The «Ridge» Binary Options Trading Strategy

As their main tool for generating technical signals in binary trading, most investors use multi-indicator strategies which consist of many automatic algorithms that can respond quickly to all market fluctuations. This is a logical and highly efficient approach that makes it possible to assess a wide range of signals and to form on this basis an effective forecast for a contract. Today we offer an overview of the simple multi-indicator “Ridge” strategy, which uses custom professional analysis tools. This system provides an opportunity to achieve more than 85% of your trades with stable expiration results, which gives traders on the binary market a real chance to trade successfully.

 

System tools

The “Ridge” technical approach to assessing trading quotes uses a set of tools that are modern derivatives of classic analysis tools. Against this background, there is a problem when it comes to applying this strategy on standard platforms for binary trading. However, this issue can be easily solved by using the technical resources that are offered to professional traders on the internet. As an effective resource with the set of tools we need and access to liquidity charts of the main assets, we suggest tradingview.com. On this service you can easily form a technical template for the trading strategy and get an opportunity to clearly assess the market movements of quotes of underlying assets that are convenient for trading.

So, to form the chart markup using the tools of the “Ridge” strategy, set on the quotes of the underlying asset with the M1 period the following set of services:

  • The Pivot Boss 4 EMA indicator
  • The MAC-Z VWAP indicator
  • The RSI based on Roc indicator

Thus, the chart will acquire the following functional and informative markup format:

The «Ridge» binary options trading strategy

The next important aspect of the system is the choice of trading platform. In this case, a service with optimal financial conditions for trading, high security, and good technical functionality will be required. We recommend, as both the most productive terminal and a resource for professional trading, the Binomo platform. This market operator offers its partners a terminal with the full set of necessary technical resources for using the system, as well as the most acceptable financial trading conditions – an account from $10 and the starting cost of options at $1.

 

Trading rules

To conclude trades UP, you will need to identify on the chart the following set of tool signals:

  • The RSI based on Roc indicator builds a stable upward trend
  • The MAC-Z VWAP indicator – the axial level is intersected by the moving averages of the oscillator upwards
  • The Pivot Boss 4 EMA indicator – the service’s technical lines intersect in an ascending direction

Trading rules

Having received the specified format and sequence of system signals, immediately open a trade UP on the trading platform:

Binary options trading rules

To conclude trades DOWN, you will need to identify on the chart the following set of tool signals:

  • The RSI based on Roc indicator builds a stable downward trend
  • The MAC-Z VWAP indicator – the axial level is intersected by the moving averages of the oscillator downwards
  • The Pivot Boss 4 EMA indicator – the service’s technical lines intersect in a descending direction

Trading rules

Having received the specified format and sequence of system signals, immediately open a trade DOWN on the trading platform:

 open a trade DOWN on the trading platform

 

Expiration

To determine the most effective range of contract expiration, you need to study the history of market fluctuations, which can be done while testing the system. We offer you a universal expiry indicator for trading on a minute chart and an asset with average price volatility. In this case, the most effective contract is an option with an expiration in the range of 5 minutes – 10 minutes.

 

Money management

To ensure that any negative indicators of mathematical expectations of profit, which are present in any strategy, do not lead to a loss of capital, it is recommended that trading contracts be used with a risk limitation of 5% of the amount of operational funds or you should use trades of the initial cost of $1. This way you will achieve the safest and most effective trading mode.


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