Characteristics of the strategy
Charts period: 30 second - M1
Trading period: all trading sessions
How to trade
Place indicators in your trading system:
Exponential Moving Average (EMA):
• 1 EMA — Period 14.
• 2 EMA — Period 9.
Stochastic:
• Period %K = 13.
• Period %D = 3.
• Smoothing = 3.
CALL (Rise)-option: Stochastic is above level 20. It is directed upwards and the current candle closes above the Moving Averages.
PUT(Fall)-option: Opposite conditions, Stochastic is below level 80, the candle is closed below the middle.
On the M1 chart period, if the first candle is missed, you can open the trade on the second one. The best moment to open the trade will be the first candle that closes above or below the Moving Averages and properly moves Stochastic. The Stochastic must necessarily exit oversold (20) and overbought (80) areas. The expiration time should be not less than 3-5 candles working timeframe. However, it is better to wait for the next binary signals.
This plan of action stably gives a profit for currency pairs, but it is better to select currencies according to the current exchanging session. The Western currencies for example Euro or Dollar are practically to not get to the Asian session, so short-term options only will bring you the losses. With the Asian session, you can trade free the currencies within the Asia region, for example, AUD or JPY.
Beginners need to open the trades once crossing the Moving Averages! You normally need to catch the entire trend obtaining a couple of deals consecutively, but it is better to watch for binary signals inside the intersection. Never open the trade when the indicators show an effective opposite signal.
Pay special attention to the actual financial news and statistics! We don’t recommend exchanging during these periods, because the information could be unpredictable and technical analysis may be inaccurate. If you operate on the one-minute timeframe, it is very simple to open an option knowing good news with confirmation of thee the adaptive strategy.
The Stochastic oscillator was popularized by George Lane, it's very like the RSI line. This indicator demonstrates the divergence within the closing cost of the present period in compliance while using costs of previous periods within the necessary timeframe.
For investors that are looking for a strategy which convenient and intelligible for novice traders, it is better to apply this one. This scalping strategy shows a reliable profit with a lot of assets. Using this strategy, you'll need two indicators — Stochastic and EMA. You'll find these popular indicators in lots of exchanging applications and platforms. The Stochastic oscillator can offer the first signal to alter very well, along with the Moving Averages will see the opening within the option.