As with traditional online Trading, also with Binary Options you can implement different types of Trading Strategies.
It’s possible to invest with scalping strategies and positioning strategies. The first consists of a series of purchases and sales in a relatively short time. For example, you can take advantage of all the hourly to carry out Trading and then get about 20-25 transactions a day. Placement strategies instead provide 2-3 trades per day, possibly with long maturities (for example, at the end of the day).
In the first case it is possible to exploit the signals of broken supports and weak resistances on charts with 15-minute time frame, if the price is above or below these levels and the expiration time of each option on each currency. Looking at the prices we realize that deadlines are numerous at a distance of 15-30 minutes between them and this allows to perform a lot of operations.
The trading strategies of positioning are used for those who do not want to undergo excessive stress or simply for those who can not sit all day in front of the PC. Usually, after having carefully analyzed the trend of a currency, you buy a binary option with maturity at 8 or 10pm. During the day you can supplement another 2-3 positions to recover any parsing errors. This type of options trading does not require an ongoing commitment but only 10-15 minutes a few times a day to control the positions. The all you can also do so via smartphone or iPad thanks to web-based platforms easily accessible.
A recommended strategy involves the purchase of options ABOVE when prices are important substrates (eg. graphics on a daily candles ) and a purchase of options BELOW for a double reward in case of breakage of the substrate. The same strategy can be replicated on the opposite strengths.
There are other strategies used as data signals from the crossing of moving averages or by bollinger bands, or with crossings between prices, averages and RSI indicator. Of course there is a better strategy but it all depends on the trader’s ability to analyze.