Relative Strength Index (RSI)
Relative Strength Index (RSI) – This momentum oscillator developed by J. Welles Wilder, calculates price movement using speed and changes as its measuring points. This momentum indicator compares the scope of latest gains to latest losses in an attempt to determine overbought and oversold assets based on the closing prices of a recent trading period.
Moving Average – The Moving Average is a widely used indicator that calculates information and analyzes data points by creating a series of averages. These averages are calculated using a number of subsets taken from a complete set of data. The Moving Average is used to indicate the direction of the current trend and helps provide clean data by removing daily price fluctuations found in the financial data.
‘Bollinger Bands’ – Is based on a technical analysis tool invented by John Bollinger, it uses a simple moving average and two standard deviations. There is middle band, one upper band and one lower band. The algorithm creates a moving channel of prices composed of an over sell channel and over bought channel. The algorithm then compares the last executed price in the channel and creates a sell or a buy signal.
Once the trader has chosen one of the three strategies, the Strategy Advisor Calculator will calculate the data and will provide a call / put recommendation based on previous expiries of the asset. Binary options systems operates using complex programming algorithms that are capable of performing data monitoring and calculations, on the base of which they issue predictions about the conditions of the financial markets and provide alerts on the best trading opportunities. There are no two profit-amplifying systems that are exactly the same.
Some have solid computer codes and are capable of accumulating considerable profits to online users, while some have dubious origins and are only likely to place losing trades. But this is not the only thing which investors should have in mind when proceeding to open an account with an automated trading software. Binary options trading has received a large amount of publicity in recent years, unfortunately much of this publicity has been negative. This, and a lack of knowledge regarding the basic concepts of binary trading has meant that many people believe it is something that can only be engaged in by those experienced in the stock markets. However, in truth anyone can trade this type of investment, after learning a few basic facts.
Binary options trading, in its simplest form simply revolves around the ability to make an educated guess whether the price of an option will rise (call) or fall (put). Of course, there are some simple techniques which will help anyone become a profitable trader.
The lack of knowledge while developing a binary options trading strategy can be a serious obstacle on the way to success. That’s why you should be practicing your method for a while and overtime cover all possible faults it has. There are several tips you can use developing a strategy. First of all try and learn as much as it’s possible about the markets you want to trade in. Then choose the asset you want to trade and learn about those factors that can cause the change of its price.
Is it difficult to create a winning binary options trading strategy? No, but it takes a lot of dedication. You may spend hours trying to make a method that will bring you profit in 9 cases out of 10. Don’t get discouraged if your very first attempt was a failure. After a while, you will learn the markets so well, that a hidden gem may pop up and save you. Keep trying to find your strategy, but mind that there is no the holy grail for binaries. The chances to find one are minimal. Plus no one will guarantee you profit. All you need is to win more then you lose. We’ll break down some of the things to help you with your strategy for binary options.
Here you will find our educational academy divided into numerous subjects, all meant to provide traders with optimal information to becoming expert binary options traders. Education is the key to success and with these resources, investors will be able to enhance their overall experience and make profit.
Although binary options are simple to understand, it is always a good idea to dig deeper into studying the markets in order to make prosperous trades. Learn great binary options strategies via the TR Binary Option Educational Academy. Educational tools provided include an interactive eBook, complete with psychological traits of effective traders, a glossary of terminology and much more. Resources also include beginner to advanced video courses on trading techniques, live webinar sessions, and weekly/daily market reviews which keep our investors up to date on current economic events. We have also implemented live signal webinars that are offered on a daily basis. Contact your account manager for more details if you are interested in attending these webinars.
Binary Options as an investment type is in it’s infant stages. Somewhere between trading and online gaming, many are calling this new investment vehicle “financial gaming” and it’s definitely creating a stir in the markets. We’ve built this portal to offer traders and gamers alike the opportunity to learn and about binary options and to be part of a growing community. The trader buys the option at the so called “the strike price”.
If the trader bought a CALL option, he/she bets on the price going higher – above the strike price. If the price is above the strike price (even by one pip), the trader wins the bet at the expiry date. The same stands for short positions. The trader buys a PUT option if he/she believes the market is going lower. If the market price is lower than the strike price at the expiry, the trader wins the bet.