A simple 60 seconds strategy
In this article I am going to introduce you and explain you a simple 60 seconds binary options strategy that I use when I want to take 60 seconds trades. The steps of this strategy are really simple.The only indicator I use is a volume spread analysis indicator and nothing more for indicators.I use also the engulfing candlestick pattern. About these two things (VSA and engulfing) I described them in previous articles but I will give you a brief summary.
-Red: High volume in a bearish candle, the investors are selling heavily
-Green: High volume in a bullish candle, the investors are buying heavily
-Buying climax at tops means a possible down movement of the market
-Selling climax at bottoms means a possible up movement of the market
-Bullish: After a reversal the new bullish candle engulf the previous bearish candle
-Bearish: After a reversal the new bearish candle engulfs the previous bullish candle
Now look at the screen shots.In this binary options chart there are three ITM setups in the rectangles.The setups are after a reversal in a resistance or a support. In the reversal we have engulfing patterns and in the volume the new bearish candle has more volume than the previous bullish candle. If these two things will happen (englufing, more volume in the revrsal candle) it’s very possible the next candle to close below the reversal bar. We are working in 1min chart and the expiry of the trades is 1 minute (60 seconds).
We have the same situation in this chart. Engulfing patterns near a support or a resistance and the reversal bearish candle has more volume than the previous bullish candle.
Some things to avoid:
-If in the reversal we will have an engulfing pattern with buying or selling climax (green or red bar in the volume) it’s better to not take this trade.
– If we will have strong volume and buiyng or selling climax in the resistance or the support it’s better to not take a 60 seconds trade because tha market maybe will move unpredictable
– I prefer reversals without buying and selling climax
– Don’t overtrade and don’t martingale
60 seconds trades in Binary Options are sure risky because it’s very difficult to predict the price for one minute. It’s not for newbies.
This setup above can give you solid trades if you follow the rules because it’s about human psycology with the volume and the price action but it’s still risky.