› ‘Range Market Binary’ trading strategy.

‘Range Market Binary’ trading strategy.

Not so many trading strategies are multipurpose. ‘Range Market Binary’ trading strategy is one of the rare techniques, allowing not only trading on binary options but also using it in scalping and intraday trading.

‘Range Market Binary’ is quite a simple method based on standard technical indicators: Stochastic Oscillator and Parabolic Sar. The strategy can be used for different market conditions as well as several trading approaches.

This trading system is suitable for any currency pair. The only requirement for the asset to trade on is the minimal spread, which is crucial for the scalping profitability. The best timeframes are M1 and M5. The most efficient binary options expiration term is 5 candles. It is always important to choose the right time for profitable trading due to the different volume and volatility periods. London and New York trading sessions are the most suitable periods for the ‘Range Market Binary’ system.

Risk management warning: the lot size or the option volume has to be chosen with consideration of the key money management rule - not to exceed 2-5% of your account balance in one single deal.

The settings for the indicators listed above have to be changed to ‘5,5,5, close’ for the Stochastic Oscillator with oversold and overbought levels at 25 and 75 respectively. Parabolic Sar parameters have to be set to 0.04, 0.1.

In case if you use the MT4 trading terminal, you should install indicators and the system template:

Unpack the archive with templates and indicators;
Copy the indicators and paste them in MQL4 - Indicators folder;
The templates have to be pasted in the appropriate folder;
Reload the terminal;
Open the chart of any currency pair chosen;
Install the template with the name ‘Range Market Binary Strategy’.

Trading signals to buy the CALL option are as follows:

Both lines of the Stochastic Oscillator cross the 25 level from downside up;
Parabolic Sar indicator’s dots are above the current price.

‘Range Market Binary’ trading strategy.


Trading signals to buy the PUT option are as follows:

Both lines of the Stochastic Oscillator cross the 75 level from upside down;
Parabolic Sar indicator’s dots are below the current price.

Traders can keep buying options in the same way until the price broke through a local bottom/top depending on the trend direction.

‘Range Market Binary’ trading strategy has simple rules which would not cause any difficulties even for beginners.

Experienced traders can update the settings of indicators in order to increase the method’s efficiency and functionality.

It is recommended to open deals with accordance to the general trend which can be determined on longer timeframes.


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