Trading Around a Signal
OK I decided to demo a fast GBPUSD Contrarian trade that came from the Bot today. I am going to show you guys some more advanced stuff right and also more risky. Trading in this fashion is not at all necessary but I am trying to share options to give you ideas. When I say advanced I don't mean that I am about to pop a lot of trader jargon at you. What I mean is that I am going to be doing an aggressive trade execution and turning this one signal into 2 trades back to back and I will share how it could have been 3 as well.
What makes this advanced is that you need to give yourself some time to go over all the fun stuff here in the private area so you can better understand when to pull one of these off. You need to be psychologically ready and confident to do this type of trading. There is no rush and all the stuff we have right now along with all the stuff we are working on every day is here to help you guys. Remember to take advantage of every thing you already paid for not just the signals but also the content in the private members area and the support that we are happy to give via email. Now lets get started on this fast trade
SIGNAL EXAMPLE
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alright in the image above we got a contrarian counter trend signal to do a Put ( shorting the currency down )
for about the next 7 minutes. These counter trend signals are profiled to be going against the prevailing trend but of course they can last longer than we expect them to last. Our thought process is that every trade is a risk where you are exposing your capital to the market and Binary options are not just about price they are about time so we take the least amount of time and get the same reward as someone exposing their capital to the markets a lot longer.
EXECUTION EXAMPLE
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alright this is an example where I am doing 2 signals back to back. You will notice that after loading up the pair on the demo broker the market had moved higher than my suggested entry range. This lead me to believe that I am at what is profiled to be a good opportunity to expose equity to risk at this point and you see me doing the first trade right there. Now after this the market continues to move north on me for the next 4 minutes of my first 7 minute trade.
Now I see what is known as a minor psychological number 1.50700 once every 10 pips we get a minor psychological number.
NOTE: My thought process has me working in Pips not Pipettes and on this pair a pip is the 4TH number after the decimal point. So every 10 pips there is a minor number and every 100 pips there is a MAJOR or sometimes called whole number ( this is where longer term traders like LL in our video section look to take profits ) because a pip or even 10 pips means next to nothing to them and their thought process is centered around 50,100,200 pip moves. Now can we profit on a Binary trade by 1 pipette? Yes we can and that is the beauty of it but I am not endeavoring to win by that much I will take it anyway of course but it exposes me to tight margins that are my call or the brokers. I don't want drama. I want money so I am looking for what I hope to be the clearest decision of a win.
OK now after those notes you see how I am thinking and why I took that new trade with the minor number on my side. Also my other trade was out of the money but I had a bit of time left and I saw that we just hit a psychological number where some shorter term traders had their sell orders. No idea if I will win either of these trades but good reasoning and execution. That is all you can do with binary options or any form of trading. Just plan and execute then let the market give you the results. Both these trades ended in the money as you can see but next we are going to look at some charts. I have shared what happened as related to people now lets see it illustrated on a chart.
Chart(s) EXAMPLE
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OK on this first chart we see the market moving in our favor sharply and it is right after that Minor number we talked about got hit and those sell orders got to cooking from those short term scalpers. This moved our first trade back in the money for 6 Pips exactly. Notice that as the market came close to our line on the chart it got rejected below it again. Also please note that I am counting pips not 600 pipettes because I would love for you guys to think in pips as it will help as you move into spot trading and Nadex trades.
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OK now we are fast forwarding and we see yet another place where the market wicked and rejected buying pressure around our line. So maybe there were more than 3 opportunities here for some action. Now honestly all you have to do is properly execute that one first trade and you are profitable but this is just illustrating our vision of using the signals to empower you not enslave you. This is how technology can work with you as a tool instead of replacing human intervention or mirroring one human's trading plan. A lot of brokers and traders believe binary options are just about picking the direction but in our trading style that is not all of the story. The story involves the direction based on an entry over a given point of time reference and that is my story and I am sticking to it. I hope this has helped some of you guys and I would like to thank you for your support. Premium users supporting our site helps us afford to share our perspective and devote time to this industry we genuinely believe can change peoples lives from all walks of life.
Warmest Regards:
Alfred & David
your team at BinaryOptionsTutor.com
NOTE: This was originally intended for only premium members to view but we decided to share it publicly as an example of our premium members only content that will be offered along with the Bot signals.