Thursday , 17 August 2017
Home » Advanced Academy » 60 seconds trading style
60 seconds trading style

60 seconds trading style

Make a profit from binary options in 60 seconds.

This article is about a specific trading style, associated with the 60 seconds trading. As you all know most of the brokers out there are offering Speed trading – options that expire in 60, 90 or 120 seconds. Different platforms require different trading techniques.

Advantages of 60 seconds trading:

  • quick profit
  • more trading opportunities
  • more volatility when the market is slow
  • more solid Price Action setups, at least for me

Disadvantages of 60 seconds trading:

  • you should be faster than the regular trades
  • many times you can miss an entry
  • you can become greedy and loose everything
  • many say that is gambling (I don’t believe it, if you have a plan and a basic money management)

The Key:

Now, let’s go to the techical analysis. The truth is that the most solid and the “holly grail” that many people are looking for (but they never understand it) is a Price Action.

It doesn’t mean candlesticks patterns, but how the price acts in some specific levels. These levels might be:

  • Support/Resistance
  • Daily Pivots as S/R
  • Fibos and extensions as S/R
  • Harmonic Patterns
  • Head & Shoulders
  • Double Top/Bottom Patterns
  • change of polarity(a support becomes a resistance and the opposite).

This is what its called “PURE PRICE ACTION” and it’s something that provides you with an opportunity to trade with or against the trend and stay profitable.

Indicators:

You will probably be disappointed, but there isn’t any straightforward answer, which is the best indicator. However, if you know the indicator’s basics and when to use them, it will guarantee you an accurate assessment, therefore better chances for profit. The most important indicators you could use are:

Indicators for identifying the trend – EMA’s
Indicators for overbought/oversold of the asset – CCI, RSI
Confirmation of support/resistance indicators – Daily Pivots and Daily Fibos

All of them are simple indicators to confirm the price action and you can find them for free in your trading platform.

Let’s look at some real example:

Look at the beginning of the rectangle. The price after a big movement upwards hit the whole number 1.51100 (the cyan line) and then make a big movement down. The whole number is now our resistance as the price goes back and forth near the whole number. When the price touches the  resistance I took the trade (the put arrow). It was ITM. The doji star here is our confirmation. You can easily see from the EMA’s (8 EMA is above 4 EMA) that we are in a down trend. So, in this case we are trading with the trend.

In the second screenshot we have the same situation but now we are taking a call the second time that price test th whole number 1.27864 which is our support. In this case you can see that our 8 period RSI is below 30 level. This means that the asset is oversold this moment and this is our confirmation. We should wait for a small pull pack and it comes The next candle is green.ITM. Notice that we are in a down trend.

Leave a Reply

Your email address will not be published. Required fields are marked *

*