Trading strategy with oscillator ADX and trend indicator EMA is popular among traders in currency markets. It is suitable even for novice to trade. The logic of the ADX + EMA strategy is to trade when the price rolls back from the main trend.
Parallel channels are a simple but effective approach to trading in different markets, timeframes and platforms, including IQ Option. The strategy involves graphic analysis instruments which available to each user. Trader will need for successful trading with “parallel channels”: a general understanding of the market, knowledge of the trading platform, ability to use trend lines and competent risk management.
Fibonacci levels are a classic instrument of technical analysis that designed to measure price fluctuations based on Fibonacci sequence. Users draw this instrument manually. Traders often use Fibonacci levels as resistance and support lines, as well as for finding profitable points of opening trading positions and completing trades.
According to the creator of the indicator, the analysis of micro-oscillations inside the trends in the long term gives a more accurate forecast than the analysis of the full trends. It is on this concept that the work of the Detrended Price Oscillator, DPO, is built. The indicator is controversial. There is no clear opinion about that in the community of traders. However, DPO shows phenomenal results in combination with a moving average and a simple trading system. The effectiveness of the strategy keeps at the level of 60-80% of profitable trades in stable markets. You will learn how to trade using the combination of DPO and SMA indicators on the IQ Option platform from this article.
A successful trader should be able to determine periods of increased volatility. Experienced experts can accurately identify volatility at a glance at the chart, but most traders use additional tools. One of such tools is the KDJ indicator.
Each trader, sooner or later, experiences periods of failure, when trade is not glued against the most positive forecasts. If you also stepped on the black bar – do not despair. This happens even with real shark trading.
The everyday rule “don’t put eggs in one basket” is relevant not only when it comes to the problems of saving financial resources. The principle of diversification is equally applicable to investments in the stock market, Forex and binary trading.
Effective trading strategies do not always have to be complex and confusing. Often a simple scheme produces more exhaust than a heavyweight, inexplicable for a novice trader templates. Because it’s easier to understand simple instructions and optimize for yourself.
Trading on trends is one of the most effective strategies. In stable markets, this tool is the base of any stock trader, but since the specifics of binary options require additional analysis, the forecast must be checked using indicators before the transaction is executed. Here comes the Parabolic SAR.
Scalping is an effective strategy with a 60-second “got trade” period. It works within a trend reversal model, traded only on selected low or high shoulders. Identifying oversold or overbought peaks, followed by the movements on the charts changing is the essence of the method. There is one of the most suitable strategies for novice traders because of its simplicity, minimum risk and high accuracy.