Saturday, 23 November 2019

Only 5 Minutes to Get Profit on Binary Options, How to Do it

Profit on Binary Options - The advantage in binary options trading is that expiry time can be very low. With the lower expiry time limit you use, it means that the faster the profit a trader can get.

Facilities like this are certainly very good news for a short-term trader, especially scalpers who really like to open trading positions in a day.

In ordinary forex trading, a short-term trader can only get a small profit for each trading position. The opportunity to be able to increase profits only by opening as many trading positions as possible so that each position can meet the daily profit target.

The above is certainly very different from the binary options that allow short-term traders to get large profits even though the duration of trading is only a matter of minutes. This can happen because a trader in binary options can choose their own percentage of profit and the amount of capital.

The percentage of profits and the amount of capital can be arranged in such a way as to limit losses or maximize profit opportunities. So it is not surprising that binary options are a place favored by short-term traders.

Each binary option broker has a different minimum expiry time limit. There are brokers who provide 1 minute expiry time and there are also those who allow trading positions to take place in seconds.

Even though trading is only a short time, it does not mean trading is done without a strategy. There are many binary options strategies that are based on types of time frames and one of these strategies is a 5 minute strategy.

A 5 minute trading strategy is one of the best and simplest types of high frequency strategies. The main idea of ​​using this strategy is to open a trading position when market conditions allow for a short-term reversal.

This method is not too difficult for you to learn, especially for people who are new to the world of binary options. For starters, you can use a chart with a time frame between 1-5 minutes with a 5 minute expiry limit.

There are several characteristics when you run a binary option strategy within 5 minutes, including as below.

-This strategy is very simple and easy to understand for beginners

- Make it easy for novice traders to learn the basics of technical and fundamental analysis

-Very suitable with forex binary options

-Can produce good trading opportunities with a success rate of around 70%

- Involves a few techniques and also trading rules

-It is very possible for traders to be able to open more than 20 positions for 1 currency pair in a day

-The risks obtained can be minimized by adjusting the amount of capital for each option position

Similar to forex, trading in binary options that use news trading is trading by basing the placement of options on economic news from countries related to the currency pair being traded.

In order to analyze each price movement fundamentally, many of the traders who use the economic calendar to be able to know the times when the release of economic news that will have an impact on the value of a particular currency. Often data that has a big influence on currencies will be marked with 3 stars depending on the economic site that provides the calendar.

Profit on Binary Options - Usually predictions on the economic calendar can make it easier for you to open trading positions at the start of a trend. But when you only use a 5 minute expiry time, then you should wait until the data is actually released. This is because the possibility of results can be different from expectations.

For example the US NFP which is one of the important fundamentals for the USD. You can place option put for USD / JPY or choose call option for EUR / USD or GBP / USD after the results are released and place a 5 minute expiry time.

The 5 minute trading opportunities that you can take from the emergence of fundamental data include.

If the results of the data released are in line with expectations, then you should not open trading positions.

If the results of the data released are better than expected, then you can place an option call for the currency pair for which the base currency is influenced by news that comes out. For example you can take an option call for EUR / USD after Eurozone inflation data shows better than expected results.

Choose the put option for the currency pair for which the quote currency is affected by the release of the news. For example, you can choose the option put for USD / JPY after Japanese GDP data is reported and has more than expected results.

What if the results of the data that came out worse than expectedtation?

The way you can do is to choose the put option for the currency pair on which the base currency is affected. For example, you can choose a put for GBP / USD after the BOE gives the decision to cut the benchmark interest rate lower than expected.

Place an option call for the currency pair for which the quote currency is affected by the release of the data. For example, you can take an option call for EUR / USD after the US NFP data reaches a result that is worse than expected.

Also Read : get to know the Swing Trading Methodology

All option positions that you are able to open must be set with a 5 minute expiry time. If you set an expiry time of less than 5 minutes, for example by setting a time period of 2 minutes, then the price has not shown a definite trend. On the other hand, if you place your position on a trend that runs more than 5 minutes, then the price could have the potential to rebound.

Thus expiry time that is above 5 minutes has a greater risk in your trading. The 5 minute expiry time is the ideal time for short-term traders to place their options in accordance with the results of the release of economic data. A 5-minute strategy to maximize Profit in Binary Options is highly recommended.

As long as the economic reports are one of the indicators that have a big impact, then the methods mentioned above can certainly bring your trading profit.

Those are the steps and tips that we can share with you all about how to make profit on binary options in just 5 minutes. Hopefully the information we have presented above can be useful for you all.

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