Indicators for Binary Options

Published:2 December 2015 Updated:4 January 2024

Good afternoon, dear readers! We have already written a great deal strategies for trading binary optionsAll of them use different indicators, but the Indicators for Binary Options we didn’t tell you much. Meet the new, detailed article visited completely indicators for binary options.

A trader who is just taking his first steps in the world binary optionsThere are three ways to get a foothold in it. It is possible either to spend time on serious study, development of your own strategy, its testing, or to go at random, not understanding (not wanting to understand) what the financial market is (something like walking on a minefield), or to use a ready-made strategy, supported by signal windows, called “indicators” by professionals. The latter variant is chosen both by real beginners, who can’t yet make their own analysis and decisions based on its results, and by experienced gamblers-traders, who know the power of these mathematical “tools”. So let’s start in order, namely with the definition.

Indicators (signal windows) for binary options are fully-automated systems that can be applied to a specific trading platform. They, based on a mathematical mechanism, analyze the market situation, either occurring in a particular second or preceding it. And they make indicator windows, so a trader-player of the financial market will be able to obtain an adequate conclusion and, based on it, to make his/her own decision to conduct/reject a deal. And the conclusion of the indicator will tell where the price will move in the nearest time (up to a second). Indicators-windows were “designed” for trading terminals of stock exchanges. But after a while they were adapted for use “for options”. The indicators themselves, without exaggeration, are dozens. Everyone of them has a specific purpose: to anticipate or to keep up with the trend, to be “oriented” on a price correction, to work at a certain period of time, to inform about entry/exit points of a deal, to build a trend channel. And many other specialized tasks. Indicator programs look like chart windows, the number of which can be unlimited on a trader’s monitor. With experience, it can be reduced to two or four.

Indicators – The mathematical models are accurate, so they allow you to catch the shortest, “minimal” price movements and, using them, work on deals. And work successfully! Having one or more indicators, the trader will not have to monitor the profitable/loss-making fluctuations, because he will know everything exactly at the exact moment of transaction. The difference in just a point/step in the direction of the trader will turn into a seventy percent profit. And it’s all thanks to the indicators. What does the presence of indicator systems give to a trader? Saving of all time. Namely, he doesn’t need to develop, test his own strategy for months/years. The indicators will create it for him, and he will rely on them as on never being mistaken “predictors”. If the trader has a working, but average level strategy, the indicator systems will help to “upgrade” it, increase its power and success. Here are the five most commonly used indicators.

Indicator “ideal” (spelled !ideal!) – determines the strength of the trend, where it will move in the near future. It looks like this:

Indicator "ideal

MAC DC indicator (MACDs writing) is a justly sought-after and unrestricted application, thanks to the alerts and lines and ease of use. Its “appearance” is as follows:

MAC DC indicator

CrossingAlert Indicator (spelled ADXCrossingAlert) belongs to the category of cult ones, because it “knows” how to be ahead of the trend. If there is a desire, you can look for its modification, which will simply show when it is necessary to enter the trade, that is to give a specific signal. Here it is:

Crossingalert Indicator

If we said that indicators are able to catch the smallest price movements, then SimpleSimon (spelled SimpleSimon or ShortTrend) captures her micro movements. That is why it is worth remembering:

SimplSimon indicator

And those who are used to using muwyngavaraj (moviengaverage), you can try a heavily modified version of it NonLagMA (spelled NonLagMA). His window looks as follows:

NonLagMA indicator

Note as a finale. Without the testing of these (any other) indicators, we cannot do without, because we have to understand the mechanism of each indicator to the smallest detail. It would be good to keep your own records during the testing in order to “calculate” the dependence of the results on the analytical conclusions given by the indicator and to calculate the most successful timeframe for entry/exit of the trade.

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Reviews

  • Trading on a full automatic is still not possible, the human factor is very important here, and often instead of us trade our emotions, with which it is difficult to cope.

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  • What is the minimum number of indicators that should be in order to be able to trade profitably? Is it realistic to do without them now?

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    • dusha 17 December 2015 at 19:53

      You can do just fine without them, but it’s not professional. Who doesn’t use indicators and other tools, they have to constantly stare at the monitor and at the end of the day if they break even, they’ll be fine.

    • Nikolay 18 December 2015 at 06:31

      I traded without indicators when I started out frankly – it’s a little easier, because there are so many indicators that are misleading.

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