Price Action Binary Options Strategy For MT4
Table Of Contents:
- Price Action Binary Options Strategy For MT4
- Call option setup
- Put option setup
- Determining the expiry period
Please note: This strategy was publicly published in the trading community and is free to use. We do NOT make an attempt to decide if this strategy is profitable or not, because we know that the major factors regarding trading results are the skills/experience of the trader who executes the strategy. Therefore, we are mainly explaining the components and rules of the strategy. If applicable, we are highlighting advantages, disadvantages and possible improvements of the strategy.
The Price Action Binary Options Strategy For MT4 depends on trendcombo and EMA indicator. Those who are using the EMA for the first time might not have a clear idea about the dynamic nature of the bands.
The EMA bands provide critical support and resistance level to the trading instrument. In this template, you will get two-layered EMA with the form factor or period 3. It will form a dynamic band in which we will be taking the trades. But the best thing about this price action binary system is the trend combo indicator.
It will create a clear sell and buy text market by analyzing the price movement. But for the execution, we will considering the bars. Once the bar is taken into consideration, we must focus on the key factors of the market so that we can take the trades without zero hassle. Let’s learn the key steps to use this trading method.
Call option setup
Anticipating the price will go higher tells us to take long in the trading instrument. Being a naïve trader, it will be tough to pin out the perfect buying spot. But we do have the two-layered EMA bands. The slope of this two-layered EMA bad will have a positive degree stating the trend is up.
Upon the rejection of the support level or the yellow EMA, we will take a look at the trend combo signal. The text mark must say buy or else we will ignore the setup. After getting the green signal from the trend combo, we have to do one finical check of the bars.
Wait for the sapphire bars to form on the positive side of the indicators and you are good to take the call option. Once you have taken the trade, you have to look at the market dynamics analyze the risk profile. If the volatility is low and the price shows stability, you can take a 2% risk. Or else, you have to limit the risk to 1%.
Put option setup
For the put option with the Price Action Binary Options Strategy For MT4, we will get a downward slope in the tow layered moving average. The bearish rejection of the moving average will take place. The trend combo indicator must state the sellers active. Unless you have active sell text in the trend combo indicator, you should not think to short the asset.
If you get this text mark to wait for the red bars to form on the negative side of the reference line. Sell the asset when you see the red mark. Since the trades are taken based on the expiry period, you need to find the correlation between the analytical chart and the expiry period. Let’s get into the details.
Determining the expiry period
As a currency trader, you must determine the expiry period of the trade with a high level of precision. If the trades are taken with a low expiry period, you must choose a stable asset. If the expiry period is high, it will be safe to trade in the volatile asset.
While taking trades in the cross pairs and commodity market, it is important to rely on the PA bars. Just having fair knowledge of the bearish and bullish pin bar is enough to reinforce your trading idea. Things might seem challenging but you do have the practice platform to test the template.
After taking a few trades in the practice environment, you will be surprised to see its accuracy. The high accuracy often forces the rookies to ignore the expiry period in real-life trading. To avoid such conflict, stop taking the trades if the expiry period is less than 30 minutes. The best way to earn money is to rely on the trades that have an expiry of 240 minutes.
Download the complete system description and the files here:
Partially Automated Trading Besides Your Day Job
Alerts In Real-Time When Divergences Occur
