Learn to trade EURGBP in binary options trading

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7 Binary Options

One of the most important things to keep in mind while trading the EURGBP in binary options is that it is a cross. Its movements are determined by the economy of the Uk and that of the Eurozone. Therefore, traders should carefully watch what happens in this two areas economically.

Trading A Currency Pair – EURGBP

By the fact that the fact that EURGBP is affected by the European and England’s economies, it means that there is a very important role played by the Central Banks of these two places; the ECB, which is the European Central Bank, and the BOE, which is the Bank of England. Traders should, therefore, be aware of the main events concerning monetary policies both in England and Eurozone.

The ECB for instance, holds meetings every month, on the first Thursday of every month except January due to holidays. Each of these meetings is followed by a press conference 45 minutes later, where the president of the ECB reads the statement of the Governing Council and also takes several questions from the representatives of the press.

The Euro Pound drastically moves as a result of the press conference than due to the actual interest rate decision of the ECB.

Then, on the same day that ECB is releasing its interest rate decision, BOE is setting the monetary policy 45 minutes prior to the ECB’s interest rate decision release. The BOE has no press conference after the release of the decision; not unless the interest rate has been changed.

Important Economic Releases To Watch In Europe

Economic news from Europe greatly affects the movement of the EURBGP currency pair. Traders should keep a keen eye on these news releases especially those which have a larger impact like the CPI, Consumer Price Index.

European CPI represents the inflation in the Eurozone and the European Central Bank depends on this inflation when setting the monetary policy.

The other important European news releases are the PMI, Purchasing Manager Index. The PMI indicates whether a sector is expanding or contracting. This, in turn, gives a clue as to whether the CBE will interpret the information as bullish or bearish.

The other news releases that traders should look at is the GDP, Gross Domestic Product, and the unemployment rate.

Unlike the effects of most Central Banks on currency pairs with a currency associated with the specific bank, the EURGBP doesn’t experience much movement when the ECB is having its monthly meetings. This is mainly due to the fact that the ECB meetings are followed by press conferences during which the market prices of the EURGBP, fluctuate drastically. Sometimes it is even impossible to trade during this time since the market becomes too volatile and the liquidity at times gets too low.

In the long run, the economic releases during the month help traders in making a wise guess as to what the ECB will do when they meet. For example, if the inflation drops below what the ECB had targeted during their last meeting, then it is only obvious for traders to expect interest rates to be cut, which will affect the Euro and the EURGBP currency pair as a whole.

Important Economic Releases To Watch In UK

The UK economy is one of the most important ones in the world of financial markets. United Kingdom’s currency, the Great Britain Pound, commonly referred to as the GBP is usually affected by some economic news releases in the UK.

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The UK does not use the Euro Pound as its domestic currency. It uses the GBP which is controlled by the Bank of England, which is the Central Bank of the UK. The BOE (Bank of England) mainly has one mandate of keeping the inflation level at about 2%. To address this matter, the BOE has a Monetary Policy Committee (MPC) which holds a meeting once in every month in order to assess the country’s economy.

Contrary to the ECB meetings, the MPC meetings are never followed by any press conferences, not unless the interest rates are being changed.

Among the economic news releases which greatly affect the GBP and as a result the EURGBP, is the Gross Domestic Product (GDP). And when it comes to this, traders should be keen in noting the preliminary release since it rarely contradicts the final release.

In addition to the GDP, there are other economic releases such as the Retail Sales and the Purchasing Manager Index (PMI), which indicates the level of inflation. In actual sense, the Bank of England (BOE) is mostly concerned with the inflation. That is why the financial markets move very aggressively during the release of the Inflation Letter.

The PMI is usually split into two: the construction sector and the manufacturing sector.

What To Expect From Economic Releases

During the economic releases, one should expect very sharp movements of the EURGBP as well as to all other Euro currency pairs. Especially when using larger timeframes, one can easily notice the correlation between EURGBP and EURUSD. In most cases, these two currency pairs move together.

This shows that if a trader looks at the EURUSD and notices a rise in the market prices, then there is a similar rise in the EURGBP currency pair. The same is the case if there is a fall of the market prices of the EURUSD.

MetaTrader 5

What is Forex trading

The foreign exchange market (Forex) is the world’s most liquid and most traded market, where trades worth trillions are completed each day.

Forex trading involves buying one currency and selling another currency at the same time. This is why you always see them quoted in pairs. For example: EUR/USD and GBP/USD.

Which currencies can I trade

Forex trading involves buying or selling these “currency pairs”. When you buy a currency pair such as EUR/USD, it means that you are buying the EURO and selling the USD at the same time.

Currency pairs are categorised as follows:

  • Major pairs – Consist of the world’s most widely traded currency pairs
  • Minor pairs – Consist of less liquid currency pairs
  • Exotic pairs – Consist of one non-USD major currency that’s paired with the currency of an emerging economy. For example: GBP/HKD

The spread – why it matters

When you see currency pairs offered by a broker or trading service, there are usually two prices available: the ask price and the bid price. These are also known as the buy price and the sell price respectively.

The spread is the difference between the ask and bid price.

Based on the table below, can you tell what is the spread for the EUR/USD currency pair?

Symbol Bid Ask
EUR/USD 1.05652 1.05653
GBP/USD 1.24509 1.24515
USD/CHF 1.01010 1.01015
USD/JPY 113.248 113.251
USD/CAD 1.31441 1.31444
AUD/USD 0.76876 0.76879
AUD/NZD 1.06683 1.06691
AUD/CAD 1.01043 1.01050
AUD/CHF 0.77652 0.77658

Let’s calculate the spread for EUR/USD:

Ask price – Bid price = Spread

1.05653 – 1.05652 = 0.00001

What time is the market open for me to trade

The Forex is an over-the-counter market where trading takes place between two parties, and not with a centralised exchange or marketplace.

Depending on your broker or trading platform, you can start trading from the time the Sydney market opens on Monday morning to the time the New York market closes on Friday evening – up to 24 hours a day, five days a week.

Binary.com clients can trade Forex from Sunday 21:00 GMT to Friday 21:00 GMT.

How to trade Forex

A Forex trader always has one objective in mind when trading: to exchange one currency for another in order to make a profit.

This is why we’ve come up with the following three-step tutorial to help you bridge that gap and make your first trade:

Step 1: Learn to read currency pairs

One of the first things most Forex traders learn is how to read a currency pair. There are two parts to a currency pair

EUR / USD

Tips

  • The base currency is always equal to one unit.
  • The ask price of the currency pair indicates how much of the quote currency is required to buy one unit of base currency. This is more commonly known as the exchange rate.

For example, if you see that the EUR/USD has an ask price of 1.05382, you’ll sell USD 1.05382 (quote currency) for every EUR 1 (base currency) you buy.

If the bid price is 1.05229, you’ll buy USD 1.05229 for every EUR 1 you sell.

Step 2: Understand when to buy and when to sell

Think that a certain currency will go up or down? Learn when you should buy (or “go long”) and when to sell (or “go short”).

Traders choose to buy a certain currency pair if they think the value of the base currency will rise. The opposite is also true: they sell a certain currency pair if they think the value of the base currency will fall.

Let’s compare the differences between buying and selling, using the EUR/USD as an example:

  • You’re buying the EUR and selling the USD
  • You expect the EUR to rise in value so you can sell it back for a profit
  • Buy = go long
  • You’re selling the EUR and buying the USD
  • You expect the EUR to fall in value so you can buy it back at a lower price (and make a profit)
  • Sell = go short

Step 3: How to purchase your first currency pair

After you’ve decided which position you want to take, your next step is to purchase that currency pair on MetaTrader 5.

Here’s an example of the EUR/USD currency pair and its bid-ask price:

To go long, you’ll want to click on ‘Buy’ to purchase EUR 1 for USD 1.17726

To go short, you’ll click on ‘Sell’ to sell EUR 1 and receive USD 1.17725 in return.

Forex margin policy

Margin allows you to trade on leverage – meaning your existing capital can give you a much higher level of market exposure.

For example, if you wanted to purchase 100 units of a particular asset that’s trading at USD 50 per unit through a traditional broker, it would typically cost you USD 5,000 for this transaction.

However, with leverage you can purchase those 100 units at a fraction of the typical cost – depending on the leverage afforded to you by your broker or trading platform.

How to calculate margin

You can determine the margin for our currency pairs by using the formula below:

For example, if you buy one lot of the EUR/USD pair with a contract size of 100,000 and leverage of 100:1, the margin that you need to purchase one lot of EUR/USD will be calculated as follows:

What’s a margin call and how is it applied

Equity is the sum of your balance and floating profit and loss (PnL). Margin level is the ratio of equity to margin. When that ratio reaches a specified percentage (usually 100%), your account will be placed under margin call. This does not affect your ability to open new positions; it serves to alert you that your floating PnL is moving lower. However, it is recommended to add funds to your account in order to keep your positions open. Alternatively, you may close losing positions.

What’s a stop out level and how is it applied

If your margin level reaches an even lower level (usually 50%), it will reach the stop out level where it is unable to sustain an open position. This will lead to some, or all your open positions being forcibly closed (also known as “forced liquidation”).

When your account hits the forced liquidation level, your orders and positions are forcibly closed in the following sequence:

  1. We delete an order with the largest margin reserved
  2. If your margin level is still under the stop out level, your next order will be deleted. However, orders without margin requirements will not be deleted
  3. If your margin level is still under the stop out level, we will close an open position with the largest loss
  4. We will continue to close open positions until your margin level becomes higher than the stop out level

Forex contract specifications

Major pairs

Symbol Description Lot size Minimum volume Volume step
AUD/CAD Australian Dollar vs Canadian Dollar 100,000 0.01 0.01
AUD/CHF Australian Dollar vs Swiss Franc 100,000 0.01 0.01
AUD/JPY Australian Dollar vs Japanese Yen 100,000 0.01 0.01
AUD/NZD Australian Dollar vs New Zealand Dollar 100,000 0.01 0.01
AUD/USD Australian Dollar vs US Dollar 100,000 0.01 0.01
EUR/AUD Euro vs Australian Dollar 100,000 0.01 0.01
EUR/CAD Euro vs Canadian Dollar 100,000 0.01 0.01
EUR/CHF Euro vs Swiss Franc 100,000 0.01 0.01
EUR/GBP Euro vs Great Britain Pound 100,000 0.01 0.01
EUR/JPY Euro vs Japanese Yen 100,000 0.01 0.01
EUR/NZD Euro vs New Zealand Dollar 100,000 0.01 0.01
EUR/USD Euro vs US Dollar 100,000 0.01 0.01
GBP/CHF Great Britain Pound vs Swiss Franc 100,000 0.01 0.01
GBP/JPY Great Britain Pound vs Japanese Yen 100,000 0.01 0.01
GBP/USD Great Britain Pound vs US Dollar 100,000 0.01 0.01
NZD/USD New Zealand Dollar vs US Dollar 100,000 0.01 0.01
USD/CAD US Dollar vs Canadian Dollar 100,000 0.01 0.01
USD/CHF US Dollar vs Swiss Franc 100,000 0.01 0.01
USD/JPY US Dollar vs Japanese Yen 100,000 0.01 0.01

Minor pairs

Symbol Description Lot size Minimum volume Volume step
CAD/CHF Canadian Dollar vs Swiss Franc 100,000 0.01 0.01
CAD/JPY Canadian Dollar vs Japanese Yen 100,000 0.01 0.01
EUR/NOK Euro vs Norwegian Krone 100,000 0.01 0.01
EUR/PLN Euro vs Polish Zloty 100,000 0.01 0.01
EUR/SEK Euro vs Swedish Krona 100,000 0.01 0.01
GBP/AUD Great Britain Pound vs Australian Dollar 100,000 0.01 0.01
GBP/CAD Great Britain Pound vs Canadian Dollar 100,000 0.01 0.01
GBP/NOK Great Britain Pound vs Norwegian Krone 100,000 0.01 0.01
GBP/NZD Great Britain Pound vs New Zealand Dollar 100,000 0.01 0.01
GBP/SEK Great Britain Pound vs Swedish Krona 100,000 0.01 0.01
NZD/CAD New Zealand Dollar vs Canadian Dollar 100,000 0.01 0.01
NZD/JPY New Zealand Dollar vs Japanese Yen 100,000 0.01 0.01
USD/CNH US Dollar vs Chinese Renminbi 100,000 0.01 0.01
USD/MXN US Dollar vs Mexican Peso 100,000 0.01 0.01
USD/NOK US Dollar vs Norwegian Krone 100,000 0.01 0.01
USD/PLN US Dollar vs Polish Zloty 100,000 0.01 0.01
USD/SEK US Dollar vs Swedish Krona 100,000 0.01 0.01
USD/ZAR US Dollar vs South African Rand 100,000 0.01 0.01

Exotic pairs

Symbol Description Lot size Minimum volume Volume step
AUD/SGD Australian Dollar vs Singapore Dollar 100,000 0.01 0.01
CHF/JPY Swiss Franc vs Japanese Yen 100,000 0.01 0.01
EUR/HKD Euro vs Hong Kong Dollar 100,000 0.01 0.01
EUR/ILS Euro vs Israeli New Shekel 100,000 0.01 0.01
EUR/MXN Euro vs Mexican Peso 100,000 0.01 0.01
EUR/SGD Euro vs Singapore Dollar 100,000 0.01 0.01
EUR/TRY Euro vs Turkish Lira 100,000 0.01 0.01
EUR/ZAR Euro vs South African Rand 100,000 0.01 0.01
GBP/SGD Great Britain Pound vs Singapore Dollar 100,000 0.01 0.01
GBP/TRY Great Britain Pound vs Turkish Lira 100,000 0.01 0.01
HKD/JPY Hong Kong Dollar vs Japanese Yen 100,000 0.01 0.01
NZD/CHF New Zealand Dollar vs Swiss Franc 100,000 0.01 0.01
NZD/SGD New Zealand Dollar vs Singapore Dollar 100,000 0.01 0.01
SGD/JPY Singapore Dollar vs Japanese Yen 100,000 0.01 0.01
USD/HKD US Dollar vs Hong Kong Dollar 100,000 0.01 0.01
USD/ILS US Dollar vs Israeli New Shekel 100,000 0.01 0.01
USD/RUB US Dollar vs Russian Ruble 100,000 0.01 0.01
USD/SGD US Dollar vs Singapore Dollar 100,000 0.01 0.01
USD/THB US Dollar vs Thai Baht 100,000 0.01 0.01
USD/TRY US Dollar vs Turkish Lira 100,000 0.01 0.01

How to read the contract specifications table

The Forex is typically traded in lots. One standard lot is equivalent to 100,000 units. Each time you open a position on a currency symbol, you can start with a minimum transaction of 0.01 lots.

For information about Forex leverage refer to our Margin Policy.

Important notes on our swap rates (overnight funding)

If you keep any positions open overnight, an interest adjustment will be made to your trading account as indication of the cost required to keep your position open.

This interest adjustment (or swap rate) is based on interbank lending rates, on top of a 2% fee.

The interest adjustment is calculated in ‘points’ – meaning we will convert the relevant interbank lending rates to ‘points’ in the base currency.

Please take note that our swap rate also depends on the time and days you hold your positions open:

  • You will be subjected to swap rates if you keep a position open past 23:59:59 GMT.
  • Positions that are still open on Wednesday at 23:59:59 GMT will be charged three times the swap rate to account for weekends – a standard practice for all Forex brokers.
  • Our swap rate may also be adjusted to take holidays into account.

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Outside the EU, financial products are offered by Binary (SVG) LLC, Hinds Building, Kingstown, St. Vincent and the Grenadines; Binary (V) Ltd, Govant Building, Port Vila, PO Box 1276, Vanuatu, regulated by the Vanuatu Financial Services Commission (view licence); Binary (BVI) Ltd, Kingston Chambers, P.O. Box 173, Road Town, Tortola, British Virgin Islands, regulated by the British Virgin Islands Financial Services Commission (licence no. SIBA/L/18/1114); and Binary (FX) Ltd., Lot No. F16, First Floor, Paragon Labuan, Jalan Tun Mustapha, 87000 Labuan, Malaysia, regulated by the Labuan Financial Services Authority to carry on a money-broking business (licence no. MB/18/0024).

This website’s services are not made available in certain countries such as the USA, Canada, Hong Kong, Japan, or to persons under age 18.

The products offered via this website include binary options, contracts for difference (“CFDs”) and other complex derivatives. Trading binary options may not be suitable for everyone. Trading CFDs carries a high level of risk since leverage can work both to your advantage and disadvantage. As a result, the products offered on this website may not be suitable for all investors because of the risk of losing all of your invested capital. You should never invest money that you cannot afford to lose, and never trade with borrowed money. Before trading in the complex products offered, please be sure to understand the risks involved and learn about Responsible Trading.

In the EU, financial products are offered by Binary Investments (Europe) Ltd., W Business Centre, Level 3, Triq Dun Karm, Birkirkara, BKR 9033, Malta, licensed and regulated as a Category 3 Investment Services provider by the Malta Financial Services Authority (licence no. IS/70156).

In the Isle of Man and the UK, Synthetic Indices are offered by Binary (IOM) Ltd., First Floor, Millennium House, Victoria Road, Douglas, IM2 4RW, Isle of Man, British Isles; licensed and regulated respectively by (1) the Gambling Supervision Commission in the Isle of Man (current licence issued on 31 August 2020) and by (2) the Gambling Commission in the UK (licence reference no: 39172).

In the rest of the EU, Synthetic Indices are offered by Binary (Europe) Ltd., W Business Centre, Level 3, Triq Dun Karm, Birkirkara, BKR 9033, Malta; licensed and regulated by (1) the Malta Gaming Authority in Malta (licence no. MGA/B2C/102/2000 issued on 01 August 2020), for UK clients by (2) the UK Gambling Commission (licence reference no: 39495), and for Irish clients by (3) the Revenue Commissioners in Ireland (Remote Bookmaker’s Licence no. 1010285 issued on 1 July 2020). View complete Regulatory Information.

Binary.com is an award-winning online trading provider that helps its clients to trade on financial markets through binary options and CFDs. Trading binary options and CFDs on Synthetic Indices is classified as a gambling activity. Remember that gambling can be addictive – please play responsibly. Learn more about Responsible Trading. Some products are not available in all countries. This website’s services are not made available in certain countries such as the USA, Canada, Hong Kong, or to persons under age 18.

Trading binary options may not be suitable for everyone, so please ensure that you fully understand the risks involved. Your losses can exceed your initial deposit and you do not own or have any interest in the underlying asset.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.6% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Binary Options Trading Strategy – Best 60-Seconds Strategies

Today we are going to share our binary options trading strategy with you. This strategy is designed to help you identify whether you’ll like trading binaries and teach you how to trade binary options the right way. If you prefer to play it safe over gambling, you’ll need a strategy or tactic to help you master binary options and other trading activities. This is where our TSG team comes to the rescue. We will provide you with the best binary options strategy.

The main reason we’re interested in learning about trade binary options is the fact that binaries simplify what we’re already doing in Forex. At the same time, binary options also allow us to make more money in the process. We are also controlling the risk.

Binary options are easy to understand. This is coming from someone who has little or no experience in the area. If your favorite approach to trading forex is to jump in on a fast price movement and ride the intraday trend for as long as the momentum lasts, you can learn how to make money trading binary options very quickly.

When we first discovered binaries, the light bulb in our heads turned on. We figured out the same thing that we’ve been doing in Forex can be done. But walk away with 75%, even 95% winning trades because we only needed to get the direction right. No need to worry about how many pips we could grasp in the process.

And that, my friends, is the real beauty of binary options.

What are Binary Options?

Binary options are a form of derivatives that have a fixed profit or loss. Trading binary options is simple. All you need to do is ask yourself a simple yes or no question. Will the price of the underlying asset be worth more than the strike price at the expiration date?

Now, let’s start by understanding how binary options work.

Essentially, we can trade binary options for any type of instrument. Whether it be commodities (Gold, Oil or Silver), Forex exchange currencies (EUR/USD, GBP/USD or USD/JPY), or stocks (Amazon, Tesla or Twitter).

So, the first thing you need to decide upon is to select the asset to trade.

Second, before submitting our trades, each of these instruments has a current value at any given point in time. How to trade binary options depends on our trading skills. It is used to predict where the current value will be some time in the future. In other words, we must use our skills to predict the market direction. This will determine our success in trading binary options.

The market can only go up or down. If we believe the current value will go up in the near future, then we buy a Call option. On the other hand, if we believe the current value will go down in the near future, we buy a Put option. Read more about call options vs put options.

Third, we need to determine what the most critical aspect of trading binary options is. The expiration time will ultimately determine if you’re making a profit or not.

Trading binary options require you to correctly forecast two things:

  1. Whether the market will rise or fall.
  2. Your forecast needs to be accurate during a certain time frame – called the expiration time.

If you’re right on the market direction by the time of the expiration time, you earn a profit. Being wrong means you incur a loss. The way binary options works is that if you’re right on the market direction, you’ll get a percentage of what you initially invested in.

Typically between 75% and 95% and in some cases, even 100% of your initial investment, depending on your Binary Options Broker.

Supposing we’re wrong on the trade, then we’re going to lose the whole amount invested in the short term.

We have made a nice infographic that highlights the four steps on how to master binary options trading.

Now we’re going to focus on step two, which is how to predict the price movement. If you manage to figure this out, then knowing how to make money trading binary options will be a piece of cake for you.

Now, before we’ll outline a method on how to make money trading binary options, we always recommend taking a piece of paper and a pen and take notes on the rules of the best binary options strategy.

In this demonstration, we’re going to look at the buying Calls.

The Best Binary Options Strategy

Our team at Trading Strategy Guides is ready to share with our beloved trading community our 60-second binary options strategy. We don’t just hope this strategy will make you money, we’re certain it will. The mathematical model behind this binary options trading strategy has a proven market edge.

The only tool you need to trade binary options successfully is the RSI indicator.

Even the RSI indicator is not good enough if it doesn’t have the “right” settings. The RSI default settings need a little bit of adjustment if you want to master the 1 minute time frame. We use a 3-period RSI to trade binary options profitably.

Naturally, a lower RSI period means that the indicator will tend to be noisier than normal. But it is more responsive to the immediate price action. Along with the RSI settings adjustments, we also played around with the overbought and oversold readings. We found out that by using an 80 RSI reading for overbought and 20 RSI reading for oversold condition, we get more accurate day trading signals.

*Note: Make sure you adjust the RSI settings before you jump into the binary options trading strategy.

By changing the RSI overbought and oversold line, we have eliminated the noise. So now we’re ready to highlight our binary options step-by-step guide:

Step #1: Find an instrument that is showing a low the last 50 candlesticks. Use the 60-second chart (1 Minute TF)

The 1-minute binary options or the 60-seconds time frame is the best chart for trading binary options. In other words, the best binary options expiration time is the 60 seconds time frame.

We recommend highlighting the starting point on your charts. And the ending point of your 50-candle low that you have identified. Simply draw two vertical lines on your chart through the starting point and ending point of your 50 candle low.

When you count the 50 candle low, you should always start from the current candle. Then go from the right side of your chart to the left side of your chart. If you manage to count 50 candle low, obviously the starting candle point will be your 50 candle low.

Moving forward, it’s time to put the RSI indicator in use and spot if we have extreme oversold reading or not.

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. An RSI reading below 20 shows that the market is in oversold territory and it can potentially reverse.

In our example below, the 1-minute EUR/USD chart is satisfying the two conditions.

Keep in mind that in order to move to the next step, we need the 50 candle low. We also need an RSI reading below 20 to happen at the same time.

We added one more factor of confluence that needs to be satisfied. If used in conjunction with the previous two conditions, it will make you a money maker binary options trader.

Step #3: Look for a bullish divergence to develop between the RSI indicator and the price.

When trading reversals, you need to be as precise as possible. The more confluence factors you have in your favor the more accurate the reversal signal is.

What we need to see here is for the price to continue moving lower after the 50 candle low was identified. At the same time, we need the RSI indicator to move higher in the opposite direction.

If the price moves in one direction and the momentum indicator moves in the opposite direction, it means they are diverging from each other. This signals a potential reversal signal.

Now it’s time to highlight how to find the right entry point for the binary options trading strategy.

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. The first candlestick formation that breaks above this high is your trade entry signal to buy a 60-second Call option.

It’s that simple!

After you decide the amount to invest and pick the 60-seconds as your expiration time, it’s time to sit back and wait 1 minute before hopefully collecting your profits.

Step #5: You collect your profits if the next candle closes higher than your trigger candle

If at the expiration time, the price is higher than the price you opened your Call binary options, you’re lucky because you’re about to check-in a big payout.

For example, if you’ve invested $1,000 and your binary options broker offers you an 85% payout, it means that you accurately predicted the outcome of a trade. You get back your initial investment of $1,000 plus the 85% payout which in our case is $850 in profits.

If you want to buy Put binary options, use the same binary options guide, but in reverse.

Conclusion – Binary Options Trading Strategy

Before learning how to make money trading binary options you need a great Binary Options broker. You can’t start hitting home runs right out the gate without making sure you have a binary options broker who wants you to succeed. Secondly, you need a strategy based trading technique to reveal the market direction. You only need to forecast if the price will be up or down during the next 60 seconds, making it very convenient.

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. We’re ready to help you with every step of the way.

Thank you for reading!

Also, please give this strategy a 5 star if you enjoyed it!

Don’t forget to read our guide on regular options trading for beginners here.

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Best Binary Options Brokers 2020:
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