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Binary Trading Strategy

The 'Momentum Break & Retrace' strategy is designed for binary options trading, focusing on short timeframes to identify strong market momentum and retracement points for high-probability trades. It utilizes indicators such as Exponential Moving Averages (EMA), Relative Strength Index (RSI), and support and resistance zones, with specific rules for entering CALL and PUT trades. Risk management is emphasized, recommending a trade size of 1-2% of the account and stopping trading after three consecutive losses or reaching a daily target.

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0% found this document useful (0 votes)
21 views5 pages

Binary Trading Strategy

The 'Momentum Break & Retrace' strategy is designed for binary options trading, focusing on short timeframes to identify strong market momentum and retracement points for high-probability trades. It utilizes indicators such as Exponential Moving Averages (EMA), Relative Strength Index (RSI), and support and resistance zones, with specific rules for entering CALL and PUT trades. Risk management is emphasized, recommending a trade size of 1-2% of the account and stopping trading after three consecutive losses or reaching a daily target.

Uploaded by

webdeveloper935
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Binary Trading Strategy

(1). Strategy Name: "Momentum Break & Retrace"


Yeh strategy price ke momentum aur retracement ka
combination hai jo high-probability trades generate karti hai. Yeh
specifically binary options trading ke liye design ki gayi hai,
jahan short timeframes, jaise 1-minute, use ki jati hain.

Strategy Ka Maksad
Market ke strong momentum ko identify karna aur retracement
points par high-confidence entries lena. Yeh short-term trading ke
liye best hai jahan price apne trend ke against temporarily move
karta hai aur phir trend continue karta hai.
Indicators Required
1. Exponential Moving Averages (EMA):
o 8 EMA (fast-moving line).
o 21 EMA (slow-moving line).
2. Relative Strength Index (RSI):
o Period: 14.
o Overbought level: 70.
o Oversold level: 30.
3. Support & Resistance Zones:
o Recent highs aur lows par manually draw karein.

Rules for Trading


1. For a CALL (Buy) Trade:
1. EMA Crossover:
o 8 EMA crosses above 21 EMA (uptrend ka signal).
2. Price near Support Zone:
o Price support level ke kareeb ho ya wahan se bounce
kare.
3. RSI Confirmation:
o RSI 30 ke upar ho raha ho aur upward move kar raha
ho (momentum dikhaye).
4. Candlestick Confirmation:
o Ek bullish (green) candle form ho chuki ho ya hone wali
ho.
Entry Point:
Bullish candle ke close hone ke baad agle candle par trade enter
karein.
2. For a PUT (Sell) Trade:
1. EMA Crossover:
o 8 EMA crosses below 21 EMA (downtrend ka signal).
2. Price near Resistance Zone:
o Price resistance level ke kareeb ho ya wahan se reject
ho raha ho.
3. RSI Confirmation:
o RSI 70 ke neeche ho raha ho aur downward move kar
raha ho.
4. Candlestick Confirmation:
o Ek bearish (red) candle form ho chuki ho ya hone wali
ho.
Entry Point:
Bearish candle ke close hone ke baad agle candle par trade enter
karein.
Risk Management
1. Trade Size:
o Har trade mein apne account ka sirf 1-2% risk karein.
2. Stop Trading Rules:
o 3 consecutive losses hone par session band kar dein.
o Daily target ($10) achieve hone par trading stop karein.

Why This Strategy Works?


 Momentum Follow Karna: Momentum indicators jaise EMA
crossover aur RSI strong trends ko confirm karte hain.
 Retrace Par Entry: Retracement points high-probability
entries ke liye ideal hote hain kyunki yeh support aur
resistance par bante hain.
 Short-Term Precision: Sirf woh trades liye jate hain jo
clearly defined criteria ko meet karte hain.
Agar aapko is strategy mein koi confusion hai ya aur details
chahiye ho, toh zaroor batayein!
1. Confirmation Points for Entry
 Candlestick Confirmation:
o Aapka entry point tab hona chahiye jab ek bullish
(green) candle cross ke baad close kare.
 Volume Check:
o Momentum ko confirm karne ke liye volume bhi check
karein. Zyada volume hone ka matlab hai ki trend
strong hai.

2. RSI (Optional):
Agar RSI oversold area (30 ke kareeb) se upar ja raha ho, to yeh
additional confirmation dega ke uptrend strong hai.

3. Support Zone:
Agar price ek support level ke kareeb hai aur EMA crossover ho
raha hai, to yeh aur bhi strong signal hoga.

Agar in sab conditions kaafi hain, to yeh setup ek high-probability


trade ho sakta hai. Aapko apne risk management ko bhi follow
karna zaruri hai.
Agar aur analysis chahiye ho ya koi confusion ho, to batayein!

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