The «Blast» Options Trading Strategy
Effective market analysis is the main tool for making a profit from trading on the binary market. To assess prices and form signals, traders apply the most diverse approaches and tools to form trading systems. We recommend “Blast” as a highly effective options trading strategy. This technical approach to generating forecasts for the financial market provides ample opportunities and a simple mode of assessing price quotes. When using the tools and rules of the system, you will be able to extremely stably achieve up to 87% of trades with a productive expiration, which will lead to a dynamic increase in the amount of funds in your trading account.
Trading system tools
So, the template for assessing and forecasting the market for the “Blast” strategy consists of three high-tech components that are custom derivatives of standard oscillators and trend indicators. To make it possible to generate trading forecasts, apply the following technical components to the operating chart:
- The SM_Guppy_EMA indicator – this combined service allows you to assess the widest possible market range and set of technical indicators of the market. This tool is based on the use of a whole set of moving averages with frequencies of 3 to 60 candles. At the same time, a complex algorithm for constructing and calculating indicator lines makes it possible to obtain a large set of information on the development of technical trends in market movement.
- The DeMarker indicator – this service is derived from the standard RSI trend tool, which has a more complex calculation formula. The service is used in the system as a tool for determining medium-term general market trends of price fluctuations. This maximizes the quality and accuracy of trading forecasts.
- The WaveTrend indicator – we added this oscillator as a strategy component for generating accurate signals. The thing is that tools with this type of functionality and forecast generation parameters generate high accuracy signals and allow traders to open positions in favorable conditions. In addition, oscillators are excellent filters, which allows you to achieve maximum efficiency for the system
There is a certain issue concerning the strategy which is related to access to the specified set of analysis tools. These services are now available only on professional specialized services which traders use as technical resources for analysis. As the most effective, free, and professional service, we suggest using tradingview.com. Here you can discover a diverse and wide range of analysis tools and accurate charts of underlying assets.
When applying the set of strategy analysis tools to the price quotes, you will receive the following technical markup:
The trading platform for the strategy
In order to register contracts on the system signals, we will need a terminal for options trading. To select the optimal service, you need to pay attention to the financial parameters and the technical side of the platform. As an ideal option, we suggest studying the trading conditions on the Binomo resource. The Binomo broker offers its partners the following terms and technical parameters for their terminal:
- A trading account from 10 USD
- The minimum contract amount is 1 USD
- The quotes of 80 financial assets
- High-speed contract registration – 1.7 ms
- Market forecasting services
- Non-stop trading format
- Convenient options configuration functionality
- Extremely quick profit monetization
These services and terminal functions create the most optimal set for effective use of the trading system.
The following set of signals operates for Call options:
- The CM_Guppy_EMA moving averages with a narrow range of construction intersect the beam of medium-term lines upwards, while the latter change their color to green
- The DeMarker pushes away from the technical level of oversold and forms a trend upwards
- The lines of the WaveTrend oscillator intersect with the axial level of the scale upwards
The following set of signals operates for PUT options:
- The CM_Guppy_EMA moving averages with a narrow range of construction intersect the beam of medium-term lines downwards, while the latter change their color to red
- The DeMarker pushes away from the technical level of overbought and forms a trend downwards
- The lines of the WaveTrend oscillator intersect with the axial level of the scale downwards
Expiration and money management
- To calculate an effective range of trade maturity, take into account the market valuation period (timeframe). We recommend working on the M1 chart, and in this case use options for 5 minutes or 15 minutes.
- For effective money management, we recommend using trades with a risk level of 5% of the volume of your trading funds. If your account has the minimum financial parameters, then use contracts worth $1.