Binary Options Trading Strategies

1-2-3 Pattern Retracement Binary Options Trading Strategy

December 3, 2016

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1-2-3 Pattern Retracement Binary Options Trading Strategy

This binary options strategy is based on the 1-2-3 pattern formation and three moving averages. The moving average determines the direction of the trend. This system works on forex, commodities, stocks, and futures market. Various timeframes are applicable to this method and if you’re using a 15- minute timeframe, the expiry time must be 60 minutes. The expiry time of a 30-minute timeframe is 120 minutes. On a 60-minute timeframe, the expiry time would be 240 minutes, timeframe 240-minutes has an expiry time of 960-minute and a daily timeframe has an expiry of 4 days.

MT4 Indicators:

1-2-3- pattern indicator;
5 Exponential moving average;
10 Exponential moving average;
50 Exponential moving average.

Conditions For Call Entry:

5 EMA>10 EMA>50 EMA.
CALL when indicator 123 pattern forms on the chart.
Enter CALL position on the retracement at the level of 5 EMA.

Conditions For Put Entry:

5 EMA<10 EMA<50 EMA.
PUT when the indicator 123 pattern draws on your chart.
Enter PUT position on the retracement at the level of 5 EMA.

The Entry position on the retracement with a 1-2-3 model is a great idea because it is an optimization that makes pips gain are those that make the difference. This is a great advantage on the profitability.