moving average strategy

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The strategy is based on moving average trading. It can be tracked in the MT4 program.

Consider an example of working with the MT4 program. You can download it from In practice, asset prices converge with most binary options brokers, only in some there are completely insignificant differences by a few points, and in others the prices are the same.

Moreover, it should be understood that all brokers have their own price levels, this should be borne in mind so as not to fly into a tidy sum.

You need to check all the charts in advance before placing a bet.

In the MT4 program, the moving average is a simple Moving Averages indicator. We select the period (timeframe) according to what time intervals we work on.

For example, we work on a time schedule at this broker in 30 min. with a pair of EUR/USD (euro/dollar).

What are we doing? It is necessary that there was a trend and the price moved - up or way down.

If the trend starts moving up, the price rises and becomes above the moving average line, if the price falls, on the contrary, then it becomes below the moving average accordingly.

You can bet as soon as the price breaks through the moving average - either up or down, and before the breaking candle there must be another candle of the same color and NOT touching the moving average itself, so a bet is placed in the direction of the breakout.

Why is the strategy based on moving averages and not just one moving average? Because usually when analyzing it is impossible to be limited to only one time chart.

There may be one chart, but if you trade only using moving averages alone (which is not recommended), you need to impose, for example, on a 15-minute chart. pieces 3 - 4 sliding with different time periods, in order to protect against possible losses and make a forecast as accurately as possible.

Read also - How not to drain the entire deposit at once on binary options?

For example, let's trade for 30 minutes. chart and check in the MT4 program for 15 minutes. timeframe with three moving averages loaded, with periods of 15, 30 and 45. on top of each other.

Here we are already looking, in order to buy a fall option, the price needs to break through all 3 moving averages down, all 3 - which means that the price will move down for a long time, just in time. When it goes up, it's the other way around.

For example, the chart of the EUR/USD pair using Japanese candlesticks is 15 minutes, with three indicators of moving averages for 15, 30 and 45 periods.

moving average strategy

Here we can clearly see that as soon as the last Up line is broken, you can make a short-term bet in this direction. Why short term? Well, this is a 15 timeframe, and bets are made within these limits: 15 - 30, preferably no more, since there is a risk, or switch to a longer chart - 30 minutes, 1 hour, etc.

Moving averages can also be checked on this site

Moving Average Strategy 1

It is necessary that on all timeframes there is either Buy, or Sell. Even if a different value appears on one of them, it is better to refrain from betting and act according to other rules, since everything may change soon and in case of haste, the price will move not in our favor.

In the case of these values on this chart, it would be best to bet only NZD/USD, USD/CHF and EUR/GBR down.

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