Best Binary Options indicators

Best Binary Options Indicators AKA my Prelude to ICHI MOKU Part One

OK originally I planned to share a tutorial on how I use the popular Ichi Moku indicator but I decided to take a step back and cover some fundamental principles about interpreting what you are looking at on an indicator that is new to you. I think I can also go throught and share what I believe to be the best Binary options indicators available. and how I use them to help me read and interpret charts objectively. As anyone who has read a bit of my trading tutorials is aware of by now I do view trading the markets from an existential perspective. In my mind the markets are not charts or jargon, latest news or theory all jumbled together instead trading the markets is just a human experience.

One of the reasons I look at trading this way is because a large bit of trading is psychological and we fear what we do not know. Every time I put fingers to keyboard and share something with you guys ( my brothers and sisters trading the markets with me ) I am endeavoring to impart on to you a familiar human aspect of trading. As a human being we are for the most part inclined to fear the unknown but when you can turn that fear of the unknown into an understanding that the markets are made up of people just like me and you only in all different

locations around the world
sizes of trade positions
financial shapes ( institutional & Retail )
and ethnic colors

for me it has helped to combat any fear of the unknown and that is why I drive this point home every chance I get in hopes it can help you get your mind in a serene place when trading. When you can add a thirst for knowledge into your mindset to offset the fear of the unknown it can work to help you get your mind in a serene place where you are ready to trade and actually looking forward to trading no matter what the results of that trading will be. This is why I try to share my particular trading style in a simple down to earth fashion in hopes it will be easy to digest and leave you hungry for more.

Lets talk about trending markets and EMA indicator lines Today....

OK before I get into talking trending markets I want to talk about twitter for a second. I think twitter is fascinating and shortly I will be implementing twitter into my site and doing tweets by hand as well as we plan to send premium signal alerts for Binary options via an automated tweet. Now twitter is nothing new to me after all it is a micro blog but a blog none the less. Following someone is essentially like subscribing to a mailing list and viewing twitter like this makes it familiar to me even at my age. Now one thing that is fascinating about twitter is their trending now section and how you can find lists of hot topics being discussed by a large group of people at the same time all over the twitter platform. Trending is what this is called because there are a lot of people sharing in the same discussion at the same time and that is called a trend.

OK now you might be saying to yourself what on earth does that have to do with a trending market? Is Alfred off his rocker? Well, lets take that human experience and relate it to reading trends and Exponential moving averages etc on a chart. Often when a stock or even a currency pair is really trending there will be a lot of chatter about the asset on popular trading channels like CNBC, Bloomberg etc.. and this is one way to determine a trend in a less subjective fashion. Just like on twitter if you look at a chart and see a REAL trend then people will be talking about it because they are spotting it as well. This brings me to my other topic and that is often I will hear guys on various trading forums ask the same question. How do you know or spot the trend? OK, Trends are not some secret that you must train your eye to spot after years of practice in my opinion. When you setup one or more EMA indicators to illustrate the trend it is less subjective and should be objectively easy to spot by most people.

UP trend Chart: Real uptrend on a market will look like a market moving sharply up

[CLICK] image to Zoom In/Out AUDJPY 041413 1 DT EMA Example

DOWN Trend Chart: Looks like a market going sharply down

[CLICK] image to Zoom In/Out AUDJPY 041413 1 HT EMA Example

RANGING Markets Chart: is anything that looks like neither of the above mentioned

[CLICK] image to Zoom In/Out AUDJPY 041413 4 HT EMA Example

to me and you and anyone else who can see the same charts. When it is something hidden that must be pointed out to the " untrained eye " this is most probably not a trend. Trending topics on Twitter are topics that are popular even outside of twitter at that same time reference. Why is that? Because a trend happens when a large group of people agree on something ( price rising etc ) inside the same time reference. Sadly sometimes as traders we all try to see a trend that no one else can spot but us. A trend simply means a majority of people have spotted or arrived at the same destination or belief and you don't have to look hard to spot it instead it is often the first thing you notice. This is why sometimes you have a trading idea at first and then you analyze your way into seeing something else that " Only you have spotted first ". The trend is your friend because you and a lot of other people are trading in the same direction so logically it should not be to hard to spot by most people IMO if you think about trend in it's purest form. In all the charts above you can see the EMA lines illustrating the sharp trends fairly clear.

Time to talk about time frames:

OK now I used twitter in my example because the great thing about twitter is that you can see a point in time when discussions are trending. Charts are no different and depending on the timeframe the trend ( discussion or beliefs by the same group of people ) will be different. Lets look at a couple of charts for the same AUDJY currency pair arranged by time frames. These are the same charts as above because I am so lazy that I like recycling charts as much as I can LOL but the only difference is that they are arranged in a top down order.

Daily chart

[CLICK] image to Zoom In/Out AUDJPY 041413 1 DT EMA Example

Four hour chart

[CLICK] image to Zoom In/Out AUDJPY 041413 4 HT EMA Example

One Hour Chart

[CLICK] image to Zoom In/Out AUDJPY 041413 1 HT EMA Example

Those are the same charts arranged in an order from Daily to 4 hours to one hour. You can see different trends on each timeframe. I put some lines on the ranging to make it a bit easier to spot. I done them in this order because it brings me to the point of talking about one of what I believe to be one of the best Binary options indicators EMA lines. I dont just tout EMA lines for their accuracy but also because once you get the fundamentals of how to interpret them you will find it easier to tackle new indicators especially the Ichi Moku indicator that I will get around to covering soon.

numbers I used on the EMA lines on this chart are

RED line = 9

BLUE line = 26

GREEN line = 52

Now those a bit familiar with Ichi moku indicator might have some idea why I choose those numbers and colors but in reading these type of line indicators the numbers are not as important as most perceive them to be IMO. What I want you to really look at closely is how we were.

Trending up: on a Daily chart with the 9,26,52 EMA lines in that order top to bottom

Range trading: on a 4 hour chart but starting to breakout down. Notice that the EMA lines are in the same order but my RED ( 9 EMA ) is closer and possibly getting ready to cross my BLUE ( 26 EMA )?

Down trending: on an hourly chart you notice that the RED ( 9 EMA ) has crossed the BLUE ( 26 EMA )

SIDE NOTE: here is a secret magic chart reading tip! Do you think it is easier to spot range trading on the daily chart and even that Doji candle on the top alerting you to the fact that the next day might have been a reversal down? My point is there is no magic really and some people perceive others as being able to read indicators and charts in some special way but when you practice interpreting indicators and charts the right way by viewing the different time frames it can make different things easier to see and interpret leading you to the right observations more often. I am probably going to get kicked out of the magic chart reading guru's guild for sharing that with you but as I often say trading does not have to be as hard or cryptic as some people choose to make it in MY opinion. Let me share one more chart fast forwarding a few days and look at the developments on that Daily chart and you can see that learning to stydy indicators and charts on multiple time frames and gaining a perception of time can assist you in being profitable in your trading. Remember what I said as observing the Doji & consolidation on the daily indicators and chart and how the one hour indicators and chart pointed the sharp down trend out.

[CLICK] image to Zoom In/Out AUDJPY 041613 1 DT EMA Example

PS: Notice how price Wicked and reversed on that Green 52 EMA line all this will come in handy when I get to explaining the Ichi Moku indicator

OK now if you have made it this far Congratulations and rejoice because it is almost over. I just want to explain a little more about the human element and how it relates to reading a wide range of binary options indicators that resemble this EMA structure here. When I was 25 years old at a body weight of 165LBS I had a 340LB Benchpress for reps. . Here is what I am getting at there were other guys 165LBS that did not have a 340LB bench and essentially the reason why is because I have a large amount of what is known as fast twitch muscle fibers. This means inside every human body there are slow and fast twitch muscle fibers and when your body is composed of more fast twitch muscle fibers you can exert more force at the same time ( faster ) and the result is that you are stronger than another human being of a similar build and composition.

Now that you get that existential human element what do you notice on the Hourly chart? The fastest RED 9 EMA has crossed the slower BLUE ( 26 EMA ). This is how a lot of indicators setup in this fashion will look and operate. Maybe they have different names or illustrate different studies but essentially they are based on models reflecting the human element of fast twitch and slow twitch muscle fibers. Don't let them confuse you because no matter how they look the fastest ( smallest bar count ) will be like the fast twitch muscle fibers illustrating the trend being pushed up above or pulled down below the slower EMA lines. So when we get to Ichi Moku interpreting remember this tutorial and if you take it to heart you will start to recognize that it is not as mystifying or challenging as you might have thought as you familiarize yourself with the fundamental ways of reading all these indicators that you can use in Binary options and Forex trading.

The next tutorial I do will likely talk about oscillators and S/R lines but again just to sum it all up. All we talked about here was meant to illustrate that the many different indicators out there all can be read in a similar fashion illustrating direction of the markets and those with multiple lines will have the faster lines crossing over or below the slower lines as a signal of the current trend direction or a possible reversal in that time frame just like the fast twitch muscles in your body can all react faster ( at the same time ) which is what results in one person of a similar build and weight being stronger than another person. I hope this makes anyone reading this feel a bit better about looking at a chart and relaxing because what you need to see should not be as hard to spot after understanding the existential fundamentals pointed out in this article. As I always say in closing of these binary options trading tutorials if Alfred is talking markets you can take it to the bank!