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1 Traderush Rating: 5Rating: 5Rating: 5Rating: 5Rating: 5 $ 200,00 Read Review Visit Site
2 StockPair Rating: 5Rating: 5Rating: 5Rating: 5Rating: 5 $ 200,00 Read Review Visit Site
3 24Option Rating: 5Rating: 5Rating: 5Rating: 5Rating: 5 $ 250,00 Read Review Visit Site
4 OptionBit Rating: 4Rating: 4Rating: 4Rating: 4 $ 100,00 Read Review Visit Site
5 OptionFair Rating: 4Rating: 4Rating: 4Rating: 4 $ 250,00 Read Review Visit Site
6 AnyOption Rating: 4Rating: 4Rating: 4Rating: 4 $ 200,00 Read Review Visit Site
7 Banc De Binary Rating: 4Rating: 4Rating: 4Rating: 4 $ 250,00 Read Review Visit Site
8 CitiTrader Rating: 4Rating: 4Rating: 4Rating: 4 $ 300,00 Read Review Visit Site
9 ZoneOptions Rating: 4Rating: 4Rating: 4Rating: 4 $ 250,00 Read Review Visit Site
10 GlobalTrader365 Rating: 4Rating: 4Rating: 4Rating: 4 $ 200,00 Read Review Visit Site
11 Goptions Rating: 4Rating: 4Rating: 4Rating: 4 $ 200,00 Read Review Visit Site
12 EZTrader Rating: 4Rating: 4Rating: 4Rating: 4 $ 200,00 Read Review Visit Site
13 GTOptions Rating: 3.5Rating: 3.5Rating: 3.5 $ 200,00 Read Review Visit Site
14 EZBinary Rating: 4Rating: 4Rating: 4Rating: 4 $ 250,00 Read Review Visit Site

Traderush
Rating: 5Rating: 5Rating: 5Rating: 5Rating: 5
Traderush

TradeRush was found in 2011 but it already looks like a mature Binary Options broker. Traderush has their headquarters in Cyprus, I don’t think there’s a big problem since I’ve always been using broker from Cyprus, so far they’ve treated me nicely. SpotOption is their chosen platform with at least 85 different assets and a […]

Min Deposit:
$ 200,00
StockPair
Rating: 5Rating: 5Rating: 5Rating: 5Rating: 5
StockPair

Talking about stockpair.com, we could consider it as the king of stock pairs trading in binary options. Besides regular assets like Forex Pairs, Commodities and Indexes, StockPair also includes the trading of relative strength between 2 stocks. Stockpair is very similar to Forex that we look at the relative strength of two assets and measure […]

Min Deposit:
$ 200,00

24Option

Rating: 5Rating: 5Rating: 5Rating: 5Rating: 5

24Option is one of the first Binary Options Brokers to arrive in 2010. 24Option is regulated and uses TechFinancials Trading Platform, which is considered one of the best trading platform available to date. 24Option has superior payout which’s up to 95%, this’s significantly higher than other Binary Options Brokers which offers payout varying between 71% […]

Min Deposit:
$ 250,00
Read Review Visit Site
 

OptionBit

Rating: 4Rating: 4Rating: 4Rating: 4

OptionBit came into light as a Binary Options broker in 2010 in Cyprus. They are not regulated but they have CySEC to keep an eye on them. OptionBit use Tradeologic platform, which I don’t think is the most regular Binary Option platform but an easy-enough-to-use one. Their payout is somewhat the same as an average […]

Min Deposit:
$ 100,00
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Latest Posts
Cowabunga Strategy for Binary Options
July 28, 2014 7:50 am|Comments (0)

The website Babypips.com offers traders a tip to make big money that consists of three simple steps, which is made into an easy to remember slogan “Make Pips. Keep Pips. Repeat.” In fact, it may not be as simple as it sounds.

Fortunately, a kind user from Babypips with the nickname FX-Men decided to share with the world a good trading strategy for traders to apply into practice. In this article we are going to discuss the use of this strategy in binary options trading.

How to use the Cowabunga System

This strategy makes use of trend following and multiple time frame systems, both of which are my favourites, and both of which are capable of generating high winning probability. Nevertheless, always keep in mind that it cannot make you rich overnight. How does it work? The system will try to recognize the main trend from the help of a four hour chart, and then trade accordingly on the 15 minute time frame.

In order to make out the main trend, we will need the help of a four hour chart and the following additions to the chart:

  • 5 period EMA
  • 10 period EMA
  • Stochastic with settings 10, 3, 3 (simple)
  • RSI set to 9 

You will have the result as below once the EMA 5 is above EMA 10, the Stochastic is heading upward, and the RSI is above 50. If these conditions are met, according to the strategy, the trend would be upward.

Now that we have made out the main trend, the next step is moving to a lower time frame and look for a good entry. In this case, where the trend is UP on the four hour time frame, we should only look for long trades on the lower time frame. And in order to do that, we will need the help of a 15 minute chart that is set up using almost the same indicators, with the addition of MACD.

  • 5 period EMA
  • 10 period EMA
  • Stochastic with settings 10, 3, 3 (simple)
  • RSI set to 9
  • MACD with settings 12, 26, 9 (use a MACD that shows the histogram)

Looking at a 15 minute chart like the one below, we will search for a good long signal in the same manner we did for identifying the main trend: EMA 5 must be above EMA 10, the Stochastic must be moving up (but does not enter the Overbought territory), and the RSI must be above the 50 level. Another condition in this case is the MACD histogram: it must either go from negative to positive or increase in value while in the negative territory. An example of a good 15 minute long entry should look like below:

Cowabunga Strategy for Binary Options

To make things easy to remember, below is a summary of both Long and Short entries:

Long entry:

Four hour chart:

  1. EMA 5 must cross above EMA 10
  2. Stochastic must be moving UP
  3. RSI must be above 50

15 minute chart:

  1. EMA 5 must cross above EMA 10
  2. Stochastic must be moving UP but not in overbought territory
  3. RSI must be above 50
  4. The MACD histogram must go from negative to positive or it must be in negative territory and increasing in value

Short entry:

Four hour chart:

  1. EMA 5 must cross below EMA 10
  2. Stochastic must be moving DOWN
  3. RSI must be below 50

15 minute chart:

  1. EMA 5 must cross below EMA 10
  2. Stochastic must be moving DOWN but not in oversold territory
  3. RSI must be below 50
  4. The MACD histogram must go from positive to negative or it must be in positive territory and decreasing in value

Adapting the Cowabunga Strategy for Binaries

This section is basically a project in progress, so I would highly appreciate any contribution from you guys in this Forum in our quest to find the optimal way to use Cowabunga Strategy for binary options. The basics are easy to understand: we will buy a Call if we get a Long signal, and a Put if what we get is a Short one. However, the author of this strategy does not mention anything about the best expiry time.

Moreover, if we are allowed by the broker to Close Early or extend the expiry time, should we take the offer? If “Yes”, then when should we do that? From my experience, most trades take some times before moving in the desired direction, so if we use the 15 minute chart for entries, I suggest that you opt for the hourly expiry time. But what if the trade only moves in the desired direction for another 15 minutes and the move back to the opposite direction, making your option expire OTM? There are so many questions unanswered, so if you think that this is a good strategy, help me improve it for binary options trading.

Bad sides of the Cowabunga Strategy

The Cowabunga strategy would confuse a new trader with its multiple time frame condition and all the indicators, so I would not suggest this strategy for an inexperienced trader as his sole weapon. The major drawback of this strategy is that it is too complex for beginners. Nevertheless, experienced trader may find it an attracting choice.

All in all, each trader should find out the one trading style that makes him or her feel comfortable and works great at the same time. Therefore, this strategy will not necessarily work the same for everyone.

Why Cowabunga is good?

Your trade would be more likely to end ITM if you choose to go in the direction of the main trend instead of ignoring the trend completely. Sometimes, it may be harder to identify the trend on lower time frames such as 1, 5 and 15 minutes compared with a four hour or daily chart because of the presence of the “noise.” This system makes use of the higher time frame to make sure that our trades would go in the direction of the main trend. I think this is also the greatest point of this strategy.

Conclusion

Despite not being the ‘Holy Grail’, the perfect trading strategy, it is still a good strategy and, more importantly, a safe one. This does not mean there will be absolutely no trade out of the money, but if you apply all the rules correctly and meet all the conditions, it will generate big profits.

Moreover, I trust a strategy from Babypips because they are famous for offering quality stuff, and because that is also where I acquired most of my knowledge on forex trading before. This strategy work well with RedWood Options.

CoGStochastic and FX Trend Binary Options strategy
July 25, 2014 7:44 am|Comments (0)

I found this strategy on a website where the original author says that this is a binary options strategy. However, in the article he keeps mentioning Stop Loss and Take Profit levels, which are terms in Forex trading, so I have reasons to believe that this is a strategy that can be used for both Forex and binary options trading.

I haven’t had time to see whether this strategy is easy or complicated to use, but judging on the fact that it only uses 2 indicators, I guess it won’t be so hard.

How to use the CoGStochastic and FX Trend Strategy

This strategy makes use of two indicators, both of which are available at the bottom of this article as well as on our Forum. The first indicator is the CoGStochastic.

Although the author does not explain to us what it is exactly, I can tell you something about this indicator. CoG stands for “Center of Gravity”. It is a popular custom indicator that measures how far the price deviates from the mean. Because of the “rubber band” effect, price always returns to the mean. As a result, when the price deviated too much, which is measured by the CoG, it must return.

In other words, when the Stochastic deviates from the mean (the center dotted line on the chart below) and touches either the top or the bottom one, it will return to the center line. This strategy gives us a different method of looking at the overbought or oversold condition of the Stochastic. You can refer to the chart below:

CoGStochastic and FX Trend Binary Options strategy

The white rectangles indicate the zones where the Stochastic Oscillator was overbought or oversold, and was too distant from the mean, which is the center dotted line. Once this happens, the price will begin to move in the opposite direction and return to the mean. In reality, however, the price does not return to the mean instantly. You should be able to see this from the chart. This is where the other indicator – the FX Trend – comes into action (it is also available at the end of the article). After the Stochastic moves back from the outer bands of the CoG, we look for a matching color change on the indicator (Red and Blue line on price in the chart) and enter our trade accordingly.

Put Entry:

  1. Stochastic crosses downwards the upper Red line of the CoG
  2. FX Trend changes to Red

Call Entry:

  1. Stochastic crosses upwards the lower Blue line of the CoG
  2. FX Trend changes to Green

The good points

As mentioned above, I do not know whether it is easy or difficult to use this strategy. On one hand, the rules are rather simple and straightforward. On the other hand, the CoG and mean reversion things are pretty confusing, especially to new traders. Maybe the good point about this strategy is that it enables a newbie to trade a mean reversion strategy by apply just two simple rules.

Drawback of CoGStochastic Strategy

Even though I find the principle behind it rather fascinating, I cannot help but notice that this strategy generates quite a few bad signals, which I believe is caused by the FX Trend indicator. As a result, if I were to use this strategy, I would certainly replace this indicator or change its setting, because normally it changes colors too quickly, resulting in many bad signals.

Another drawback to this strategy is that we do not have any specific rule for expiry times. Although the author does state that it should be used on a 30 minute time frame, he does not mention anything regarding expiries. A long expiry time is necessary for almost all of the signals to work. In case you have experimented with this strategy before, please share with us the optimal expiry time.

Conclusion

Despite not getting the principle behind it, new traders with little experience can use the CoGStochastic strategy to trade, which makes it look like a decent strategy. The actual results, however, is not as good because of the FX Trend indicator. As a result, in order for this strategy to bring the best result, we need to replace or change the settings of both indicators.

Unfortunately, only seasoned traders could modify the settings for better results. That being said, I think this strategy has something to offer both new and experienced traders and has a lot of potential for development. This strategy works really well with traderush and redwood options.

Cobra binary options strategy
July 20, 2014 7:38 am|Comments (0)

Recently, I has been consulting Forextradingresources.com for some helpful binary options trading strategies. This site is home to a wealth of trading strategies, which you can easily access from the homepage. The strategies are classified into categories, such as patterns, scalping techniques, and trend following strategies, which is also my favourite. On visiting the category of trend following strategies, I was impressed by the amount of strategies this site offered, which is, up to now, 139 ones, with interesting names like Koala Forex System, Quadpips, the Boomerang, and today’s choice, the Cobra.

What Is The Cobra Trading Strategy?

The author of this strategy has the username of ‘Joy22’. This trend following strategy only takes signals that are in line with the trend, thus minimizing risk by capitalizing on market momentum. This short term trading system takes advantage of trends that occur over the course of only one or two days.

In the system, there are a one-hour chart and a 72 bar (hour) moving average to help determine the current trend. When the price is above 72 hour moving average, meaning the trend is up, bullish trades should be made. In case the trend is down, which means the price is below the moving average, only bearish trades should be made.

Cobra binary options strateg

The strategy also makes use of other indicators, such as a complex set of simple and exponential moving averages, and a 14 bar ADX applied to the ‘Typical Price’, which is the average of the high, low and close of each bar. The moving averages created a signal line that includes a buffer zone for extra safety. Signals should only be taken when price action moves beyond the buffer zone.

How Does The Cobra Work?

After your system is properly programmed for this strategy, the rest is quite simple. Trades should only be taken with the trend, which is set by the 72 hour moving average. During periods when price is above the moving average, and the trending is higher, you should wait until it retreats to the signal line/buffer zone and then bounces back out. The signal occurs with the first candle that opens and closes outside of the buffer zone. The same rule applies to a bear signal. When the price is down, wait until it climbs back to the signal line and bounces out of the buffer zone.

Why this System is a good choice?

The good thing about this system is that it works, apparently. Moreover, it makes use of a collection of signals to help determine trend and entry, which then reduces risk and capitalizes on the day to day trends in the currency markets. The advantage is that the signals are clearly defined and easy to spot.

Another thing I like about this strategy is that it takes more than a simple touch or bounce from the signal line. The Cobra strategy is better than other strategies because it does not leave identifying the actual signal open to each trader’s interpretation. I also think the author is a genius when using the high and low moving averages in order to create the buffer zone.

Disadvantage 

The Cobra system’s major disadvantage is that if you want to use it, you need a highly adaptable trading platform. Since it requires a lot of programming in order to get the special moving averages and the ‘typical prices’, inexperienced and new traders may not have access to this trading system.

Another point that is worth mentioning is that although you are told to use an ADX applied to the typical price, the strategy never actually tells you what you should do with it.

My Last Words On The Cobra – BITES!

The Cobra strategy appears to be a good system for short term binary options traders, as long as you have enough experience and the right chart package to make use of it.

Its major disadvantage is that new traders may not be able to use it, because very few newbies are willing to shell out dough for trading software, especially when they can start with a free charting package.

Putting all those drawbacks aside, I really appreciate the effort of Joy22, the author of such a good strategy. In case you wonder, the Cobra strategy is an approved strategy for binary options. This strategy work wonders with OptionFair and uBinary.

Bollinger Bands and Momentum
July 17, 2014 7:34 am|Comments (0)

When Volatility Meets Direction

In the collection of binary options trading strategies, there is some that earn the title ‘Holy Grail’, because they are capable of making sure money for traders. These ‘Holy Grails’ often has the accuracy rate of 99% or higher. In my opinion, the real Holy Grail is a strategy that not only works a sure personal ATM machinebutis also suitable to the user himself. In today article, I am about to review a strategy called “60 minutes Bollinger and Momentum” that I found on forexstrategiesresources.com. Check out how it works to see whether it is the Holy Grail for you.

How to use the 60 minutes Bollinger and Momentum strategy

This strategy utilizes two technical indicators that can be found on the Meta Trader 4 platform without any installation or extra effort: the Bollinger Bands, as the name suggests, and the Momentum indicator, which is a bit less popular. In case the term Bollinger Bands sounds unfamiliar to you, visit the link above to see whether the information there would be of any help to you.

As for the Momentum indicator, it offers us clues about the trend and strength of a move. The original author of this strategy utilizes the default settings for Bollinger, and set the Momentum to 11. The strategy mentioned in this article, however, was created especially for binary options, so another factor is recommended: the expiry of 60 minutes (the time frame in the chart is 15 minutes). After plotting the indicators, the result you get should look like the chart below:

Bollinger Bands and Momentum

Once price crosses the middle Bollinger band, and the Momentum indicator agrees and is on the right side of the 100 level (which means over 100 for Call options and under 100 for Put options) a trade should be entered. In other words, we need two conditions for each trade to be entered.

For a Call, the price needs to cross the middle band upwards and the Momentum needs to be above 100. On the contrary, for a Put, the price need to cross the middle band downwards and the Momentum needs to be below 100. In the chart above, you can notice that I have drawn a dotted vertical line where price crosses the middle Bollinger band, but the Momentum is below 100. The two conditions are not met fully, so we do not take a Call. Keep in mind that the price has to cross the middle band, and the Momentum has to be above or below 100.To make easier for you guys to remember, I provide a summary below:

Call entry:

  1. Price crosses upwards the middle Bollinger band
  2. Momentum indicator is above 100 level

Put entry:

  1. Price crosses downwards the middle Bollinger band
  2. Momentum indicator is below 100 level

Expiry time: 60 minutes. The chart time frame is 15 minutes so we have a 4 candle expiration time.

How about the drawback of 60 Minute Strategy?

In my opinion, the Bollinger Bands are not utilized at their fullest potential, since this strategy does not take the distance between the bands into account. During volatile market times, the bands tend to spread apart, whereas they tend to contract when the market is slow. Some of you may have noticed from the chart above that the worst trades are taken when the bands are rather close together and moving sideways, which are signs of a slow and ranging market. ITM trades begin to show up when the market has direction.

What is the advantage of 60 Minute Strategy?

The author of this strategy recommends an expiry time (which is longer than 60 seconds, fortunately) and a chart time frame of 15 minutes because he or she aimed to develop it for Binary Options from the beginning. From what I know, a 15 minute chart is capable of offering you trades throughout the day, while still keeping you out of all the noise that is inevitable on a 1 or even 5 minute chart. Even though the author did not take the distance between the bands into account, there is nothing preventing us from doing it. These Bollinger bands are good at both gauging market volatility and keeping us from entering when they contract.

In conclusion – Would I use it?

To be honest, I would not use this strategy as it is now, because it does not fully utilize the Bollinger bands, and partly because I never actually like the Momentum indicator. Nevertheless, this strategy itself is very good, but it can still use some improvements. Good luck using this strategy! This strategy work well with Banc de Binary!