happened from Monday to Thursday because they can greatly affect your risky Friday trades. Economic events that move the market are often the vehicles of trades on Fridays.
It seems like all days are ideal days for trading. SO when exactly is the best day to trade? As mentioned before, the best day to trade is when there is a great signal. This means that you will not have a good trading day if you do not have a good binary options trading strategy with you. You also need to learn how to keep up with charts and always be patient. When you wait for the right signal then you can trade with success.