Saturday, August 25, 2018

The Tricks for Learning the Binary Option Trading Strategy Definitely Profit for Beginners

Binary trading is one of the most popular online businesses today, this is because to do binary trading we only analyze an asset market movement whether to rise or fall within a certain time.
If the move will go up, select Call / up, and vice versa if the down move select Putt / descend

Besides its ease in binary trading or trading profits derived from one trading can reach up to 90% of investment capital.
Usually at the IQ Option broker the fastest contract time is under 1 minute and we can set it ourselves for example, if you want to trade a contract 3 minutes, 5 minutes, 15 minutes, or 1 day it can be done.

This means that in 1 minute you can make money if you trade in 1 minute expiry time and profit. This business should not be considered a quick get rich scheme or an instant way to get rich, but this business is very possible you can get rich quick if you profit or profit often.

To get a continuous profit or the term profit is consistent, you must know the correct trading strategy. Correct here means a way of trading that is always profit, or a little loss.
Here I will explain in full the binary trading strategy so that it always generates profits and minimizes losses.

In the world of trading you are required to master or have 3 things, namely:

1..Mind (80%)
2. Method (20%)
3 .Money

The mind here means emotion, it's hard indeed to do trading without emotion but we have to try to control it. Our teaching is emotional when experiencing Loss and also feeling happy when Profit.

Success or failure of a trader is 80% depending on his mastery of emotions and 20% is his trading method. When loss is not excessive emotion which results in loss of concentration and focus, on the contrary when we experience many profits control also our appetite so as not greedy.

My experience of controlling emotions when trading was difficult, when I started trading a real account that used real money, my greedy appetite was so great after I got enough profit and so one time loss, I blindly made trades which finally in just 10 minutes profit obtained for 2 hours immediately exhausted.

The advice I can give is
  • Don't target too much profit from the amount of capital invested every day. For example, if the capital is $ 100, the target is around 10% -20% only. That means if the profit is 10% -20%, stop trading first and continue trading the next day
  • If you lost 3 times in a row or suffered a 10% loss, you should stop trading first, calm your mind to focus, then trade the next day
Remember mastery of the mind (emotions) affects the success of the method (trading method) and money (money management).

The importance of managing finance, any business if you do not have a good money management will surely be destroyed or bankrupt.

Likewise in the trading business, I get this mone management from the Facebook group IQ option from Mr. Wyie.

There are 3 types of strategies for managing finances, choosing according to your trading style.

1.FIX Money Strategy, (Low Risk, Low Gain = Small Risk, Small Profit)

Investing capital with the same value for each option.
FIX Money is suitable for beginner traders with minimal capital.
The rules:
  • 1. Determine the value of the investment, about 5% or 10% of the total capital
  • 2. The value of invest is always the same for every Open Position
  • 3. Stop trading if lost 3 times in a row.
2.Martingale Money Strategy. (High Risk, High Gain = Risk Gede, Untung Gede)

Investing capital with a small initial option value then marks a minimum of 2.5x the option value if the option is lose. Option Double Value continues until it gets WIN.
The rules:
  • 1. Determine the Initial OP value. Starting from 1% or 5% or 10% of capital.
  • 2. Martingale Money Strategy is suitable for beginner traders with large capital
  • 3. Duplicate An option value of at least 2.5x from the First Option Option that loses, if Win returns to the initial value.
  • 4. Take the next Option (OP)
  • 5. Stop if you lose 3x in a row.
  • 3. Gold Money Strategy. (Low Risk, Medium Gain, High Profit)
3. Gold Money Strategy. (Low Risk, Medium Gain, High Profit)

Invest 50% of the profits earned.
The rules:

  • 1. Determine the Initial OP value starting from 10% of capital
  • 2. Each option is 50% of the profit obtained previously
  • 3. When experiencing loss, the options taken are the same as the previous option.
  • 4. Stop when you have a loss. Especially until 2x in a row
Despite the importance of only 20%, trading success is influenced by trading techniques used by traders.

I will provide a secret trading method that has been proven to be able to make profit if used properly. There are many trading method strategies to analyze whether the trend will rise or fall. That is, starting from indicators, candlestick parameters, support and resistance.

The purpose of the trading method is to find out what trends will occur in the asset market.
There are only 3 trends:
  • Trend Up
  • Trend Down
  • Trend Sideways (conditions that are not good for trading / trading)

We don't need to master all the trading methods that I mentioned earlier, but study them all, then practice and use the strategies that you think are the most suitable for your trading style.

There are many indicators in trading, namely:

1. Indicator of Bollinger Bands

is the best trend indicator, they show dynamic diapasan for price movements. With the help of many traders find the relative location for the price in the selected time period and also determine possible market entry points with corrective wave formation levels at the price bounce of the indicator line.

Indicators that represent the strength of the trend. Consists of 3 lines (Upper line (red), Middle Line (white), Down line (Green))
Signal Entry:

  • Call / RIDE, When Candlestick Red / Black touches Down line (underline)
  • Put / DOWN, When Candlestick is Green / White touches the Upperline (top line)

2. Moving Average Indicator

is a group of technical analysis indicators that are used to detect current trends. Coving average has several choices, namely:
  • Simple Moving Average (SMA)
  • Weighted Moving Average (WMA)
  • Exponential Moving Average (EMA)
  • Smoothed Simple Moving Average (SSMA)

Moving Average is often used together or combined with other indicators for example with Bollinger bands, Alligator, MACD and Awesome Oscilator indicators.

3. Alligator indicator

is an indicator that understands the direction of market movements and filters the period when there is no trend (side by side) in order to show the trend signals that have appeared.
This is important to show this indicator can be used for almost any period of time and can be said to be a universal indicator. It is called an alligator because it works like a crocodile / alligator.

The Alligator indicator consists of 3 lines, namely the Jaw line, Teeth and Lips. Its use is very easy and can also be combined with other indicators.

The way it works is when the three lines are close together or close together it means the alligator is asleep and do not take any options in this situation.
When the lip and jaw line starts to go far, it means that there will be a price movement signal,
Signal Entry:
  • Call / Up, if the LIP line is above the other lines
  • Put / Down, If the LIP line is below the other lines

4. Parabolic SAR Indicator

Parabolic SAR works based on the price chart and is reflected in the form of a small dot. The goal is almost the same as the sliding average, but parabolic SAR moves with great acceleration and can change its location to the price.

The workings of the Parabolic SAR indicator are:
  • CALL / RISE if the parabolic SAR point appears below the candle
  • PUT / DOWN if the parabolic SAR point appears above the candle

5. Fractal indicator

resistance indicator (reversal), in the form of up arrow (green) and down arrow (red) with a 5.Signal Entry period:

  • Call / Up, if a red arrow appears below the candle.
  • Put / Down, if a green arrow appears above the candle

6. Awesome Oscillator Indicator, period (34.5)

Trend designation indicator with green bar chart form (price rises) and red (price decreases).

If the movement of the trunk is below the period line and forms a bowl, indicating the trend is going down, if the movement of the rod above the reverse bowl-shaped period indicates a rising trend.
Signal Entry:
  • Call / rise, when the green stem moves from the period line and will form a reverse bowl. Or the Green Stems grow longer and higher.
  • Put / Down, If the red stem moves from the period line and will form a bowl or the red stem grows longer and further down

7. RSI Indicator (Relative Strength Index)

Used to understand the strength of the trends that occur and the turning point of this trend that is possible. RSI compares the absolute size for the growth of asset prices in a certain period of time with the rate of fall in the same time. The calculation results are shown in the form of curves with diapasone numbers 0-100%.

RSI consists of 3 lines, namely
  1. Upper Line (OVERBUY) with 70%
  2. Underline (OVERSELL) by 30%
  3. Middle Line (RSI) which moves according to asset development

How to read this indicator is to select the entry signal:
  • CALL / RISE, if the RSI line has entered the bottom area, then it rises through the oversell line

  • PUT / DOWN, if the RSI line has entered the upper area, then it moves down through the overbuy line

8. Stochostic Oscilator indicator

Shows the current price of the extremes for the selected time period and is in the form of percent numbers from 0 to 100. The stochostic concept is to help with signals about "oversold and overbought" understanding the moment when the playback movement starts.

How to read this indicator is very easy, as shown in the picture above, signal entry:
CALL, if the Period K line is above the Period D line
PUT, if the Period K line is below the Period D line


Candlestick is a technical analysis method originating from Japan. People who develop candlesticks like the one we are currently using are Munehisa Homma, a successful trader of his time and had recorded 100 win streaks in trading.

To analyze the movement of an asset other than using the indicators above, we can also make a candlestick pattern as an indicator. Each candlestick indicates the state of a trade that is happening.

By studying the pattern of candlestick patterns that appear we can analyze whether the market movement of an asset will rise or DOWN.

Keep in mind that candlesticks that move up or down are distinguished by color, namely:
  • Candlesticks that move up / up trend are often called Bullish which is often depicted with a White / Green candlestick
  • Candlesticks that move down / down trend are often called Bearish which is often depicted with a Black / Red color candlestick

Candlesticks are divided into 7 forms, namely:

1. Candlestick Marubozu

Marubozu is a candlestick that has no shadow, if there is a very short one, at a glance like nothing. Marubozu there are two bullish marubozu and bearish marubozu.
Marubozu indicates that there is a strong trend in a certain period of time.
  • If bullish marubozu appears, it means the uptrend is strong
  • if a bearish marubozu appears it means the downtrend is strong

2. Candlestick Long Body and Small Body

The long body candlestick is called the length seen from the body. This is because candlesticks emphasize the relationship between open and close.

Candle is called long, there is no definite size, but it depends on the previous candles, which is usually between 5 to 10 previous candles.

Long body candle indicates: the momentum of the buyer (bullish candlestick) or seller (bearish candlestick).
A long candlestick that has no shadow or has a small shadow is called Marubozu. No or small shadow shows one of the parties is very dominant in the session.

The meaning of Long Candlestick depends on where the appearance is. Long Candlestick which appears in the direction of the trend (bullish candlestick on the uptrend and bearish candlestick in the downtrend) confirms the continuation of the trend.

But the Long Candlestick that appears in the opposite direction with the trend (bullish candlestick on the downtrend and bearish candlestick on the uptrend) gives a signal that the reversal
might happen.

The small body candle indicates the small momentum of the strength of the buyer (bullish) or from the seller (bearish).

3.Short Candlestick

how to trade binary for profit
Short candlesticks occur when the open and close are located almost the same so that the candle has a short body and also has a short shadow or no shadow at all.

Candle is called short depending on the previous candles, which is usually between 5 to 10 previous candles.
A short candlestick that does not have an upper shadow is called Shaven Head.
Short candlesticks that do not have a lower shadow are called Shaven Bottom.
Short Candlesticks that have upper and lower shadow are called Spinning Top.
 Short candlesticks indicate the agreement between the buyer and seller that the current price makes sense, especially when the market is sideways / consolidated.

Short candlesticks that appear when the market conditions are in trend, especially with a larger volume than before and occur after the emergence of Long Candlestick, can be a sign that the trend can end due to a fierce fight between buyers and sellers so that open and close is not too far away.

When in a trend, the color of the Short Candlestick is insignificant. Short Candlesticks that appear once are not too significant.

However, short candlesticks that appear repeatedly in a trendy market indicate a decline in momentum which can make a reversal or the market moves sideways.
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4. Candlestick Spinning Tops

Spinning Tops Candlesticks are candles that have a long shadow above and below. The length of each shadow is longer than the length of the body of the candle.

This candlestick shows that either the buyer or seller does not have enough power to move the market outside the opening and closing price.

When a candle like this appears in a market that is a trend often gives a sign that the trend will end.

5. Candlestick Doji

Doji shows market participants' confusion towards which price will move so that the price finally closes the same as the opening price.

Shadow on the doji also shows the effort of one party (buyers in upper shadow and seller in lower shadow) to move the market but ultimately fail. Failure of one party (buyer or seller) or both affect our analysis of the trend.

When a doji appears in a downtrend and has a lower shadow that shows the seller long
trying to make prices fall even further but fail so that the possibility of a downtrend will end.

Likewise when the doji with a long upper shadow appears when the uptrend shows the buyer
trying to bring prices up but eventually fail so that the possibility of an uptrend will end.

6. Candlestick Hammer and Hanging man

The Hammer and Hanging man / Long Lower Shadow are candles that only have a long shadow below. The lower shadow length is at least twice the body length of the candle.

When the Hanging man candlestick shows the seller is trying to bring prices down further but failed.
When Hanging Man appears during a downtrend, it can signal that the trend is likely to end because of weakening momentum.

When this Hammer candlestick appears in the uptrend, it can confirm that the uptrend will continue because it shows that the buyer is still strong.

7. Candlestick Inverted Hammer and Shooting star

Inverted Hammer and Shooting star are candles that only have a long shadow
above. The length of the upper shadow is at least twice the length of the body of the candle

The Inverted Hammer candlestick shows buyers are trying to bring prices up higher but fail. If it appears during an uptrend, it can signal that the trend is likely to end because of weakening momentum.

When the Candlestick Shooting star appears in the downtrend, it can confirm the downtrend will continue because it shows the seller is still strong.

Of all the forms of candlestick form above if it appears with a combination of other candles we can analyze the movement of an asset, thus helping us to take CALL or PUT positions.

Candlestick Patern or combination of candles to easily analyze the reversal / reversal direction I discuss in the next article Read Here Trading Strategies Using Patern Candlestick

In learning to trade using candlestick charts it is expected to know the candlestick patterns that occur for example,

  • When there will be a price reversal marked by the emergence of a Reversal pattern
  • When going sideways will be marked by the emergence of a consolidation pattern
  • When the consolidation period ends, it is marked by the emergence of the Post consolidation pattern
  • When the trend direction continues, it is marked by the emergence of the Continuation pattern


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