Binary Options System
Copy Buffett Software is a new name in the industry, so many traders are still doubtful whether this software is genuine or just another scam. It has gained some popularity within the trader community and many people want to make sure this software is truly useful for their investments. Lots of traders still suffer from scams that cost them money and trust, which is sad that something like this still exist in the industry.
With this review on Copy Buffett Software, we will equip you with objective information regarding this software so you can make accurate decisions for your business as long as you spend some time checking and working with Copy Buffett Software. It is true that money is quite hard to gain nowadays. That is why we have put so much effort into researching carefully about this software for this review. Therefore, we think our position speaks objective information and you should trust our warnings or approvals or even neutrality when it comes to binary option software reviews.
When he was a software developer, Jeremy Fin spent 18 years to research and develop lots of platforms. He then had an interest in trades and he put even more effort into finding a way to win more and more in this business. He took time to study the methods and strategies of the field, and what is in the mind of Warren Buffett—the most famous billionaire investor—for this passive technique of making trades. As a result, the Copy Buffett Software has been developed to mimic the exact same actions taken by the billionaire when he makes his investments.
Warren Buffett does not just make plain decisions. His decisions are calculated with advanced mathematics so as to maximize the profits earned from the trades. The calculations are studied very well by Jeremy Fin. He and his software developer team have spent over 6 years to create an algorithm built for binary options trading based on the mindset of the billionaire investor that eventually yields success.
One feature of the Copy Buffett Software is the autopilot function under which it can make around 500 investments on a daily basis. The system is very easy to use and traders can set up the automatic function with a simple mouse click.
There is an app for this software and traders can enjoy 30 days free trial. After the trial, if you enjoy the system and want to keep it for further automatic investments, you can contact the team to partner with them in the business. In that case, you can continue using the software for your trades, and 95% of the profits yielded will be yours, the remaining 5% of the profits will belong to the developer team.
This software can be used in any country in the world as long as binary option trading is legal there. It is also only synchronized with a broker with strict regulation, thus it will be safe and secure for you to withdraw your funds from the account with the broker.
During your registration in the Copy Buffett Software system, you will receive a real-time live chat with the technical guys and other developers. You can also ask for support from the team via phone and email. The system also provides a free secured forum for member traders where they can discuss with each other on trading techniques and experience.
The most impressive feature of Copy Buffett Software is its ability to create signals for around 400-500 trades per day. This feature indicates that the software can yield better profits for traders each day and the profit can double or even triple over a short period of time.
Proof That Copy Buffet Is Reliable And It Is Not A Scam
We have done lots of researches and tests and have yet to find any risk of Copy Buffett Software that can indicate that this software is a scam. On the contrary, we have found lots of proofs that the software is in fact legitimate. We will be explaining why we know this software is reliable for traders and you should not be afraid that it will be another scam.
The signals generated by Copy Buffett Software are proven to be trustworthy and consistent over the time. Our review is made based on our investments upon hundreds of trades in this system that were set automatically during 5 consecutive days. Many traders have tried out this software on their own for real trades, and they are so happy with it they put a positive review of the software on their binary option trading blogs.
The first 30 days free trial is given to traders because the developers of Copy Buffett Software want to know whether their clients are making any good investment with the system. They need to prove that the system is trustworthy for all traders and they are earning good profits from the trades. The 30 days free trial is also beneficial for beginner traders who want to learn more practical knowledge on binary option trading. It also shows that high profits can be earned from automatic trades set up by the software.
The video demonstration of Copy Buffett is true to its features and offers. It has no scam or flashy technique to falsely promote itself. Traders can get lots of information from the website of the software, e.g. information on the man behind this amazing platform. Details are accurate and the screenshots on the website are authentic. Copy Buffett Software is a legit system, not a scam, so it does not need any false promotion.
Pricing and How to Get Started
Our review shows what Copy Buffett Software really offer to its users. Upon your registration, you know clearly that you will have only 30 days free trial. After the trial, if you enjoy the system and want to continue using it, you need to contact Jeremy Fin and his team to partner up with them so they can grant you full permanent access to the system and charge only 5% of the total profits earned from the trades. If you don’t enjoy the system after the trial, you will keep all the profits earned during the trial. There is no extra fee or hidden cost.
If you want to download the Copy Buffett Software to try it out for your trades, you need to take these easy steps:
- Check your computer cookies and clear them all before you get access to the Copy Buffett Software website.
- Fill information into the blank spaces, including your name and email address with which you will receive further details for your registration, then click the Sign Up button.
- Check a regulated broker in the area for members and sign up for a trader account. The new account needs to be deposited with the minimum of $250 for investment.
- Click the button saying “Auto Trade” to start the Copy Buffett Software, then the automatic function will do the rest for you.
Your account will receive profits right when a trade is completed and turns out successful. Withdrawals can be made any time you want.
Copy Buffet Review Conclusion – It’s NOT a Scam.
The software is not a scam. It is trustworthy for traders, especially with its automatic trading function. You need a regulated broker to synchronize with the software. It can make around 400-500 automatic trades within a period of 24 hours, which enhances the probability to yield higher profits for binary option traders.
Germany is well-known for a large number of high-quality products: luxurious Mercedes, reliable Volkswagen, powerful BMW, etc. But do you know much about German Strategies for Binary Options? Maybe we just know little about them (or maybe just me), so in this article I will be discussing one. The source of this German strategy is from www.forexstrategiesresources.com, in which they provide a translation tool so I can explore more about the entry rules of this strategy.
How to use the Trend Momentum Strategy?
Before getting into details, we require an indicator that we have discussed earlier and that is already provided in Meta Trader 4 – the Momentum. For this indicator, we will utilize a setting of 18 and set a level to 100 (to do this, double click on the indicator, choose Levels and add a level of 100, or you just need to manually drag a horizontal button on the indicator). The next indicator utilized in this strategy is an Exponential Moving Average that uses a 24 period, which is also a default feature of Meta Trader 4, thus you need not to worry much about adapting it to the chart. When you have finished your setting, here is the important content of the strategy. When a H1 candle (only hourly charts are utilized in this strategy) is completely closed over the EMA 24 or 80% minimum over it, and the Momentum reaches higher than the level 100, a Call with the end of day expiration can be purchased. If an hourly candle is closed below the EMA 24 and the Momentum does not reach the level 100, a Put with the end of day expiration can be purchased.
You can easily recognize that the strategy has specific rules for the application of timeframe and expiration time. The reason for this is that the strategy was built particularly for Binary Options, so traders need not to worry about using it. Actually, traders are advised to use this strategy in its original untouched form and refrain from making any remarkable adjustments. However, if you can find some ways to make this strategy even more effective and powerful, we are all willing to hear from you. Let’s take a look at an illustration for this strategy with some pre-designed entries:
It is clearly displayed in the illustration that all trades end In the Money, thus proving the strategy is not so bad. The dotted standing lines show the end of day and in this illustration they are merely visual aid for the example. Also, remember that this example is “pre-designed”, meaning that your trades will never look like this or as good as this. Here’s a brief summary of our German strategy:
- An hourly candle is completely closed over EMA 24 (or minimum 80% over)
- Momentum reaches higher than the level 100
- An hourly candle is completely closed below EMA 24 (or minimum 80% below)
- Momentum reaches lower than the level 100
Expiry time: End of Day
Bad thing about this Strategy?
The most considerable drawback of this strategy is the ranging market, as well as many false signals are provided in such market. The name of the strategy also specifies that it is designed as a trend-following strategy, so traders should use it with the right purpose. Nonetheless, in a ranging market, you can keep yourself away from bad trades with the help of Momentum indicator. One more bad thing about this strategy is the 80% rule. I think it is unnecessary and unfavorable. In my opinion, a better signal is provided by a full candle closed over or below the Exponential Moving Average.
Good thing about this Strategy?
The most obvious good thing is its simplicity – everyone can use it without any problem. In addition, the success rate is pretty high considering its techniques and content, so newbies can use this strategy to get to know more and learn more about Binary Options. Money management is certainly needed alongside this strategy, but I suppose this is what everyone knows already. The strategy was built for Binary Options, which does not mean it has no error or chance of failure, especially in term of timeframe and expiration. The reason is that those features are already specified in the rules and using an hourly chart guarantees that the strategy removes lots of “noise” from the market.
Conclusion – Newbies Friendly but could cause Headaches
At first, I didn’t have much positive attitude towards this strategy. The problem I thought of was due to its simplicity and the creation of many false signals. However, after many tests with this strategy, it dawned on me that being simplistic is the biggest advantage of this strategy. The best strategy for me now is The Floor Trader, yet it is just too complicated and confusing to introduce to beginners. This German strategy is, oppositely, very user-friendly and simple. You should try it!
[kkstarratings]The Three Ducks Trading Strategy is a very fundamental trend-following strategy that is suitable for traders of any level. This strategy utilizes many types of analysis that belong to my preferred list, and it has also been pre-approved by Hammish Raw. With this strategy, you will learn to get your ducks to line up in a row and to earn profits from binary options.
Get Your Ducks In A Row!
Before getting into knowing the ducks, we should take a minute to learn about Hammish Raw first. He is the one that has written the strategies for binary options. Hammish Raw is a long-term successful binary trader who made trading in binary options long before they were internationally traded on the Internet. His website is very informative and contains a great collection of strategies on binary options, just like this one, the Three Ducks Trading Strategy. This strategy is very basic and traders of all types and levels can use it without any difficulty
Three Ducks Trading Strategy
At first, I thought this strategy was another one using the candle principle, three white soldiers/three black crows, and I was horribly wrong. Three Ducks Trading Strategy is a fundamental trend-following strategy that applies the multiple timeframe analysis for short-term trading. This strategy is an outstanding choice for traders of short-term binary options, as signals are taken on charts of 5 minutes and come with the backing of the underlying trends of longer terms. Now you may wonder what the name of the strategy means. What are the Three Ducks? Your three timeframes are the very Three Ducks. Hammish uses charts of 4 hour, 1 hour and 5 minutes, and with only one indicator that is the 60-bar simple moving average.
How Does The Three Ducks Strategy Work
The working principle of this strategy is that it captures the movement of the price in the specified three timeframes. The first timeframe is 4 hour. The underlying trend is bullish if prices on this chart are above the simple moving average. At such point, you turn to the next chart, 1 hour, to confirm the trend. If on this chart, prices also reach above the 60 bar simple moving average, the 4 hour chart is confirmed and then you turn to the chart of 5 minute. If on this chart, the prices also keep the same characteristics and the underlying trend is confirmed, you should take the bullish trading opportunities. However, if prices do not reach above the SMA, you should wait for a crossover. When prices cross over, this is also a signal for buying. For bearish trades, just reverse what I just said. If prices in the 4 hour chart show a bearish trend, you need to turn to the 1 hour to confirm the trend. If in the 1 hour chart, the trend is confirmed, then you need to turn to the 5 minute charts and wait for a signal to buy Puts.
The great thing about this strategy is that it is created by a famous trader who has succeeded with his strategies. It is also clearly explained and presented with details, and it utilizes the multiple timeframe analysis (with clear explanation). The strategy also tries to remove conflicting signals, provides a great choice for trading of short-term binary options and it utilizes many indicators. There are various strategies roaming around the Internet, most of which are just nonsense made up by traders with no name. This Three Ducks Trading Strategy is different from those, since it is introduced by a famous and successful trader – Hammish Raw. Many strategies impose great difficulties for traders as their contents as just confusing. On the contrary, Three Ducks Trading Strategy is very simple, easy to understand and explained into details. The strategy also utilizes the multiple timeframe analysis, which has a great position in many of my personal trading methods. Once again, it utilizes many indicators and it successfully removes conflicting signals.
Can this strategy Fail?
It may, however. It is because nothing is perfect and everything goes into failure one time or another. In trading business, there is no firm guarantee for you. The only possible guarantee is that you will definitely fail at some point in your business. There is no perfect strategy for all the cases, and Three Ducks Trading Strategy is surely not that perfect. Since the strategy starts with the charts of 4 hours, it is very likely that deeper trends will dominate, thus any signals displayed on the daily or weekly charts should be noticed and watched as well.
Hammish once said newbie may not be cut out for this strategy, though I believe he was just too cautious. This strategy is very basic and effective for the trading of short-term binary options, and surely suitable for traders of all skills, even newbies. Stopping newbies from putting their game into short-term binary options with super high risks is impossible, yet I can show them the right way with right strategies to boost their chances of success. I am quite sure many advanced traders have already been utilizing this strategy in one form or another, regardless of whether or not they know about the Three Ducks, or Hammish Raw.
[kkstarratings]It came as a great confusion for me as why this strategy has a word “Guru” in its name. Normally anything coming with “Guru”, “Professional”, “Expert” or anything fancy like that makes me feel more skeptical than attracted. However, this strategy has something special in it, so I did give it a try using my Meta Trader 4 charts. It was created by NavinPrithyani and here is the link for the strategy http://forex-strategies-revealed.com/basic/fractal-guru-strategy. One reason this strategy has drawn my attention was that it utilized ADX (you can check out the article about ADX posted not long ago), Japanese candlesticks and Fractals (which will be explained in this article).
What are Fractals?
In trading, the term Fractals is different from that used in mathematics. It is part of a strategy created by Bill William, which I will not be elucidating in this article as it is obviously unnecessary. What you are advised to understand here is that a bullish Fractal is the formation of five candles in which the low of the middle candle is lower than the lows of the other four candles in the formation. Conversely, a bearish Fractal is the formation of five candles in which the high of the middle candle is higher than the highs of the other four candles. If you feel that these words confuse you, let’s view an illustration:
The illustration above shows us what a bullish Fractal formation of five candles looks like (and we will have a bearish Fractal if we reverse this picture). Identifying a Fractal may seem a bit difficult at first, but it is actually very easy and simple if you just focus on the grey arrow at the bottom of the middle candle, which illustrates a Fractal identified by the Fractal indicator. Fractal indicator is a tool designed to help to identify Fractals quickly and accurately. In such a modern world, Fractal indicator is not something very strange or extraordinary, so having one is easy and very useful.
Both ADX and Fractals indicators are integrated in the Meta Trader 4 platform, so if you want the Fractals to appear on your charts, just click: Insert – Indicators – Bill Williams – Fractals for the Fractals and Insert – Indicators – Trend – Average Directional Movement Index for the ADX. You need to bear in your mind that the grey arrow can disappear until the fifth candle isn’t closed, simply because Fractal is the formation of five candles. Trades will be entered upon the opening of the third candle following where the Fractal is manifested. These words may seem a bit boring and confusing, so let’s get to the exciting part of this strategy:
How to use the “Fractal Guru Strategy”
This Fractal strategy depends greatly upon the ADX and Calls are only taken when the ADX is on the rise, the Red dotted line is below the Green dotted line and a complete Fractal is manifested (all five candles are closed). Just to be more cautious in this strategy, we decide trades are only entered when the candle matching with the grey Fractal arrow has a long wick on the side of the grey arrow and a short wick on the other side. This illustration will help you have a clearer idea of this strategy:
The above picture illustrates what a valid Call entry looks like in accordance with this strategy. For a Put, everything must be reversed, with the exception of the ADX blue line that must be on a rise just the same as in the case of a Call. This is because the Blue line of ADX displays the strength of a move instead of its direction. Let’s look at a brief summary of both Put and Call entries:
- A bullish Fractal must be fixed/locked in/fully established (all 5 candles are closed)
- ADX Blue line is steadily RISING
- The candle matching with the grey Fractal arrow must have a long wick pointing towards the Fractal arrow and a short wick point to the other side
- The Red dotted line is BELOW the Green dotted line
- A bearish Fractal must be fixed/locked in/fully established (all 5 candles are closed)
- ADX Blue line is steadily RISING
- The candle matching with the grey Fractal arrow must have a long wick pointing towards the Fractal arrow and a short wick point to the other side
- The Red dotted line is ABOVE the Green dotted line
The first bad thing about this strategy is that it is very difficult to follow. If you are a beginner in this field, you must feel so confused and baffled with all the rules, ADX lines, formation of five candles, etc. The explanation for the opening entry point of the third candle after the grey Fractal arrow appears is also pretty confusing. The rules are also ambiguous and traders can make lots of interpretation from their contents. For example, “when the ADX is trending by seeing the blue line rising steadily…” This is the original wording of the strategy as in its creation document, so what does this sentence refer to? How long should the ADX go on the steady rise and which values are deemed safe for the strategy? The strategy explanation doesn’t give us clear answers, so the best we could do is to make interpretation from what it says. Perhaps, this strategy is for advanced traders who know how to spot a steadily rising ADX easily. A beginner will meet great difficulties.
Despite its complication, the strategy is built based on strong principles generating trades with high probability. This means we are making trades with the trend as soon as the ADX is on a rise and the Fractal formation is in fact the retracement. And the best place a join a trend is none other than after the retracement. In addition, we have the long wick rule: the candle having a long wick mentioned in this strategy bears much resemblance to a Pinocchio bar (a Pin bar) that is a reversal candle. The Pin bars have always stayed amongst my favorites as they have displayed their effectiveness in real practice. Their extra confirmation also brings benefits to the strategy.
Trend following strategies have always been my preferred ones since they create high-quality and safe entry points. However, personally I don’t consider the ADX as the best indicator for trend, or at least it is not utilized as a main indicator of a strategy. Fractals are just too difficult to follow and their complication well exceeds their actual performance and power. They can also be re-painted easily, which means an arrow appears and then disappears when the next candle is printed. In general, the principle of the strategy is great, but what it shows in real practice is simply too subjective and very confusing. In conclusion, it is the traders who use this strategy that make all the differences. It can bring profits to some traders, while only losses and confusion to many others.
[kkstarratings]In this article I will be discussing a very basic strategy that was used as one of my first strategies when I got into this business, and still among my preferred ones. Frankly speaking, it took quite a large amount of time just to get the idea of this strategy, mostly because of the lack of my experience back then. In this article the strategy will be discussed in layman’s terms to be much easier to understand than its original form in which I think the terms and phrasing used by the developer are pretty complicated. You can view the original form of this strategy for Forex here in this link: http://www.trading-naked.com/FloorTraderMethod.htm. This strategy is a trend-following one, and that’s why I like it. In order to recognize the trend, 2 Exponential Moving Averages with periods of 9 and 18 will be utilized. The trend determination will be done with the positioning and angle of the 2 Moving Averages, and the pattern created during the retracement will be utilized to perform market entry. Below is the description of this strategy in details with all its principles.
How to use the Floor Trader Strategy
Before going into further details, we should learn to understand the definition of retracement in this strategy. A retracement can be explained as a slight increase in prices during a downtrend and a slight decline during an uptrend. Retracements are counter-trend movements. When they are finished, the trend usually gets back to its track. The retracements play an important role in our strategy here because the entry patterns take place during the retracement. In an uptrend, the trigger of our entry is the first candle to reach above the high of its previous candle, determining the retracement end and the uptrend continuation; and in a downtrend, vice versa. Look at the following picture:
The best entries are those found after a retracement containing 2-5 candles. The rules of entries are as follows. They may seem difficult to understand at first, but in the end, they will turn out very simple and logical.
An Uptrend is recognized by:
1. The 18-EMA line is below the 9-EMA line
2. Prices trading above both EMAs
3. The slope of either or both of the EMAs is upwards. (At times the 9 EMA will be below the 18, but curving upward and about to cross it, which is acceptable)
Number 1 above is the primary identifier; prices must first trade above both 9 EMA and 18 EMAlines – subject to the two conditions as follows:
1. Price is “significantly” distant above the lines (before the retracement to cross the EMA lines), or
2.Price is above the lines for 3 candles minimum.
Entry signals have three types: Level 1 (L1), Level 2 (L2) and Level 3 (L3). L1 is the strongest signal. The next is L2. L3 is the weakest signal and should be traded with great care.
The LEVEL 1 Call signal(long):
After identifying a decline retracement and an uptrend is determined, look out for:
- At least one candle touches the 18-EMA line (or goes slightly below it), and
- Price to decline and enter the area between the 9 and 18 EMA lines
- When the 18-EMA has been touched, find a candle that reaches above the high of its previous candle by at least one pip. (Trigger candle)
The LEVEL 2 Call signal (long): (akin to the L1 signal and may appear prior to it)
After identifying a decline retracement and an uptrend is determined, look out for:
- Price to decline and enter the area between the 9 and 18 EMA lines
- A Call signal Trigger candle appears before the 18-EMA is touched. The market starts to move up without touching the 18-EMA (which is the normal trigger for the L1signal).
The LEVEL 3 signal (long):
After identifying a decline retracement and an uptrend is determined, look out for:
- Price to decline but it DOES NOT enter the area between the 9 and 18 EMA lines, or price merely touches the 9-EMA line.
- A Call signal Trigger candle appears above the 9-EMA. The market starts to move up above both EMA lines (or merely slightly touches the 9-EMA line) following a minor retracement.
An L3 Call signal is only taken if it is the first signal in a new uptrend.
Qualified L3 Call signals arepretty rare. The most common ones are created when the market performance is at new highs in a “runaway” rally, or following a strong consolidation.
Continuation Long Signals:
The first Call signal in the mentioned new uptrend should be closely watched irrespective of its condition as taken or not. If the trade comes to a halt or gets back to the breakeven point, refrain from acting on any additional long signal in the present uptrend. In this strategy, it is also highly advised that additional long signals not be taken unless they take place at significant distance above the first one. Generally, the first signals in a new trend provide the best trades. This means the top rate of success comes alongside a signal provided in the first retracement following an EMA crossover. And all of the rules must be reversed in the case of a Put signal.
The conditions and rules are quite complicated to grab, so let’s simplify them with illustrations as follows:
The first and most obvious bad thing about this strategy is the complicated set of confusing rules. It is a seriously big challenge for beginners and not many can keep their spirit with it. I was in that situation, and I did think of quitting every now and then. However, my decision was that I had to keep following the strategy and it was not very long before I could detect signals better and the need to regularly check the rule sheet went away. Another big disadvantage of this strategy lies in its inability to work well with ranging periods, which has been considered a weakness of trending strategies. However, there are other tools (such as ADX) designed for better trend identification that can help you avoid such problem. One more note: refrain from any trading if the two Moving Averages stay flat.
The basis of this strategy is amongst the strongest and most popular trading principles: the trend. Also, the best place to enter the trend is just after a retracement. As drawn from real practice, the retracement provides precise signals that take place very frequently, thus satisfying even busy investors who trade a lot. During a trend, traders can take multiple trades to maximize their profits, and if they take all the signals, the trading gains will be so huge.
This strategy, in my subjective opinion, works very effectively and remains my preferred strategy. Perhaps the EMA’s need some adjustments and the ranging markets could be avoided by using some other filters. If you want to check whether or not this Floor Trader Strategy is cut out for you, the best way to check is to use a demo account and test it and get used to it. You should make up your mind whether or not to use this strategy on a live account only after having done carefully forward testing and back testing. The rules may seem complicated and difficult to follow, but be confident and keep up your work, I am sure it will pay off.
[kkstarratings]Higher level traders can rely on the candlestick trend trading system for its high quality. This system uses multiple trading techniques, among which we have candlestick trend continuation signals. Please read through the article below and click on the link to read the full strategy and to download the indicators.
One of my favorite websites to visit regularly is Forexstrategiesresources.com – a very useful website for traders of forex and provides a huge collection of strategies on forex. Many of these strategies, if not saying almost all, can be applied effectively to trading binary options. And one of them is the Candlestick Trend Trading System. When I first looked at this strategy, I hoped that this will be another outstanding one, as it already contains candles and trends in its name, which are two of my favorites techniques of trading. In addition, I also recognize that this strategy contains many other indicators, such as a moving average and MACD, which are also my preferred techniques.
What Is The Candlestick Trend Trading System
The Candlestick Trend Trading Systemis released by Forestrategiesresources.com as a forex trading technique. This strategy is trend-following and it has all of my trusted and preferred techniques in trading. The technique uses 2 timeframes, 4H and daily charts. A moving average and MACDare also integrated with Metatrader’s Pattern Recognition Master to provide signals. The website provides all the tools you need, so no need to worry here! Also, it is not necessary to be a Metatrader to utilize the system. The only requirement is that you can detect the candle patterns.
First you have to begin with the daily bar chart so as to provide signals. Puts will be traded if the charts of daily bars are bearish, and calls will be traded if they are bullish. In a bullish chart, the trend is usually upward with the moving average being bullish and MACD being bullish. If everything is like this, you can utilize the 4H charts. On 4H charts, you need to seek a bullish signal, e.g. bullish moving average, bullish MACD and bullish candle signal. In reverse, it is also totally true. About the bearish signals, they begin with a bearish chart of daily bars, and on the 4H chart they get confirmed by the moving average and MACD
One important thing you should notice here is that the MACD on this system of charting is not exactly the one you may be familiar to. The display of this system is still standard, yet the color of each bar will be adjusted: in down days, it is red; and in up days, it is blue. When you are using the 4H chart, if the color of MACD turns red, that is a bearish signal; and if it turns green, the signal is bullish. Setting trend with the use of daily charts, we can eliminate false signals and whipsaws. And even more of them are eliminated on the 4H charts if we use the moving average. The moving average also confirms the MACD signals.
The good thing of this strategy is that it incorporates all the things I prefer in a good system of trading: trend-following, multiple timeframe utilization, the use of multiple indicators for signal confirmation, and much ease in use. It generates bearish signals and bullish signals, as it is trend-following. The high versatility of this system also enables it to be applied with any index, commodity, stock, currency pair, or any other tradable candle charted assets. And above all, the programming of this system into trading platforms, such as MT, is very easy.
This strategy has its bad points, as we have once mentioned that even the best binary options (of your choice) have their own bad things. It is a good strategy, but the article lacks information. If more information were provided, this strategy would be highly recommended to newbies, while intermediate traders and higher levels have to meet limited use. The reason is simple. You need to be sharp when reading between the lines and have a good grip of the expected things and the way to deploy the strategy. In addition, quite a firm foundation with candle charting is required and necessary if you want to succeed. Otherwise, you need to find competent software to do the job. What do I mean when I say reading between the lines? Here is an example. The name of the strategy is Candlestick Trend Trading System. Besides in the title, can you find the “trend” mentioned in anywhere else? From the description, do you know how to set trend using the chart of daily bars? You cannot and you do not. My point is that you are supposed to do so. If I were wrong, then this system would be not so good after all
This system is good and intermediate or advanced traders can utilize this system. Despite having predesigned candlestick recognizing software, traders are still recommended to have a good grip of techniques of candlestick charting. Besides that, it is just fine. From the point of the author, it is obvious that some experience is required if you want to utilize such strategy.
[kkstarratings]One of my preferred indicators of binary option trading is MACD. The application of this tool is very diverse, such as to identify the trends, reversals and to trigger trading signals. This tool is also very flexible in term of time limit. It can be applied to long-term monthly binary options, or even to extremely short-term ones, e.g. 60 seconds. The article below discusses the best of MACD Entries.
The Best Of MACD Entries
This article was created by James Ayetemimowa and posted on Forex Strategies Revealed.
This strategy is simple for traders of short-term binary options and uses MACD in a very rational style. The benefits of this strategy lie in its trend-following characteristic and the utilization of many indicators at a time, thus it is remarkably useful for trading binary options. Furthermore, MACD is also applicable to longer timeframes thanks to the way it works and its flexibility in timeframe application.
What Is “The Best Of MACD Entries”
This question is not easy to answer, as the application of MACD to give good signals is very diverse. It was fairly easy for James as he has been able to precisely quantify the best entry signal of his belief. In his model, he utilizes 5-min charts with two MACD’s and two moving averages. For the charts, my suggestion is using candles, as I think it is the most effective. The mentioned two moving averages are respectively 100 bar simple moving average and 50 bar simple moving average. And both of the remaining two MACD’s are up to 12/26/9 standard, yet one is oscillator style while the other is histogram. In combination, these indicators provide signals with movements with the time range of minimum 20 minutes and maximum many hours.
How James’ “Best Of MACD Entries” Works
Signals are provided on a pretty regular basis as it is on the 5 minute charts and the setup is not at all complicated. About the two moving averages, they are utilized to identify trend, the type of trading and as part of the signal. The positions of the two SMA’s help to identify the trend. The market will have a bearish trend if the long-term 100 bar SMA is above the short-term 50 bar SMA. It will be a bullish trend if the long-term 100 bar SMA is below the short-term 50 bar SMA. Traders are advised to carry out puts when the trend is bearish and calls in a bullish trend. When MACD is oversold or overbought and creates a crossover simultaneously with the prices that have pulled back past the SMA’s, a signal is generated. This implies that it will take some time for the prices to have correction above the moving averages in a downward trend. If this situation takes place, when the MACD oscillator is overbought and a bearish crossover occurs, a signal will be provided. The MACD histogram can give predictions about the signal and the crossover. You can observe in the provided example that the MACD histogram is clearly diverging and indicating the lower high and consequential buy signal that the system has created.
This strategy is very well-designed and effective and it is an exceptional example, as well as an application of my preferred indicators. I have put plenty of stock in the old strategy 12/26/9. This system has utilized my preferred indicators as well as combined a great number of a good strategy’s features favored by many. Multiple timeframe analysis is not incorporated in this strategy, which in my consideration is a benefit. The strategy has an incorporation of well-used and trusted and overlooked indicators that put together the momentum and trend to provide handy signals for the trading of binary options that have short-term, say days, hours, or even shorter than that.
There is no bad thing to find about this outstanding strategy. It is so excellent and admirable. Sir James Ayetemimowa has done what many people have dreamt of with his great MACD system.
Whether or not this MACD entry is the best is not so sure, but it is absolutely an outstanding one. This strategy is highly recommended to any kind of traders of binary options, including those who are young, old, with or without experience, commodity, stock, forex, or any other kind. There are various strategies in the binary option market with diverse effectiveness, but we are sure this one is completely and absolutely wonderful. If you learn this strategy, cherish it and develop it into your own strategy, I can say that you will be meeting your fortune soon.
[kkstarratings]The application of stochastic crossovers in strategic trading imposes many risks. Stochastic is a well-known tool for traders, but it is not a strategy on its own. It needs to be incorporated with many other indicators to achieve full effectiveness. If considered as a trading strategy on its own term, stochastic is not very favorable. However, it will turn out to be very effective in identifying trends, entry points, resistance and support if placed in conjunction with other tools in the toolbox of traders.
What Is Stochastics?
Bearing much resemblance to RSI and MACD, as an oscillator tool, Stochastics obtain measurements about the movement of market in many ways, with the main focus placed upon the strength of direction over time. The movement range of oscillators is usually around 0, but in the case of stochastic, it falls between 0 and 100. The oscillator movement goes in the same pattern as that of the underlying stock in the market. For example, if a stock goes up, the oscillator will move up.The oscillators can move within their normal range or to positive and negative extremes in both bull markets and bear markets. The point here is that an oscillator may move up the bullish extreme in a bear market, or plummet to the bearish extreme in a bull market. Such movements to the extremes of both ends are in fact the potential entry points in the underlying trend, not necessarily signals of reversal.
How Stochastic Works
The inventor of stochastic was George Lane, a futures trader. Due to the fact that stochastic was established for the trading of futures, it works within very short timeframes, which is also a very good feature for the trading of binary options. The methodological assumption of stochastic is that when a stock is on an upward trend, prices will close within the top of the range in the day, and in the other hand, when a stock is on a downward trend, prices will close within the bottom of the range in the day. There are two lines used in the stochastic indicator: %D and %K. The %K measures the variation of stock closing prices on a daily basis. The short-term range increases the volatility of %K and provides lots of incorrect signals. If the %K line is smoothened, we obtain the %D line, which plays an important role and is named the Signal Line. The formula of the indicator is as follows:
C = Closing Price, L5 = the lowest closing price for the last five days and H5= the highest high for the last five days.
ñ %K = 100[(C-L5)/(H5– L5)]
H3= 3 period sum of (C-L5) and L3= three period sum of (H5– L5)
ñ %D = 100 (H3/L3)
When plotted over time, we obtain the resulting two lines moving within the range of 0 and 100. The %K line yields clear patterns with great significance but such patterns are illegible due to much volatility. The %D line provides smoothened data and the signal line for the %K to cross over, along with its own signals.
How to Use Stochastics for Crossovers
In binary options, we have 2 main methods for the application of stochastic crossovers. The first method is when the %D line reaches an extreme, reverses, and moves away from the extreme. This signal is considered to show signs of weakness in a bear market and strength in a bull market. When %D goes below the bearish extreme, crosses back over and reverses in a bear market, we have the bullish crossover.
Depending upon the timeframe of the observed chart, the term of these signals can be longer than you expect. Sometimes an expected movement only happens after 2 or even 3 crossovers, which, however, is the basis of another technique. I will discuss this technique later on.
The definition of crossers is very simple in shorter terms: crossover means one line crossing over another. In our case here, the %K line crosses over the %D line, hence creating the crossover. Nevertheless, you are advised to fully understand the underlying trend if you want to apply this technique, since trading against the trend with this technique may yield big losses. Therefore, if the market trend is bearish, a crossover occurs when the %K line moves above the %D line and crosses back under the%D line. Oppositely, if the market is bullish, a crossover occurs when the %K line moves below the %D line and crosses back over the %D line.
Advantage of this technique
This technique has an obvious advantage. It gives us trustworthy entry signals in bull and bear markets. If the trend has been accurately identified, you can detect the stochastic crossovers in all short-term, mid-term and long-term charts, and the signals of these crossovers are very strong when many timeframes meet and provide signals simultaneously. Now you think of an ocean in your mind and an incoming tide, so the long-term trend moves slowly, just like the tide. Then at specific occasions, all of the components – the ocean, the ripple and the wave – retreat at the same time, which resembles the correction times of markets. This pullback creates favorable conditions for a large number of investors to join and have larger funding. This is an example of stochastic crossover convergence. It takes into account the tides and the ripples of the market and shows signs of a coming influx of investors when the tides and the ripples meet together.
Disadvantage of stochastic crossover
Stochastic crossover has a disadvantage of being a lagging indicator and if your entry is not accurately identified, the crossovers will give lots ofwhipsaws. Crossovers can take place in any market at any time. If crossovers are the only source of signals for you, chances are that you will be missing a huge amount of profit or even worse, you may meet huge losses. In addition, if the market trend is not strong enough, the crossovers will be more likely to produce whipsaws and false signals.
Generally speaking, in my opinion, stochastic crossovers are effective, particularly if they are applied in combination with other things in a trader’s toolbox. Traders should not just base their strategy on one indicator or technique only, such as stochastic. This technique is still very useful in the toolbox. There are many other applications of this technique and I will be discussing them later on.
[kkstarratings]What Is Stochastic?
The strategy we introduce to you today is the simple Stochatics. The mechanism behind this strategy is the random walk/Brownian theory type analysis, a rather complicated theory but very effective in foreseeing the moving of financial assets in the market which might explain the popularity of this strategy among traders of all financial assets despite the fact that it was originally built for forex market. This theory relies on the tracking of daily prices which are completely random for a long time and draw the rule of the randomness from that observation. Imagine you and you dog walk on the pavement, your dog might move quickly from one place to another and we don’t know where he would move the minute later but we could limit its movement and predict your general direction.
The name Stochatics is chosen purposely as it is an ancient Greek word describing the holes made from a machine gun. Each bullet from that gun is aimed at particular target which is completely unknown although we might see its direction. More about this topic is in my review stochastic for binary options here.
How Does This Strategy Work
Stocillator basically works as an oscillator, which has two different line %k and %d. The former line is the short-term one and acts as your dog while the latter is you. Therefore, this strategy follows the movement of the oscillator through the peaks and troughs to picture the trends as well as entry and exit point. Though working well in harmony with any other indicator and in any time frame, its signals particularly concentrate on the one indicating the trend.
How Does the Geek Simple Stochastic Strategy Work
As I mention above, two different lines associate in this strategy with the support from additional analysis which is the basic fundamental one, trend line and long-term support/resistance. This strategy begins with the 5-year chart of weekly candles, and then put suitable support and resistance lines where they are needed; this is quite difficult and might need certain practice. You could realize a support or resistance as they might be a peak, trough or congestion and the trend lines as they comes from two consecutive peaks or trough with the extension to the right.Be careful as you might be subjective while drawing the lines through the tops of the lower and upper candle wicks. You chart now could display the long term trend and its direction. Take a look at the Semiconductor Index as it aligns with strong stochastic buy signals, which is the signal to take the entry and move down daily the chart.
- Long Term Signal – The long-term signals loom as in the situations where the %k is above the %d and hit the peak as the %d is heading up. As the %k moves down and then up, additional signals might appear.
The Buy Signal
If you are looking for any buy signal, then it might be better to put your effort on the search for a bearish signal. The buy signal will appear regularly on the daily chart but if the chart analysis have a bullish result, then it is better to look for bullish signals. In addition, if the resistance is not on the upper side, then there shall be no reversal. A good entry point could be determined as the last buy signal from the weekly chart in the one year chart of daily prices appears the same time as a move down to the support of an up-trend line. The method to find the entry is the same. First, you must look for possible areas of support or resistance and put your lines here. Be patient and wait if the SOX are above the support but the stochastic is broadened. The stochastic would send you a signal as it is ready to trade. For example, the prices on the SOX may be up, down or sideway. Remember to wait for a strong signal to begin trading. A strong signal often appears after a weak one which is just before the long term fired.
- The Buy Signal – There is no clear difference between a buy signal and other signals on the weekly chart except the distinction in the time frame. Particularly, two signals would tell you what to do in this case: the long-term one suggests what to buy and the daily one indicates when to buy. A call signal appears as the %k is above the %d in an uptrend. In addition, in a down trend, it is true with the reserve. An option expiring in only one or two days should be used in an uptrend if the asset is about to reach the resistance However, we should use an option with longer expiration period such as several week when there is no resistance.
Advantages of the simple Stochastic Strategy
This strategy is really effective as it is equipped with many advanced techniques. First, we highly appreciate Stochastic as it has engaged with multiple time frames and multiple time frame analysis. Another analysis in this strategy is the trend analysis, which aligns with the quote “trade with the trend, the trend is your friend”. This is truly a simple and trustful method to trade and to build strong base for further research once you are ready with your knowledge and experience. It also harmonizes perfectly with other techniques and analysis as well as releases other signals rather than the trend ones.
Disadvantages of this Strategy
The most annoying thing about this strategy is time-consuming. You must be patient to start trading and to gain profit and patience is the thing that not much people have. Furthermore, signals from this strategy often come more slowly than other methods as they often appear after many moves have been deployed and also the signals are not really strong if your underlying assets are in trend.
How to learn this Strategy
You could learn this strategy by two ways. The first way is to study about stochastic analysis. This means learning about the signals of reversal and divergences, which undoubtedly helps you understand market moves easier than normal techniques. The second way is to use the Fibonacci Retracements that allow you to verify whether the support and resistance lines you draw are true or now. If a Fib meets one of your lines, the converging point is a good market reversal.
[kkstarratings]Today I would like to introduce a strategy, which is one of my main trading systems and I guarantee this is a very easy and potential method to trade in the forex markets. It is named Simple moving average strategy but ridiculously it does not utilize the moving average. Besides, this strategy could also be upgraded with an external version of the simple moving average. Although I prefer the exponential moving average as it has more attractive returns and trading with that method would be undoubtedly easier than the first method, today we would pay our attention only to the simple moving average strategy. In this review, I would use the 30 bar exponential moving average as well as two time frames: 30 minutes and daily, in which the moving average will last for 30 bars.
Why Moving Averages?
If you want to measure the trend and market strength, moving averages would be a great solution as it is able to define the continuous and average prices of an asset over the time. Many adjustments are also available with this strategy, creating the base for further technical analysis. The mechanism of the moving average allows us to track the price movement since it releases a set of date while working on the prices trend. Particularly, the moving average would move up if the prices seem to close higher and conversely move down if the prices seem to close lower. In the other hand, the exponential moving average will help us distinguish the new and old data since it put more weight on the later data and less on the old one, resulting in a more current outcome than the original method which weight all data the same.
How this Strategy Works?
The core of this strategy is the 30 days exponential moving average and two time frames. The first time frame is also the longest one and it defines the basic underlying trend that we should follow in this market. The rule is that if the chart indicates that an asset is above the 30 day moving average, it means that trend is bullish. On the contrary, if it lies below the 30 day moving average then it is bearish. However, we must take this flexibly as the price would rely on other factors such as the long term trend, support or resistance… For example, you should be more careful if the prices has exceeded the 30 day moving average for many weeks and is on its way reaching the long-term resistance than the situation where it just moves above the resistance and crosses the 30 day average but with confirmation.
You have to be sure about the presence of the underlying trend as well as whether it is close to a proper turning point, then we might move to the charts with 30 minute bars. I commonly takes about 10 days to have an overview about the price range currently and in the past few days alongside with any support or resistant. If the daily charts were bullish then a bullish confirmation is also required.
It is the signals when the price rise back or return from the 30 bar EMA on your 30-minute chart. In reality, there are days when you receive many signals and also there are days when you get none, and this process might take hours so the winner is one who could wait until the end and remember to check their daily chart regularly before started trading. The normal expiration period would last from 1-4 hours, but if the asset is about to reach a possible turning point, that would shorten your expiration. A signal could be interpreted as a buy one, when the asset move and cross the 30EMA bar from below or is above it and then come back. Typically there are a lot of good signals between the first one which is usually the hardest to get and the final which seems not to bring any fortune but loss.
The moving average strategy really has positive effects on your business as its operation relies on the technical analysis which is the base of almost every advanced technique and is being used by every trader in the market. It is also suitable for the newcomers and could be take as a starting method to head for promising results in the future.