On Today’s analysis we will show how to trade right and to keep it simple, what traps you should avoid and when you shouldn’t hesitate.
Also, let’s review analyze some of this week most interesting opportunities while keep it simple.
There are tons of reviews out there so it’s difficult to embrace one that you can trust on, what I learned through the years as a binary option trader is whenever I see a super complex review with lost of nice and complex indicators I turn the page, evantualy I need a practical strategy which I can use, so I usually work with naked chart without any indicators that the base chart, then I stretch support and resistance lines and act accordingly – it’s makes your trading decisions more clear and simple, as a result you will increase your chances to gain money and become a binary option successful trader
Naked chart strategy rules:
a. Open a naked candle stick chart with monthly/weekly timeframe
b. Mark any support/resistance lines – here is how mark it right
c. Zoom in to smaller time frame such as daily or 4hours chart
d. Repeat c for even smaller timeframe
As an example, let’s review the USDJPY chard and analyze for the upcoming week
USDJPY naked weekly chart
I’ve marked this line before it has its breakout, now for the next setup I need to zoom in let’s review and analyze the 4hour chart
I marked the resistance line and notice we had a small breakout, zoom in again
It looks like there was a breakout from the resistance line, now let’s set targets and some action plan
Assuming that the direction is ‘long’ on the USDJPY, I’m looking for setups to ‘Buy’ the option.
I marked the first and second targets, the best way to use this kind of targets is with one touch option or ladder option, keep in mind that the market is full with surprises so in any case you should not risk more than you willing to lose.
First target: 105.00
Second target: 105.6
USDJPY 1hour chart:
As a thumb rule the more you zoom out to a greater timeframe the more you increase your chances to win, although, you can trade by this strategy on any time frame
As a generally overview, the market the market is still moving forward and yet there are signs of weakness, one of the main indexes that showing those signs is the S&P, adding a momentum indicator such as MACD shows a negative diversion.
S&P monthly chart
Even when zooming in to daily chart, there is a negative diversion, meaning while the market is in neutral the MACD indicator shows decline trend.
S&P daily chart
All-in-all, that’s a warning message from the market that is aiming to switch directions from uptrend or neutral to a bearish trend.
Now, for the best opportunity on the market, the Silver, it experience a breakout from a resistance line and a retrieve back to the same line, it’s a rare opportunity to join the commodity for a long term option.
Silver Daily chart
First target: 21.00
Second target: 22.9
Silver Daily chart
Up next for this week will be GBPUSD, here is a great example for a breakout with a huge risk, although there is a clear breakout on four hour chart, there is a close resistance line that ruin the party, for now I would rather to stay out and seek for another opportunity
GBPUSD 4hour chart
The picture is not so clear also for the EURUSD, in this case I prefer to just sit and wait, there will be always opportunities in the market, I know that most of you are very much like to trade on GBP or EUR so I suggest to seek options and setups for 5min, 15min or 1hour charts with intraday strategies such as this Bollinger strategy.
Last one is the gold which provides us a great opportunity to join the bullish trend, fundamental wise, it makes sense that when the market is at high risk traders would like to get more gold just to be on the safe side so that’s another reason for the rising Gold
Gold weekly chart