5×5 Simple System for Binary Options Trading

The 5×5 system is a simple forex AND binary options strategy, which makes use of only two indicators.  This reduces the number of charts and the rules are simpler to keep track of. Once you are comfortable with the system, you could even look at adding in another rule or indicator without causing a lot of confusion for yourself. The 5×5 system uses an RSI and an SMA indicators, both of these set to run on period five.  This strategy can be altered a little to work with binary trading as well.

How does it work?

Create a chart using the two indicators 5 RSI and 5 SMA (smoothed moving average) and set a 50 horizontal line on the RSA only. Use it for monitoring a currency on a daily chart. The candle for the day must cross below or above the 5 SMA. Once the candle closes, wait for the next candle (on a daily chart this will be the next day) and wait for the movement to be 10 pips or more above or below the previous day’s high/low.  When looking at calls, you would only enter if the RSI is above the 50 line or under the 50 line for put options.

Simple 5×5 trading strategy

• For a call option: Watch the daily candle for a cross above the indicator 5 SMA and then close. On the following day, the candle needs to be at least 10 pips or more above the high of the previous day and the RSI needs to be above 50, then you can enter.
• For put option: Watch the daily candle for a cross below the indicator 5 SMA and then close. On the following day, the candle needs to be at least 10 pips or more below the low of the previous day and RSI needs to be below the 50, then you can enter.

To avoid losing trades where possible, it is always better to trade in the same direction of the trend.  If you use resistance and support lines, you can also get an idea if the price level will hold or if there may be other factors at work that can affect it. You can also cut out on losing trades by ignoring the signals that do not follow the current trend.

Pros and Cons

One of the detriments of this system is the length of time to wait before being able to trade, up to 2 days or more to check if the trend is stable before trading. There is also no guarantee that even after the wait you are not entering just before a retracement.  This strategy does ignore the trends to a degree, but you should ensure that you only trade with the trends and not against them to avoid losses.
This strategy is easy to understand and use by anyone and it is easy to follow and remember the rules. Trading with the trend when using this strategy means you can get some good signals in the trend direction due to the SMA which is a trend identifying indicator. The RSI helps you confirm the information you need to trade. This 5×5 strategy is a good start for a trading template and adding in an indicator of your choice will help you trade binary options with this system.  It is important when trading to try and keep things as simple and uncomplicated as possible.
The 5 RSI and 5 SMA that you work with in this strategy are good enough to start with. If you add in resistance and support lines you can improve the system and help you find your way to more profitable trades and fewer losses. Or look at adding in a Stochastic Oscillator to help find the resistance and support areas easier.  Having to wait for days to obtain a signal with this strategy may be off-putting to some traders, but there are ways to use this strategy for lower expires. When trading on less than 4 hour expires, waiting for moves of 10 pips or more can be a problem before entering so you might not want to wait that long. Wait on a candle to close in the direction you are trading in, check the S/R lines and check the RSA is still below 50 for 4 puts and candles are still below the 5 SMA. Check the S/R lines for confirmation before trading.

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Triple X – Binary trading made simple

Triple X strategy combines three of the most popular indicators (Bollinger Bands, Stochastic Oscillator and ADX). It quickly evaluates how good an idea it is to enter a trade.

How to setup the chart

Timeframe: M15 Template: TripleX-strategy (eDisc download, ulozto download)

How does this strategy work

As you already know, this strategy uses 3 strong and proven indicators. Using Bollinger bands we will see when the price diverges from average. If it gets above or under the outer Bollinger lines, we can follow other indicators. Stochastic indicator shows us if price is in an overbought or in anoversold area. That helps us decide the next price movements. And most importantly: ADX shows us how strong the trend is. And how to connect these indicators into one strong strategy for binary trade? Keep on reading…

When to enter the trade

Buying a CALL option:

• The previous candle is falling (bearish) and is under the lower Bollinger band (ideally, there is an arrow below)
• The current candle rises back above this line
• Stochastic indicator is at around around 20 (and rising)
• ADX indicator rises above the level 25
  • WE BUY A CALL OPTION WITH 30 OR 60 MINUTE EXPIRATION TIME

Buying a PUT option:

• The revious candle is rising (bullish) and is above the upper Bollinger band (ideally, it has an arrow above)
• The current candle falls back below this curve
• Stochastic indicates around 80 (it’s better if it’s falling)
• ADX indicator rises above 25 again
  • WE BUY A PUT OPTION WITH 30 OR 60 MINUTE EXPIRATION TIME

What does this strategy look like

Results with this strategy

As you can see on the pictures, results are almost perfect. Therefore, I would say this is the best indicator strategy on the net! Try it yourself

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BERSI Binary Strategy , best from 2014

BERSI strategy made by Stephan P. was probably the most breakthrough strategy for binary options trading in the Czech republic in 2014. His strategy uses many indicators. While some of them may be obsolete, it is a good idea to have them enabled. It gives us an easy overview on the binary option market. The strategy used to be proprietary and used to cost $50. Over one year passed since then and it is not longer being sold. After getting a permission from author (Binary Options – Stephan) we think it is fair to share it with you.

How to setup the chart

Timeframe: M5 or M15 Template: BERSI (Download the strategy from: ulozto.net or edisk or even from tinyupload.com)

How does this strategy work?

BERSI uses various indicators (i.e. Initial Balance, Sellzone, RSI oscillator and Bollinger bands). Ideal position of all indicators and some nice formation of candles such as pinbar or three line strike should guarantee us a successful trade. For a better understanding you can watch videos from strategy author himself. Only in czech language unfortunately.

When to enter a trade

Buying a CALL option:

• The price follows IB Daily and IB Weekly (stronger)
• RSI indicator crosses upwards middle and sellzone (red line) points upwards (uptrend)
• ADX indicator above 50

Buying a PUT option:

• Price follows IB Daily and IB Weekly (stronger)
• RSI indicator crosses downwards middle and sellzone (red line) points downwards (bear trend)
• ADX indicator above 50

This is what the strategy looks like

There are possible trade entry moments shown on the chart

Results of trading with this strategy

You can see the results on the video.

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Golden Eye – Trading strategy with 80 % success rate

Golden Eye is a strategy based on the ADX indicator (what is an ADX indicator?) which is used for confirming rebounds. This strategy works well with with M15 timeframe and the trades which are opened for 60 minutes (in direction of longterm trend) or for 30 minutes (against the trend).0 minut (proti směru).

How to setup the chart

Timeframe: M15
Template: Golden Eye Strategy (Download this strategy, Download 2)

How does this strategy work

As soon as the arrow appears, we check the ADX indicator. If the current trend is strong and rebound is probable (main ADX is at around 50 or more), we will open the trade.

When to enter the trade

Buying a CALL option:

• Immediately after a green arrow appears
• ADX indicator has to be at least on level 25 (the more the better)

Buying a PUT option:

• Immediately after red arrow appears
• ADX indicator has to be at least on level 25 (the more the better)

Strategy screenshots

My results with this strategy

Results after the first week looked very promising with success rate of 83 % !!! Unfortunately, on the second week the results have gotten worse, but still the strategy keeps at 80% success rate. Highly recommended!

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Binary Options Strategy PDF

                                          

Binary options trading is relatively a new phenomenon which is picking up at a very fast pace. The concept of this type of trading is not very complicated. You just need to study the trend and predict if the value of an asset is going upwards or downwards and trade accordingly. Your winning and losing will depend upon these predictions.

If they go your way, you may win a lot of money, but if your predictions turn the other way round, it means you lose the money of the trade. The trading world is something which cannot be exactly predicted because the trends and values here change instantly. This makes it important for the traders to understand the nuances of binary options trading to make winning decisions in future. There are many binary options strategy PDF available on the internet to help you understand the techniques of trading.

                                        >> Download Free Ebook Here <<

Where You can Find Binary Options Strategy on PDF?

Amongst the various eBooks available online, one of the most sought after one is “The Building Blocks For Succeeding With Binary Options Trading”. The book lays emphasis on learning the trading tips so that the traders make fewer mistakes and don’t lose money. This binary options strategy PDF also talks about the tools for trading and also the techniques of market analysis and how to use these analyses while trading. One learns the various trading strategies and picking up the right one for them.

This book tells you the importance of the trading platforms and how to choose one for best profit. This binary options strategy PDF offers step by step guidance on making trades. The eBook offers all time free professional guidance to its registered users.

You may learn the tricks of binary options trading from their experts and read them in the eBook. This particular binary options strategy PDF is very simple to understand and covers everything that a trader is required to know. These tips and strategies are helpful in getting higher returns. With this help available, you can really trade from virtually anywhere through the internet. If you are a beginner and want to make your living with binary options trading, then this is the right book and platform for you.

The next in this regard which covers nearly everything for a new as well as an experienced trader is “The Boss Guide to Binary Options Trading”. This free binary options strategy PDF contains everything about binary options trading. If you have some basic idea of binary trading and would want to know some specific points, then you can directly visit their content column and click on the desired topic. It talks about subjects like – how do the binary options trading work, rules for successful trading and so on.

These guides and binary options strategy PDF can be downloaded in your laptop and phone easily and can use them as and when required. Going through a good binary options strategy PDF before making very big bids is always helpful. Since there is always a risk factor involved in this type of trading, you are required to make your move very carefully and strategically.

The best way to succeed in this field is by learning the tips and tricks of trading and the binary options strategy PDF aim to teach you all this. The greatest benefit of this learning is that will help you make the right moves and maximize your profit, all in a short span of time. So, find a suitable eBook and go through it thoroughly for being successful in binary options trading.

Bare in mind that there are a lot of binary options strategy PDF ebooks available online now. Based on our judgement most of them are quite good. The important point here is that you don’t have to pay a lot of money for such a PDF, usually the free versions provided are quite useful and will do the job. Actually almost every binary option broker has their strategy PDF available for their clients – what we have noticed is that this is branded version of some free ebooks, this is another proof free binary option strategy PDFs are of very good quality.

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15-30 Minute Strategy, Simple and Profitable

This strategy is useful for beginners as well as more experienced traders. Beginners can run the strategy automatically until they understand it better and then apply some of the more complex principles.

Start off by adding:

• Two exponential moving averages: on the periods 50 and 200.  You can also add on 21 but not essential at this point.


• Add the Stochastic Oscillator (5,3,3) with levels of 80 and 20.


• Set the RSI value at 4 and add to levels 25 and 75.


• After this you can add the indicator FiboPiv. This indicator draws your support and resistance lines on the chart with a high degree of accuracy.

Use your moving averages to help identify a trend.

For beginners it is wise not to trade too near the lines until they understand price action. Amateurs would also need to understand the pivot-line to trade near S/R lines. Price is often undecided when it is around the pivot line and identifying a trend becomes difficult.  It takes time to understand how price reactions change near major S/R lines but once you do they become advantageous in your trading.

How does it work?

Use your moving averages to help identify a trend. Go to the 15 minute chart and check the candlesticks. Are they above the 200 EMA and 50 EMA or possibly below both the 200 EMA and 50 EMA? To ensure the trend is true and not about to change direction suddenly, make sure you know what the previous highs and lows were. The stochastic oscillator can help you identify these by showing the oversold and overbought levels. If the price is stepping down and shows under both the 50 and 200 EMA, look for lower highs and lower lows. If the price is buys stepping up it would be creating higher lows and higher highs above the 50 and 200 EMA. The point is to find these little steps, which are small retracements within the current trend.

1. To open a call option, candlesticks need to be above the 50 and 200 EMA and show as oversold on the RSI and Stochastic, enter at higher lows.


2. To open a put option, candlesticks need to be under the 50 and 200 EMA and show as overbought on the RSI and Stochastic, enter at lower highs.

Once you have confirmed the trend action, as a newcomer, you will be trading mechanically. You would see the candles form the lower high and see that the RSI and Stochastic are close to overbought levels. Let the bullish 15 minute candle complete and ensure the retracement is over. Double check that the bullish move is done by looking at the 5 minute chart and see if the next candle is bearish.



Once you are more experienced and understand candlesticks and price action and are able to draw resistance and support lines and have a good idea of the volatility of the market you can change your approach using this strategy. You would not wait for the bearish candle to form but would look at the 1 minute chart and draw your S/R lines. Makes sure the M5 and M15 are still overbought though. You would use price action to determine when to trade and would not have to wait for candles to complete at 5 minutes in the direction of trade you want to trade in. Price did not continue an upward climb shows the retracement had ended so you would have a better entry. Use the same option when working on call options, just work on higher lows and higher highs.

Why to use this strategy or not

This strategy is developed to work in most market conditions but will not work in every market condition. It is best for you to wait until all the current market conditions are showing the results you need before trading. This can sometimes take days but it is best to wait to avoid bad trades. It can be a little difficult for beginners to find the better entries as well. This strategy does give enough confirmations to make you feel more secure in trades. This strategy is fairly accurate and it helps you learn price action skills which are endlessly beneficial for trading.

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