A Simple 15 Minute Binary Option Candlestick Trading Strategy
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If you want to trade forex binary options you will definitely need to use candlestick charts. As a first step you need to choose a chart platform, and then you will have to select a broker which provides binary options trading. In order to explain the charts platform I am using Freestockcharts.
Especially when it comes to Forex, they offer a huge list of currency pairs and full library of indicators. It is a good idea to start the set up using timeframes according to your trading strategy.
Binary traders usually prefer short terms so I would recommend using 1 minute, 5, 10, Hourly and Daily charts. Of course it is always an advantage to zoom out and get an idea about the bigger picture of the market. For example if I am trading standard 15 minutes expiries I will use 1 or 5 minute timeframes so that I follow the price performance for a longer period in candles before the option expiry time.
You can easily zoom in or out by simply scrolling with the mouse when you are on the chart. The available types of charts are: I prefer candlestick with color based on Open vs Close, down bars filled in red.
This chart provider offers very useful tools that can be implemented in your trading strategy such as Fibonacci retracement, Error Channel, Regression Channel and many more.
I would recommend the usage of the Fibonacci tool when the Forex pair is trending. For an uptrend you need to locate a Swing Low on the chart and drag with the mouse to the most recent Swing high. Do the opposite for a downtrend. Levels can be customized on your desire. Use the Pitchfork to define continuous points of support and resistance levels.
You need to find a recent binary options trading and heikin-ashi strategy A on the chart where the median line will start, and then locate the next highest point B.
The lowest retracement from B is C. It is recommended to set up this tool when the Forex market is trending so that you can trade channels. This indicator could be your best friend in identifying a trend. ADX is binary options trading and heikin-ashi strategy one-directional as it can confirm both up and down trends. When ADX rises in value that means the trend is strong and binary options trading and heikin-ashi strategy can continue buying call options for an uptrend and put options for binary options trading and heikin-ashi strategy downtrend.
MACD will help you to indicate a new trend whether it is up or downwards. I am using a histogram for this indicator as it plots the difference between the fast and slow moving average. A big histogram indicates strong trend. MACD parameters 12 previous bars — fast moving average 26 previous bars — slow moving average 9 previous bars — difference between the two moving averages. Most of the binary brokers do not offer candlestick charts binary options trading and heikin-ashi strategy you will need to find a chart platform that best fits your trading strategies.
Understanding the binary options trading and heikin-ashi strategy will definitely increase your profits when you trade FX binary options. Skip to main content. Candlestick charts for Forex binaries You are here Home.
Learn to set up your chart. Chart Timeframes It is a good idea to start the set up using timeframes according to your trading strategy. Helpful tools This chart provider offers very useful tools that can be implemented in your trading strategy such as Fibonacci retracement, Error Channel, Regression Channel and many more. Fibonacci Retracement I would recommend the usage of the Fibonacci tool when the Forex pair is trending. Important indicators The average directional index ADX This indicator could be your best friend in identifying a trend.