This One Trading Strategy Works Everyday (Simple, Easy & Proven)

Summary

This video reveals a straightforward trading strategy using Pocket Option, designed to help traders become consistently profitable. The instructor explains a custom setup with three moving averages, Bollinger Bands, and a stochastic oscillator, detailing exact settings for short-term trades. Viewers learn how to identify trends, retests, momentum shifts, and reversals to optimize entry points for buying and selling. Practical examples are provided, highlighting when to act based on SMA crossovers, stochastic splits, and Bollinger Band signals. The video emphasizes practicing on a demo account, observing charts patiently, and joining a Telegram group for community support and live examples, making it accessible for traders at any level.

Takeaways

• 😀 Keep it simple: This trading strategy is designed to be easy for anyone to understand and implement right away.
• 😀 Focus on the right tools: The strategy relies on a specific set of indicators, including Bollinger Bands, Moving Averages, and the Stochastic Oscillator.
• 😀 Use the Pocket Option platform: The presenter recommends Pocket Option for its fast payouts and ease of use, and encourages new users to join their team via a referral link.
• 😀 Set up your indicators properly: Key settings for the indicators include adjusting Bollinger Bands to a 20 period with a 2 deviation, using three Moving Averages (2, 5, and 100 periods), and modifying the Stochastic Oscillator to a 5-period with 85/15 levels.
• 😀 Always trade with the trend: Identify whether the market is trending upward or downward and trade in the direction of the trend. Don't fight the trend.
• 😀 Identify buying and selling signals: When the market is above the 100-period moving average, consider buying. When it’s below, consider selling.
• 😀 Watch for overbought or oversold conditions: Use the Stochastic Oscillator to identify when an asset is overbought (above 85) or oversold (below 15), which signals potential reversals.
• 😀 Confirm trends with multiple indicators: A combination of moving average crossovers and stochastic splits can confirm the momentum direction, either upwards or downwards.
• 😀 Practice on a demo account first: Start by testing the strategy with a demo account to gain confidence before trading with real money.
• 😀 Join the community: The presenter invites viewers to join a Telegram group where they can interact with others using the strategy and share experiences.

Q & A

What trading platform does the video recommend using?

The video recommends using the Pocket Option binary options trading platform, highlighting its fast payouts and ease of use.

What is the main purpose of the trading strategy presented in the video?

The main purpose is to help traders become profitable by using a simple set of indicators and a clear trading setup.

Which indicators are used in this strategy?

The strategy uses Bollinger Bands, three Simple Moving Averages (SMA), and the Stochastic Oscillator.

How are the Bollinger Bands configured in this setup?

The Bollinger Bands are set to a period of 20, deviation of 2, the middle line is removed, the color is changed to purple, and opacity is lowered for visibility.

What are the periods and colors for the three moving averages?

The first MA is 2-period (white, 2-pixel), the second MA is 5-period (blue, 2-pixel), and the third MA is 100-period (red, 2-pixel).

How is the Stochastic Oscillator adjusted for this strategy?

The K period is changed to 5, and the overbought/oversold levels are set to 85 and 15, respectively, to make it more responsive for 30-second to 1-minute trades.

What is the basic principle for trading with this strategy?

The strategy emphasizes trading with the trend: buy when price is above the 100-period MA and sell when below it.

How does the strategy use the Stochastic Oscillator and moving averages to identify momentum?

Momentum is identified when the Stochastic Oscillator lines split (blue vs orange) and when the short-term moving averages (2 and 5) cross, indicating a shift in price direction.

What role do Bollinger Bands play in determining reversals?

Bollinger Bands help identify overbought or oversold conditions. Candles closing outside the bands suggest a potential reversal opportunity.

Why is it recommended to practice this strategy on a demo account first?

Practicing on a demo account allows traders to understand the setup, observe indicators in action, and gain confidence without risking real money.

How should traders interpret consolidation near the 100-period MA?

Consolidation near the 100 MA should be observed for potential bounces. If candles stay above or below the MA and indicators align, it signals continuation in the trend.

What is a key signal for entering a trade according to the video?

A key signal is a retest of the 100-period MA, aligned with Stochastic Oscillator levels and moving average crossovers, confirming the trend's direction.

What is the purpose of joining the Telegram group mentioned in the video?

The Telegram group allows traders to interact with others, see real examples of the strategy in use, and get additional support or insights.