Here is an example of a classical trading day with binary options, this time documented in real time here on the website on the 25th of October 2013, so that you can have an idea of how I act.
I’m often asked questions about the better hours to trade with binary options. Unfortunately I cannot follow markets all day long, so I don’t know if it’s better to invest in a particular hour rather than in another, but this doesn’t mean that I follow markets only 5 minutes a day. On average I analyse markets for at least 4 hours a day, whether I’m investing or not.
Let’s start! In the morning of Thursday 25th of October, at about 8.00 a.m. I start watching the markets and see who is acting well, that is in a way that can satisfy my strategies. I don’t find any particular ideal behaviours to invest with the strategy at 120 seconds with Bollinger Bands, that is the one I use more often. I introduce some support and resistance levels, but I see a lot of discontinuity, we are far from resistances and psychological supports, so it seems there is little to do. But suddenly I realize that the couple Forex EUR/USD is “triangulating” (excuse me for the term) and so I begin following it, ready to act with the “strategy of the triangle’s breaking” that you can find among the last published strategies.
I open my position and …. You can see the rest in the following image.
A good 85% profit gained in 20 minutes, practically 20 candlesticks by 1 minutes. Where you see the blue arrow I entered downward and after a reset of the support, become resistance after about 9 minutes, I closed definitely more lower “in the money” because, as you know, with this strategy I invest each 20 minutes (or a little more).
Why did I say 20 minutes (or a little more)? Because currently there aren’t binary options expiring exactly 20 minutes after my investment, but there are binary options expiring exactly every 5 minutes, at least on 24option, so I choose the ones expiring immediately after 20 minutes.
Example n. 1: if I open my investment at 08.30 a.m. I consider the expiration of 08.50 a.m., that is exactly 20 minutes.
Example n. 2: if I open my investment at 08.33 a.m. I consider the expiration of 08.55 a.m., that is 22 minutes and not the one of the 08.50 a.m., that is 17 minutes.
So I continue following the markets and I realize that the couple Forex GBP/USD is “triangulating” in a light but steady way, ideal for this strategy. Now, considering that this triangle is proceeding slowly with a little inclined hypotenuse, I decide that I can share in real time with the users of my blog this “potential” investment and so I post the following comment in the page of the strategy of the triangle’s breaking:
25th of October – 11.27 a.m. – I’m following GBP/USD that is forming a good triangle. Let’s see if it will be broken
I told “potential” because I wasn’t sure I would have invested. For example, if after this screen GBP/USD would have jumped high, breaking the hypotenuse instead of the horizontal support, obviously I wouldn’t have intervened. Instead, after some minutes, the support has been broken, so I posted the following message:
Pay attention, 11.35 a.m. – the support has been broken.
I immediately opened the investment, or in point of fact, first of all I opened the investment and then I posted the comment about the breaking, otherwise I would have risked losing the occasion I was waiting for .
… 20 minutes after I had the pleasure of posting the following message:
In the morning of the 25th of October 2013 I had another 85% profit.