In this article I will show you some screen shots and explanations for some trades of mine, last week.
As you can see I trade in a binary options exchange and I made about 350$ profit with some simple moves of the market which I will show you right now. Let’s go to the first screen shot.
As you can see in this screen shot I took two trades (one put arrow and one call arrow). I took these trades with simple signs and with not much confluence based only in the trending market. I don’t do it many times. I usually trade with much confluence. We are in a down trend, notice that we have lower- highs, the price makes reversals in the trend lines which act as support and resistance. In the put arrow I took a put (I bought a “5min down GBPUSD” contract) because the price was away from the trend line or the fibs important levels. So, I wait about three minutes and sell the contract before the expiry when price comes close to the trend line. (before the reversal).RSI was extremely over sold in this spot. I made about 30$ profit from this trade.
In the put arrow I took a call (I bought a “5min up GBPUSD” contract). I bought it about 68 Euro so my profit would be 100-68=32. After the reversal I was waiting for a mini- trend up and a high lower than the previous because we are in a down trend. The price breaks the cloud but the next candle was red. So, I was waiting. After that we have a small green candle and then a pull back. But, our CCI that time has crossed the zero level so after the pull back I bought the contract. The next candle was big and green which gave me a profit of about 25 euro some minutes before the expiry, a profit near to my max profit of the trade. So, the next moves of the price were in the direction I predict but I closed my trade early and took a profit of 25 euro(about 33$)
The current charts are 1min chart. If you are working in small time frames with short expiry times you must be very careful. I recommend for short term traders to analyze two time frames , the 1min chart and the 5min chart to have a general picture of the market and don’t trade against the general moves.