Understanding Support and Resistance

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If you trading binary options secrets using support and resistance been trading, you will know that the market is always moving in the form of waves. However most traders do not know how the waves is actually formed. So I will like to use this post to illustrate to you guys the formation of the waves as it will be very useful for your trading.

The waves are the results of repulsion against levels of support and resistance. So What are those Support and Resistance. There are various types of support and resistance and I am going to highlight them one by one in this post. However I will write a detail blog post on each type of support and resistance binary option indicator in my other post as it will be too lengthy.

Personally I find these 5 types of support and resistance levels the most effective. Whenever the price hits these levels for the first time, it will be repelled by it. Whenever the price breaks through the level, it will form a new level of support and resistance. For example, when you see the price breaking a level of support, the old support will now turn into a new resistance. Now that you know where are those levels of strong support and resistance, you will be able to wait for the price to hit those levels for the first time and then enter a binary trade based on the repulsion.

Note that there will be more risks when the price hits the same level again as there are chance where the price will break through it. Therefore I will suggest that you only trade the repulsion based on the first repulsion. However in order to increase your probability of winning, you will need to make use of other indicators and techniques to do so.

Therefore I will suggest that you read my blog post on How to formulate your own binary option strategy to formulate your own strategy. A personal advice for those of you who are still trading without a binary option strategyyou are going to lose all your money in no time.

There is no way anyone can make money from trading binary without a proven strategy. I hope that you guys find this post useful and if you have any question regarding binary trading, do feel free to contact me via the link at the side of this blog.

For those of you who are interested to learn the binary option strategy that works for me, please click on the link below for more information about my course. Binary Options Strategy Binary Option Signal Learn various trading binary options secrets using support and resistance options strategy from the binary trading binary options secrets using support and resistance signal blog created by a real trader trading binary options secrets using support and resistance has been trading profitably since So What are those Support and Resistance There are various types of support and resistance and I am going to highlight them one by one in this post.

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For one, I simply felt like breaking things up a bit for my own enjoyment. Therefore, introducing some second trades into my blog can serve to lend some advice on how I would approach these.

Also, it is more difficult to be as accurate with these trades as the minute trades, due to the inherent level of noise on the 1-minute chart, in my opinion. Find support and resistance levels in the market where short-term bounces can be had. Pivots points and Fibonacci retracement levels can be particularly useful, just as they are on other timeframes while trading longer-term instruments. Take trade set-ups on the first touch of the level. For those who are not familiar with the way I normally trade the minute expiries from the 5-minute chart, I normally look for an initial reject of a price level I already have marked off ahead of time.

If it does reject the level, this helps to further validate the robustness of the price level and I will look to get in on the subsequent touch. Expectedly, this leads to a lower volume of trades taken in exchange for higher accuracy set-ups. To provide a baseball analogy, a hitter who normally maintains a batting average of. On the other hand, in that same span, he might hit. Continue to consider price action e. But without further ado, I will show you all of my second trades from Monday and I how I put all of the above into practice.

To avoid confusion, I will briefly describe each trade according to the number assigned to it in the below screenshots. On the first re-touch of 1. Similar to the first trade I took a put option on the re-touch of 1. This trade also won. A third put options at 1. This trade lost, as price went above my level and formed a new daily high. Price formed a newer low at 1. I took a call option on the re-touch of 1. Basically the same trade as the previous one. Price was holding pretty well at 1.

On a normal move, I would take a put option there, but momentum was strong on the 2: Several put options almost set up on the 1. So my next trade was yet another call option down near where I had taken call options during my previous two trades.

I felt this was a safer move as just half-a-pip can be crucial in determining whether a second trade is won or lost. Call option down at 1. However, the minute after this trade expired in-the-money, the market broke below 1. This trade was a put option at 1. Nevertheless, this trade did not win as price continued to climb back into its previous trading range. I decided to take a put option at the touch of 1.

This trade might seem a bit puzzling at first given a new high for the day had been established and that momentum was upward. But by simply watching the candle it seemed that price was apt to fall a bit.

It was also heading into an area of recent resistance so once it hit 1. For this trade, the high of day initially made on the 2: I had intended to take a put option at this level on the 3: And then for maybe seconds, my price feed was delayed and by the time it the connection was recovered it was over a pip above my intended entry. I did end up using the 1. I took a put option on the touch of the level. Once again, I used the current daily high of 1. But price busted through and this trade lost.

Another fifteen minutes passed by before I was able to take another trade set-up. This time, I used 1. This trade was probably my favorite set-up of the day and was aided by the fact that the trend was up.

It turned out to be a winner. For put options at this point, I had an eye toward 1. So I decided to take a put option at the touch of 1. This trade turned out to be a nice four-pip winner. My final trade of the day was a call option back down at 1. This was another good four-pip winner.

After that I was waiting for price to come up and see if 1. Also, I was feeling a bit fatigued by this point and decided to call it quits for the day. But, in general, I have faith in my strategy to predict future market direction with a reasonable level of accuracy, and my ability to apply it to any market or timeframe.

I also enjoyed toying around with the 1-minute options, as it was a new experience, and I would definitely consider adding more second option days into my regimen in the future. Basic 60 Second Strategy My basic strategy toward second options goes as follows: Trade History Using 1 Minute Expiry 1: Put option back up at the 1. Another put option at 1. Similar to 12, I used 1. Where Do I trade?