In the past week, the world was watching the debate between Hilary Vs. Trump, the market was ready for the trigger to sell in case Trump would have sound as a winner, eventually, it was vice versa, so Hilary dominated almost the entire debate, so..the past week showed us pretty much the same picture as week before and for significant move, it waits for two main events to occur:
- Fed interest rate decision on the 2nd of Nov 2016
- United States presidential election date on Nov. 8
As a binary option trader, until a trigger will hit the market, you can enjoy a neutral trend by using boundary option type, also, due to a volatile moves, use Bolinger bands strategy.
We get lots of replies about how to start trading the binary options, so first, you need to choose a broker, the broker provides you the platform which you can trade on and manage your account, we did the research for you and listed the most recommended binary option brokers in one place which you can find here, there is also a new broker called PrestigeOption we added to the list which we found to be reliable, Prestigeoption has Cysec Licenses, ESMA and MiFID, provides good rates and an easy to use platform
The second thing you need is to learn about how to use the plaform and learn about Technical analysis and Fundemental analysis.
Here you can find some helpful links explaning in a simple way how to become a successful binary option trader:
- Recommended brokers
- How to make money from binary options
- How to trade binary options
- How to identify/mark a trend
- Technical analysis Vs. Fundemental
Before the analysis for next week, i’d like to show you some great opportunities from the past week, it’s my most favorite currency i like to trade on that gave me lots of winning trades – the GBPUSD.
By using a bollinger band strategy, I successfully beating the system and gain some successful trades:
My trades are circled with yellow ellipse, this time i’ll explain step-by-step the strategy:
- Open one hour time frame of GBPUSD
- Add Bollinger bands 2.0 and 3.0 with default settings
- Moving average 20
Trigger for trade:
- Closing price of the candle is outside bollinger 2.0 and close to bollinger 3.0 or cross it
- It is recommended that most of the candle will be outside of bollinger 2.0
- The more the distance from closing price and moving average 20 is higher the better
The key to success is lots of patient, if you are not confidence enough with the setup, don’t hit the trade.
Also, it is recommended to get the same trigger from another strategy, for example if on naked chart trend there is a resistance line exactly where it is triggered with bollinger strategy – the chances to win the option is very high.
Now let’s have a look what’s the upcoming week holds:
From last analysis we mark the oil rectangle template, surprisingly it broke out the resistance line, it should at least reach the nearest resistance line 49.39
The current situation is kind of keeping the currency in a hold position, if there will not be any special surprises from the market the currency price will move between to following 1.111 to 1.129, it’s great for boundary option type
EURUSD daily chart
Up next is the S&P, i chose to show you the monthly chart, with a two doji (almost) candle patern, it’s a rare thing, signal for a huge move is a head of us, personnaly, i’m not so optimistic about the market but for now let’s just keep in mind there supposed to be a significant move in the next weeks:
S&P Monthly chart
Last, it’s time to follow Gold, pay attention to the support and resistance lines, same as EURUSD, until it breaks out the price is suppose to move between the marked range
Have a great and successful week,