Binary options gold trading strategy

Binary options gold trading strategy

Gold, as a trading instrument in the financial markets, always attracts attention. It is not only because this precious metal is the basis for the value of many currencies, but also because of its high volatility. One can say that the precious metal can change its market value much more times than any currency pair.

Today we will consider the peculiarities of gold trading and the strategy for trading gold binary options in the market. It is the high volatility of this instrument that will play a key role in the trading gold binary options strategy that will be outlined in detail. We will begin with general information about gold as a trading instrument, which is necessary to understand the whole trading gold binary options method.

Trading gold binary options is a great earning opportunity for those who do not like volatile currency pairs. Gold is a protective asset for professional investors. In case of ambiguous situation on the global currency and securities markets, investors immediately invest their money in gold. And that means that in the medium term, predicting the trend direction is not very difficult.

The advantages of trading gold binary options

The trader does not need to predict how much the asset will rise. All that is needed is a prediction as to whether the price of the binary option will go up or down. Moreover, the examples above show a clear correlation between the rise and fall of prices and fundamental factors;

– In the long run gold will always be on the plus side.

– In the short term gold is volatile, which allows you to earn with technical analysis on channel strategies and ATR.

Binary options gold trading strategy variants

Trading gold binary options allows traders to use a lot of strategies based on technical analysis. They allow trading on options with expiry from 1 minute.

Let’s look at the main strategies used for trading gold binary options:

Binary options gold trading strategy #1

  • The combination of RSI and EMA indicators. This combination of indicators allows the trader to see a reversal near an overbought/oversold zone.

Increase deals. Prices should be above the EMA indicator, indicating a bullish trend. The RSI indicator should indicate that the price is not in an overbought zone. Wait for two bullish candles to form and buy when a third is formed.

Decrease deals. Price should be below the EMA indicator, which signals a bearish trend in the market. The RSI indicator should not show that the price is in the oversold zone. Wait for two bearish candles to form and buy on the third.

Binary options gold trading strategy #2

  • The combination of Ichimoku Kinko Hyo and Moving Average 33. A trend-following strategy using the Moving Average 33 filter on M5 and M15 timeframes.

The fifteen minute timeframe, shows higher returns. The amount of investment in one transaction – not more than 1 – 5%. Recommended expiry time is 30 – 120 minutes.

Increase deals. We wait for the price to be above the Ichimoku cloud and the Moving Average 33 indicator. The combination of events indicates a further rise in price. Making a bid on the rise.

Decrease deals. When the price is under the Ichimoku cloud and the Moving Average 33 indicator, you should open a deal to decrease. Having broken through the two indicators, price tends to go down.

Binary options gold trading strategy #3

  • The combination of DeM and OsMA indicators. Recommended expiry time – 1 hour. Timeframe – M15. The sum of investment in one transaction – 1 – 4%.

Increase deals. Analyse the OsMA trend indicator, it should be in the positive zone. Indicator DeM should go out of the oversold area 0 – 0.3. When entering the zone 0.3 – 0.7, open a deal.

Decrease deals. We look at the indicator OsMA, which should be in the negative zone. Indicator DeM, should go from the overbought zone 0.7 – 1 in the zone 0.3 – 0.7. We open the deal to the decrease.

Binary options gold trading strategy #4

  • The combination of ATR and Moving Average. For the strategy we use indicator parameters 14 and 89 respectively. Expiry time – from 30 minutes. Timeframe – M5. The amount of investment in one transaction – no more than 5%.

Increase deals. When the price is higher than the Moving Average indicator, and the ATR indicator has exceeded the 50% level – open a deal to go up.

Decrease deals. Waiting for the price to fall below the moving average. ATR indicator has fallen below 50%. Open a deal to the downside.

Binary options gold trading strategy #5

  • The combination of DeM and OsMA indicators. Recommended expiry time – 1 hour. Timeframe – M15. The sum of investment in one transaction – 1 – 4%.

Increase deals. Analyse the OsMA trend indicator, it should be in the positive zone. Indicator DeM should go out of the oversold area 0 – 0.3. When entering the zone 0.3 – 0.7, open a deal.

Decrease deals. We look at the indicator OsMA, which should be in the negative zone. Indicator DeM, should go from the overbought zone 0.7 – 1 in the zone 0.3 – 0.7. We open the deal to the decrease.

Binary options gold trading strategy #6

  • The combination of ATR and Moving Average. For the strategy we use indicator parameters 14 and 89 respectively. Expiry time – from 30 minutes. Timeframe – M5. The amount of investment in one transaction – no more than 5%.

Increase deals. When the price is higher than the Moving Average indicator, and the ATR indicator has exceeded the 50% level – open a deal to go up.

Decrease deals. Waiting for the price to fall below the moving average. ATR indicator has fallen below 50%. Open a deal to the downside.

Gold binary options trading system Gold Burst

Trading gold binary options with the Gold Burst trading system is carried out with the help of pending Buy Stop and Sell Stop orders, which must be placed 5 points away from the range boundary of the Asian trading session.

It should be understood that within this binary gold trading Gold Burst system yellow color indicates Asian session range boundaries, which is used to place pending orders, and blue – the beginning and end of London Stock Exchange activity (European Trading Session).

Placing of pending orders takes place strictly in the direction of the trend, namely, if the session box is built above the moving average – put only buy stop order and if below the moving average – put only sell stop pending order.

So, let us go straight to the rules of the binary gold trading Gold Burst system.

Signal to buy within binary gold trading Gold Burst system:

1) Asian trading session trades above the moving average (yellow square above the red line).

2) We place a pending buy stop order at the upper border of the Asian trading session range.

Stop order should be placed in the middle of the Asian trading gold binary options session range, and the profit should be equal to the range of the Asian trading session in points.

Also, at the end of the European trading gold binary options session, a position is closed early with any result, without waiting for a profit or stop order.

Sell signal within binary gold trading Gold Burst system:

1) The Asian trading gold binary options session trades below the moving average (yellow square below the red line).

2) Place a pending sell stop order at the lower boundary of the Asian trading gold binary options session range.

As in the case with buying, the stop order should be placed in the middle of the Asian trading gold binary options session range, while the profit should be equal to its range. Also, keep in mind that the position must be closed with any result at the end of the European trading session.

It is worth noting that the binary gold trading Gold Burst system is an old and proven trading strategy, on the basis of which many signal indicators as well as forex advisors have been written

You can try binary options gold trading by choosing broker’s platform, such as Binomo or Ayrex.

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