100% Never Lose | Best Binary Options Trading Strategy
Summary
TLDRIn this video, the creator demonstrates a method for effective trading using simple indicators like Moving Average, Parabolic SAR, and Rate of Change, all on a one-minute Heiken Ashi candle chart. The method involves adjusting indicator settings, analyzing signals, and combining them to make informed trading decisions. The creator explains the importance of the Parabolic SAR's yellow signs, the role of the moving average, and the optimal timing for trades. The video also emphasizes the educational nature of the content, with no investment advice provided, encouraging viewers to explore the method and subscribe for more updates.
Takeaways
- π The tutorial focuses on using simple signals and indicators for trading, particularly with one-minute Heiken Ashi candles.
- π The first indicator covered is the Moving Average, which is set to a high period of 165 and uses a green color.
- π The second indicator is the Parabolic SAR, with a yellow color and a thickened line for better visibility.
- π A third indicator, Rate of Change (ROC), is rarely used in this method but is set to a period of 21 for this example.
- π Heiken Ashi candles are used in this strategy to track price trends on a one-minute chart.
- π Traders should prioritize currency pairs with the best percentage for higher chances of success.
- π The Parabolic SAR provides strong signals when it shows 3 to 4 signs indicating a potential upward trend.
- π Lower numbers of signs from the Parabolic SAR are considered stronger signals, with a maximum of four signs being ideal.
- π The Rate of Change (ROC) must move upward from an extreme point to confirm a strong signal, in conjunction with other indicators.
- π The Moving Average indicator helps confirm long-term trends, particularly when it aligns with the direction of Heiken Ashi candles.
- π The video is educational, not investment advice, and the trader must use their own discretion when applying these strategies.
Q & A
What is the main method used in this video for trading?
-The main method discussed in the video involves using a combination of Heiken Ashi candles, moving average indicators, and the parabolic SAR (Stop and Reverse) to predict market trends. The trader typically uses a one-minute time frame to analyze and enter trades.
Why does the speaker use Heiken Ashi candles in their strategy?
-The speaker uses Heiken Ashi candles because they provide a clearer picture of market trends by smoothing out price action. This helps in identifying uptrends and downtrends more easily, which is important for making quick, short-term trading decisions.
What period is set for the moving average indicator, and why?
-The moving average indicator is set to a very high period of 165. This longer period helps to filter out market noise and gives a clearer indication of the overall trend direction over time.
How does the parabolic SAR indicator signal trend direction?
-The parabolic SAR signals a trend direction through a series of dots placed above or below the price candles. When the dots are below the price, it signals an upward trend, and when they are above, it signals a downward trend. The speaker looks for three or four consecutive dots in the same direction to confirm a strong trend.
What is the role of the Rate of Change (ROC) indicator in this strategy?
-The Rate of Change (ROC) indicator is used to identify momentum shifts. The speaker looks for the blue ROC line to move from an extreme point below to an upward direction, indicating that the market is gaining momentum in the desired direction, either for buying or selling.
Why is it important to check multiple indicators before opening a trade?
-It is important to check multiple indicators to confirm the strength of a trade signal. Relying on just one indicator may lead to false signals, so the combination of moving average, parabolic SAR, and ROC increases the accuracy of trade decisions.
How does the speaker decide when to open a trade?
-The speaker opens a trade when the indicators give a strong, consistent signal. For example, when the parabolic SAR shows three consecutive dots in the same direction, the moving average is aligned with the trend, and the ROC is moving upward, these factors together suggest a good entry point.
What does the speaker mean by a 'weak signal' in the context of parabolic SAR?
-A weak signal in the context of the parabolic SAR refers to situations where there are more than four consecutive dots in the same direction. This suggests that the trend may not be strong or consistent enough for a reliable trade.
Why does the speaker prefer to use the one-minute time frame for trading?
-The speaker prefers the one-minute time frame because it allows for fast trading, capturing quick, short-term price movements. This time frame is especially useful for day trading, where the goal is to make profits on small, frequent market fluctuations.
What does the speaker caution about using the strategy presented in the video?
-The speaker cautions that the video is meant for educational purposes only and is not financial advice. Viewers should make their own decisions about how they use their finances and should be aware of the risks involved in trading.
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