60 seconds binary options: strategies.
The 60 second binary options strategies are certainly among the most convenient in terms of profits, there are no tricks. By investing in this type of binary options, in fact, it is possible to earn up to 75% of the invested capital; a profit that can be achieved in just 60 seconds, which makes this investment one of the most profitable binary options .
On the other hand, managing trading with 60 seconds binary options strategies for some people can be more complex than managing other deadlines, because the market is much more volatile and, in some cases, unpredictable. Fortunately, however, we can use different 60 second binary options trading strategies , which help us better manage the risk factor. Furthermore, as we will see later, we can apply 60 seconds binary options strategies with the MACD indicator or also with the RSI , as well as with the widely used Moving Averages.
Many traders love binary trading with 60 seconds binary options. This is a very fast trading style since it allows you to know the result of the operation after only 60 seconds! Recall that binary options are available only for professional traders and not for retail traders for the new ESMA regulation.
60 seconds binary options: trading patterns.
Supports and resistances.
The first strategy that we bring to your attention is based on supports and resistances , applied to the investment in 60 seconds binary options .
For those who do not know what we are talking about, we can say (briefly) that the supports and resistances are equivalent to important price levels. The more times the price has reached these levels without going further (which in jargon would be the so-called “breakout”), the more such supports and resistances can be considered reliable.
By resistance, we mean a level around which the price has stopped its rise . For example, if the price of a share is worth € 40, then it enters an upward phase, but stops at € 43 and then falls back downwards, then the € 43 value is considered a resistance level. This is because prices reached a new highest level (43), but the strength of the upward trend was not enough to push the price further. By support, we mean a level around which the price has stopped its fall . For example, if the price of a share is worth € 36, then it enters a downward phase, but stops at € 32 and then goes back upwards, then the € 32 value is considered a support level. This is because prices have reached a new lowest level (32), but the strength of the bearish trend has not been enough to push the price further down.
Back to our 60 seconds binary options strategy: we must first set the timeframe of the chart in M1 . In this way the periods taken into consideration (i.e. the candles on the chart) will have a duration of 1 minute. Once this is done, let’s move on to tracing the supports and resistances.
As you can see from the graph, we have identified a resistance that has prevented the price from exceeding this level several times. Remember that in order to be drawn on the chart, a resistance must take into consideration at least two maximum levels; conversely, to be drawn on the graph, a support must take into account at least two minimums.
As you can clearly see from the graph, every time the price reached and touched the resistance, it “bounced” against the resistance , and then it went down again. In such cases it is good to invest with a 60 seconds binary option of type “ PUT ” (often also called “Low”): you wait for the price to touch the resistance, and for the new candle to open below the resistance, then you invests in the “put” binary option.
Waiting for the new candle to open can give us greater confidence in the outcome of our operation: in fact, rather than bouncing against the resistance, it is possible that it will continue to rise, overcoming the resistance. In such a case, you need to invest with a 60 seconds binary options of type “ CALL ” (often also called “High”). Once the price manages to overcome resistance, it is very likely that it will go back below (if the uptrend is not strong enough).
The same can be said for support levels . Only that, in this case, we should do the opposite. If the prices touch a support level, one has to invest (waiting for the opening of the next candle) using the binary option named Call, because the price (theoretically) should bounce on the support and go up again. If, on the other hand, the price continues to fall, it means that the support has been broken: in such cases, it is necessary to invest in binary option named Put.
60 seconds binary options – trend line: how to draw a trend line.
Knowing how to identify a trend in a financial chart is one of the fundamental steps that every trader must take: to obtain considerable profits it is always good to follow the current trend ; investing against trends can lead to serious losses, especially with 60 seconds binary options.
By trend we mean the price trend of a certain asset (shares, stock indices, currency pairs, commodities). There are only three types of trends:
Bullish trend : prices rise, registering highs and lows. Bearish trend : prices decrease, registering decreasing highs and lows. Lateral trend : prices move within a specific price range, without being in an uptrend or a downtrend.
As we can see from the chart above, to recognize and identify a trend on a chart, there is a need to draw the so-called “trend lines” . To draw a trend line, it is a good idea to always use at least two maximums or two minimums: the higher the maximum or minimum used, the more stable and reliable the current trend will be.
In a bullish uptrend (uptrend on the chart) , the trend line must always be drawn below the price trend; In a bearish trend (downtrend on the chart) , the trend line must instead always be drawn above the price trend; In the case of a lateral trend (no trend on the chart) , the trend line must be drawn both below and above the price trend (creating a real range in which prices will move).
Through the trendlines we can thus understand in which trend the prices are : if it is a bullish trend, it means that it is better to invest with 60 seconds binary options named Call, because the general direction (or trend) of prices is to go up; conversely, in the event of a bearish trend, it is better to invest with 60 seconds binary options named Put, because the general direction (or trend) of prices is to go down.
If, on the other hand, we are in a lateral trend, we can invest whenever the prices touch the lower trend line or the upper trend line . If prices hit the lower trendline, a rise is expected, so you will have to choose the 60 seconds binary option named Call. If prices hit the upper trend line, a decline is expected, so you will have to choose the 60 seconds binary option named Put. This is because prices tend to “bounce” between the upper and lower trend lines when they are in a lateral trend.
Considering the high volatility and unpredictability of price movements with a timeframe of only 60 seconds, it is good to draw the trend lines using a chart with a timeframe of 5 minutes. In this way, you can get a broader view of the price movements. Therefore, keep a 5-minute timeframe chart open on one page to draw trends on and a 1-minute timeframe chart on another page to make your investment decisions (call or put option).
As with everything, we recommend experimenting the strategy first with the demo account offered by the best binary options brokers to practice and get familiar with it before investing with real money.
60 seconds binary options and RSI.
With this 60 seconds binary options trading strategy, we are going to use the RSI oscillator . Through this technical analysis tool it is possible to recognize the phases of overbought and oversold. More precisely:
Overbought Phase : We are in an overbought phase when the value of the RSI oscillator is above 70. An overbought phase occurs when an increasing number of investors buy a given asset, raising the price beyond its normal value. When prices are in an overbought phase, it means that they are at the end of a bullish trend and will soon start to fall. Oversold Phase : We are in an oversold phase when the value of the RSI oscillator is below 30. An oversold phase occurs when an increasing number of investors sell a certain asset, causing the price to fall below the its normal value. When prices are in an oversold phase, it means that they are at the end of a bearish trend and will soon start to rise again.
As you can see from the chart above, the value lines 70 and 30 for the RSI are drawn below the price chart ; the line that oscillates between the two lines is the RSI oscillator. When the oscillator comes out of the upper line, we are in an overbought phase; when, on the other hand, the oscillator comes out of the bottom line, we are in an oversold phase.
We remind that some traders prefer to set the RSI values ​​to 80 for the upper line and 20 for the lower line . By doing so, you certainly get fewer signals, but the ones you receive are even more reliable.
To take advantage of this strategy, it is necessary to set this oscillator on 5 periods and then use the investment signal that the oscillator suggests to us :
Purchase of Put 60 seconds binary options : they are purchased when the RSI oscillator rises above level 70.
To be more precise, you have to wait for the RSI oscillator (once it has risen above 70) to drop below the 70 line again . In fact, when the RSI cuts the 70 line upwards, prices usually continue to increase for a short time, until they start to fall. Therefore it is good to wait for confirmation from the RSI oscillator , which occurs when the RSI returns below the 70 line : this is the moment when you should invest with a Put 60 second binary option.
Purchase of Call 60 seconds binary options : you buy binary call options when the RSI falls below level 30.
Again, opposite to the previous one, you have to wait for the RSI oscillator (after falling below the 30 level) to rise above the 30 level . This is the best time to invest with a Call 60 seconds binary option. It means that the bearish trend has ended, prices have come out of the oversold phase and traders are starting to buy again (so this turns into a rise on the price chart)
In the chart below you can see the points where buy and sell signals are created.
As you can see, the important thing is that the RSI oscillator reaches (touching) the levels of 30 and 70 ; if he then it cuts them, falling below or rising above, then the trading signal will be even stronger and more reliable.
60 seconds binary options trading with Moving Averages.
Moving averages are probably the most used trading indicator by traders around the world: the moving average is present in practically every professional trader’s chart . It is one of the most important technical analysis tools, which is used both alone and in combination with other indicators and oscillators of technical analysis.
Basically, two kinds of moving averages are used:
Simple moving average : The data of a given period are taken and the average is calculated by adding them together and dividing by the total number of values. Exponential moving average : The only downside that some traders criticize for the simple moving average is that it assigns the same importance to every single data. This means that the data from the last session has the same weight and importance as the data from the first session. For this reason, the exponential moving average has been introduced. With the exponential moving average a different weight is given to the various prices, a greater weight to the most recent ones and a lesser weight to the older ones, which leads many to define it as an exponential weighted moving average.
Regardless of the moving average you want to use, their functioning is the same.
As you can see from the example above, a moving average was used with a period set at 21 (i.e. the number of trading sessions, that is the candles on the chart, which are taken into consideration to calculate and draw the average).
Of course, you can change the moving average period . The period should always be adapted according to the timeframe of the chart: a moving average with 9 periods, for example, is good for short-term trading (therefore with graphs with timeframes up to 1h). If you want to use a higher timeframe, such as 1 day, you will have to choose a moving average with a period set at 21.
You should always remember that:
By increasing the period taken into consideration , the moving average loses “sensitivity”: it means that it follows price movements more slowly. This means that you will receive fewer trading signals, but they will certainly be more reliable. By decreasing the period taken into consideration , the moving average becomes much more sensitive: it means that it follows the movement of prices faster. Therefore you will receive many more trading signals, which however risk being not very reliable and therefore misleading you.
The moving average always follows the price trend and is drawn on the chart itself:
In a bearish trend, the moving average is above the prices, functioning as a kind of resistance . In a bullish trend, the moving average is below the prices, functioning as a kind of support.
As for the trading signals to operate with 60 seconds binary options , one must check the intersections that occur between prices and the moving average.
When prices cut downwards (that is, moving from above to below) the moving average, we have a bearish signal. In this case you have to invest with a Put 60 seconds binary option. When prices cut upwards (that is, moving from below to above) the moving average, we have a bullish signal. In this case you have to invest with a Call 60 seconds binary option.
Advice on winning binary options strategies 60 seconds.
These listed above are some of the best 60 seconds binary options strategies. If you want, you can also use more than one strategy at the same time , to strengthen the reliability of the trading signals you will receive.
Always remember that 60 seconds binary options have a really very short expiration, so it is good to invest with caution : if you have never traded binary options before, it is good to start with binary options with longer expirations, as they are less risky. In addition, always start trading with a demo account to test your strategies and to practice : in this way you will never put your capital at risk.
Yes, of course. You can apply 60 seconds binary options strategies with the MACD indicator or even with the RSI, as well as with the widely used Moving Averages.
Starting from 2018, only professional traders can trade binary options within the European Economic Area (EEA). Retail traders can no longer trade binary options.
In our opinion, the best binary options broker is IQ Option, a European broker based in Cyprus and regulated by CySEC.