Binary trading strategy BELT
The binary option trading algorithm requires the trader to have accurate vector forecasts during the registration of contracts on the financial market. The traders use a variety of trading systems aimed at improving their overall trading statistics and creating a more profitable balance. While a strategy with a 65% rate of successful transactions is generally considered effective, we would like to offer you a new binary trading strategy Belt. Belt enables higher efficiency of 85% due to the effective combination of trend indicators, and ultimately leads to a dynamic increase in the trader’s capital.
Belt trading system:
Setting the working template
Construction of a template of this approach to the analysis of financial market quotes and the generation of vector forecasts for the binary contracts is based on the use of multi-period trend indicators. To build a working template, the Belt trading system uses the following automated tools:
• Standard RSI
• RSI 35
• RSI 55 (with a level of determination of trend reversal at 50)
On the quotation chart, the trading template of the Belt binary trading strategy is displayed as following:
The format of building a trading system allows you to analyze and determine the trends in the quotations movement in three different time perspectives. It also indicates the reversal points in the asset fluctuations. These indicators allow to create highly accurate vector forecasts for options.
Let us now focus on the effective application of the signals generated under this strategy. There are very few terminals with indicator services and optimum trading conditions available on the market, and trading on the binary market should be carried out only with a highly specialized trading platform which can offer the following conditions and services:
• Automatic analysis tools
• High-speed trading
• Trading assets of high volatility
• Highly accurate and timely updated quotations
• Closure of trading positions – from 60 seconds to 10 minutes
• Minimum possible requirements for trading
The Belt trading system was developed and tested on the Binomo broker platform. The platform offers the top level professional services and conditions suitable for the correct execution of the binary trading strategy. That is why we recommended to enter the binary market by working with this specialized professional platform that offers the following conditions and functionality:
• A set of indicators that are integrated into a professional trading terminal
• Speed of trading: 1.7 ms
• High-yielding assets with good volatility
• Quoted prices of assets with high level of accuracy
• Expiration of contracts: from 1 minute to 24 hours
• Trading conditions: 10 USD deposit, min cost of transaction – 1 USD
Binary trading strategy Belt:
Trading signals : UP
The following signals of the automatic indicators generate a vector forecast of the asset’s movement UP:
• Lines of the standard RSI and RSI 35 indicators build a stable upward trend.
• Trendline of the RSI 55 indicator crosses the level 50 upwards.
Trading signals : DOWN
The following signals of the automatic indicators generate a vector forecast of the asset’s movement DOWN:
• Lines of the standard RSI and RSI 35 indicators build a stable downward trend.
• Trend line of the RSI 55 indicator crosses the level 50 downwards.
The two above formats of trading signals show a high level of performance when used in trading of options with an expiration period between 1 and 5 minutes — this time range proved to be sufficient to obtain a positive result in trading.
Application of the strategy in the binary options market involves trading risks. To minimize those, traders should use the traditional rules of money management:
- When trading in the binary market, it is most reasonable to register contracts with a cost capped at 5% of the amount of the operational funds.
- When applying the trading strategy for trading with a minimum deposit, it is best to register contracts at initial cost.
NOTE: This article/material is not an investment advice.