adx Binary Options 2020

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ADX EMA 60 Seconds Strategy for Binary Options

60 Seconds Strategy – Quick and effective trading

I am well aware that many of you expect the fastest possible results and real profits from transactions on Binary Options. So I prepared a brief description of a strategy, which I find not only very effective, but also simple to use. It is based on the combination of two standard indicators available in each analytical program – ADX and EMA. We recommend uTrader, which is a regulated broker in the EU, and has an accounts in many local currencies.

ADX EMA strategy

To use this strategy we will use price charts with a one-minute time frame. The expiration time of the operation as the name suggests will be 60 seconds. As I just mentioned, we use two indicators here:

ADX

ADX (Average Directional Movement Index) – average directional index of movement. This is a standard indicator for the MetaTrader 4 platform. The default period for the indicator is 14 candles (in our strategy it will be 5 candles). The period is working, because the more investors see the signals, the better because of the accumulation of purchasing power.

ADX alone verifies only the occurrence of a trend when it exceeds the value of “20” and continues to rise and the strength of the trend. This is complemented by two additional lines – + DI (line of bullish movement) and -DI (line of bearish movement). Thanks to them, we receive confirmation of input or exit signals.

Settings for ADX indicator Change colours of lines

Moving Average

Moving Average – in our case, 28 periods. If we used only this indicator, closing or opening positions would occur at the moment of crossing the Exponential Moving Average by price.

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Settings for Exponential Moving Average 28

CALL OPTION – GROWTH

In the case of a 60 second ADX EMA strategy we decide to open CALL option,when :

  • the green ADX line is located above the red line
  • price crosses and is above EMA 28
  • the body of the signal candle presents an upward trend
  • the signal is even stronger when the candle preceding the signal candle also has a bullish body

Price crosses the moving average, the green line ADX is above the red line, while the body of the signal is bullish.

PUT OPTIONS – FALL

In the case of the 60-second ADX EMA strategy, we decide to open the PUT option when:

  • the red ADX line is above the green line
  • price crosses and is below EMA 28
  • the body of the signal candle presents a downward trend
  • the signal is even stronger when the candle preceding the signal candle also has a bearish body

The price crosses the moving average, the red line is above the green, and the signal candle body is bearish

The chart below shows some examples of bets on GBP/USD M1 :

The first three strong signals – all the assumptions are met. The last signal is weak – because the candle that precedes the signal hasn’t bearish but bullish body.

Based on: https://www.binaryoptionsdaily.com

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web about the best option IQ strategy, how to use indicators, combine indicators, use line strategies, tie momentum, choose the best trends and trading robots. This blog also discusses forex, binary, iq options, bimono, olimp trade.

The Secret to Optimizing SAR With ADX

You may have heard an indicator called Parabolic SAR. Right?
This time, I will try to review trading tricks using SAR and combine them with an indicator called ADX. Okay without needing to drag on, let’s just start.

5 Common Beginner Trader Mistakes in Binary Options

SAR stands for “stop and reverse” and is a trend following indicator designed to recognize “turning points” in price movements.
Parabolic SAR can be used for:

– Recognize trends
– Entry and exit strategies
– Trailing stop

Parabolic SAR is seen as a series of points seen above or below the price. When the trend tends to go up, these points are under price movements. Conversely, when trends tend to fall, these points are above price movements. These points follow price movements until one day the trend begins to change.

When a trend is almost over, usually the parabolic SAR moves stable near the price until the price touches the SAR point. Then the SAR point starts to form on the other side of the price movement. That is an early indication that prices are likely to change direction.

The following is a chart image with parabolic SAR that is used to identify trends.

Label 1 is when SAR starts to form below the price. This is an early indication that the price is likely to reverse direction.

Label 2 is when SAR starts to follow the upward movement.

THIS “TIME IS MONEY . ” BEST TIME FOR TRADING

The example image below is the opposite of the example above. When prices go up, then change direction to go down.

We can also use SAR as a trailing stop, that is, by moving the SL level above the last SAR point (if prices go down) or below the last SAR point that appears (if prices go up).

Combine SAR with other indicators
Parabolic SAR can be combined with many indicators. However, remember that in principle the SAR function is to identify trends and identify possible changes in price direction.

Given that SAR is a trend following indicator, SAR should be combined with indicators that can provide information about “STRENGTH trend”. It is better not to combine SAR with other trend DIRECTION indicators (for example: MA, Bollinger Band, etc.), because it will only give the same output, namely the direction of the trend. Even though the intention of combining indicators is to look for signal confirmation.

One indicator commonly combined with SAR is the Average Directional Index (ADX). This indicator can measure whether a trend is strong or weak. If the ADX reading shows that the trend is weak then prices tend to move sideways.

Then how to combine SAR with ADX?

Here it is “the secret”. ��
If the ADX value is seen to be between 0-25, then the trend is considered weak and prices will usually move sideways (ranging). If ADX is read above 25, then the trend is considered to be quite strong.

If the ADX value is above 30, then the trend is considered even stronger and this is the ideal condition to be combined with SAR.

But be careful. If the ADX reading reaches 50 or more, there is a possibility that the price will stop rallying, there is even a possibility that it will change direction. So be careful if the ADX reading becomes too strong.

In the following figure, ADX is seen below 25. This means that the trend is fairly weak and there is a considerable risk if we force to open a position with ADX and SAR. Note that prices move around and in these conditions it is not recommended to open positions based on SAR.

In the next picture I will give an example where ADX is above 25. Note that the market is trending and this is a good condition for trading using SAR.

If you want to try using this system, then I recommend starting with the default settings for SAR or ADX. I also suggest to try it in a rather long period of time. If using a backtest, it is recommended to use data for at least the last 1 or 2 years.

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ADX BB Strong Trend Strategy

Description :

The ADX BB Strong Trend Strategy : is a trend strategy based on Bollinger Band and ADX indicators to help you find a strong trend entry points with the direction of the trend and for expiration time 5 minutes to 15 minutes.

TimeFrame: 1 minute.
Expiry Time: 5 minutes to 15 minutes.
Pairs: Any pair.

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