3° Candle Binary Options High/Low Stategy
Binary Options High/Low
Markets:Any
Time Frame 15 min or higher.
Binary options Strategy Rules
- Find the third candle
- Enter your trade at the start of the third
candle and wait that candle closed.
-Identify the current trend.
(For example: use 50SMA or 100sMA to identify the current trend. If the price is above the SMA – the current trend is up or opposite)
You may also use a Stochastic indicator with parameters 5.3.3 to filter your trades. If the direction of the stochastic is opposite of your 1st and 2nd candles it is better not to trade at that moment and wait for the next “1st candle figure”.
-Open a 60 min chart or other time Frame and find the “first candle”.
“The First Candle” is between two candles, and it is the highest or the lowest of those three candles.
Look at the chart below:
The 1st candle is located between two candles and it is the highest (or lowest ) of the 3.
-Now if you look to the right of the 1st candle is the 2nd candle and the next is the 3rd candle – the most important for us. This system based on the 3rd candle.
If look on your chart you will see a lot of “three candles figures” and all of them are great trading opportunities!
Binary Options strategy: Trades
We BUY at the very beginning of the 3rd candle if the current trend is up and your candles
figure is going up We SELL very beginning of the 3rd candle if the current trend is down and your candles figure is going down.
There is ALWAYS an opportunity to make a win trade.: all you have to do is to open few pairs charts and you will always find your 3 candles on some pairs!
– do not trade 1 hour before and after major news or big events
– when the 3rd candle is against the current trend
– when the second candle closes “inside” the 1st candle:
This also a scalping system ( 3° Candle Scalping system) with this exit setup:
Take profit
Your target is 10 pips. You can also try to use a trailing stop order to maximize your profit.
Stop loss
Stop loss needs to be placed above or below the second candle:If you BUY – place a stop 1
pip below the 2nd candle, if you SELL – place a stop 1 pip above the 2nd candle.
Time frames
This Scalping system can be used with higher time frame. In this case make sure to set your take profit target more than 10 pips.
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