Profitable Binary Options Strategies

If you want binary options trading to be truly profitable, you need to arm yourself with a few profitable strategies. This article presents a selection of three indicator systems that can be used to correctly determine the further direction of price movement in a variety of market situations.

Conditions for the successful use of strategies

In order for each of these strategies to work with the intended efficiency, it is necessary to use only high-tech trading software for trading, which will be equipped with a set of technical indicators. For example, we took the terminal of the broker Binomo as such for writing this article.

Strategy #1 — Countertrend

To trade binary options using this trading method, you will need to select the underlying asset, in the market of which there is currently a pronounced trend — this situation will allow you to conclude transactions with short-term options on small corrective rollbacks. To build an indicator template, you need to add 2 moving average indicators (EMA) with periods of 8 and 10 to the chart (movings can be made multi-colored), and the chart itself should be switched to the M1 interval.

After that, you should determine a trading signal in the form of a breakdown by the price of moving averages, wait for the appearance of 5 price candles and enter the market in the opposite direction to the trend with a trading rate with an expiration of 1 minute:

Countertrend strategy for making money on binary options at Binomo
Countertrend strategy for making money on binary options at Binomo

Our example shows a trading signal for concluding transactions with a forecast of a decrease in the value of an asset. The signal for trading to increase is determined only on a downtrend and looks like a mirror image.

Strategy #2 — for a sideways market

If there is no pronounced trend in the market, you can use the strategy for trading on the flat, which is based on the Bollinger Bands channel indicator and the leading RSI oscillator. These technical analysis tools are placed on the chart with 1-minute intervals and the following settings: standard Bollinger Bands and RSI 4, 80/20 extremes.

Having received a trading template on the chart, you should wait for:

  • price touches the Bollinger channel frame
  • reversal of the RSI MA at an extreme level

The deal should be entered into only when the market reversal is confirmed by the RSI indicator

Side Market Strategies for Earning Binary Options on Binomo
Side Market Strategies for Earning Binary Options on Binomo

Trade expiration time should be set to 5 minutes. This combination of indicators allows you to enter the market only on an unambiguous trading signal, since these analysis tools insure each other’s indicators.

Strategy #3 — for scalping

Scalping allows you to disperse the amount of the deposit to a very impressive size in the shortest possible time. The main condition is a profitable strategy with accurate signals. As such, we propose a technique based on the MACD and RSI 14 oscillators, in which the extremes are set at 50/50. To increase the dynamics of trading, the chart interval should be switched to a 15-minute timeframe.

After that, it is necessary to wait for the indicator indicators in the form of the intersection and reversal of the MACD movings and the change in the construction of the RSI line relative to the trend line on the scale:

Binomo Scalping Strategies to Earn Money on Binomo
Binomo Scalping Strategies to Earn Money on Binomo

The optimal expiration period for contracts being executed, taking into account the 15-second quotes chart, will be 1-2 minutes. As you can see, with this approach and a suitable market situation, you can receive up to 20 trading signals within an hour and are guaranteed to close 85% of transactions with profit. The main thing is to wait until each of the indicators generates its own indicator of a change in the market situation, and immediately conclude a deal so as not to miss a favorable price level.

Money management

We also remind you that in trading you should definitely follow the rules of money management on binary options, which will protect your trading account from drawdown even in case of unsuccessful transactions. So, with a more weighty capital, it is allowed to increase the amount of the option up to 5% of the deposit volume, and with a modest amount on the trading account, you should trade only the smallest lots. For example, with a small deposit, the trading conditions of the Binomo company are optimal, in which you can make deals in the amount of $1 or more.

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