Binary Trading

Hi all.looking to communicate with like minded binary traders.
my first post here so be gental with me,
I get up at six 0'clock every morning and chart the high low and closeing price
of the FTSE 100 and DOW then in the evening see if i am close or not,
Sad or what,
Just started keeping a Diary and putting the results in each day and noteing enything
that might have happened that i did'nt see comeing for future ref.
I have developed my own trading system which seems to be working well at the moment
but i have yet to see if it will tell me when the market is about to turn.
So if any of you feel like putting are heads together who knows we might win one.
looking farward to your thoughts.

A tricky bit might be when the market is ranging tightly. You could lose a fair bit before it makes its mind up. Binaries will swing crazily from <50 to >50.

yes your correct on shorter time scales,stick to daily or weekly they move much slower giveing you time to eather get out with some of your money or wait and watch it come back.
If you do your home work first you will know the top and bottom for the day, should it move more than that then sentiment has changed.
you then get out of that trade and stay out or turn it around. But then only if its got plenty of time left to run,thats why i always do the dow jones figures with the FTSE 100 as if the ftse is down at 2 0'clock and my figures show me the dow will be up on the day i would make the decision to stay in or not depending on the dows high.
If not to make a profit at least get my stake back.

That's certainly a smarter way of dealing with things although just because it is higher than yesterday's high, it doesn't mean it's going to rise. Whipsaws, whipsaws everywhere and not a market to trade.

yes your right but at least its slower with dailys where as shorter time frames move much more aggressively.
Like this weeks slugish trading,you had time to cut losses should you have been unfortunate to have got the direction wrong.

Sure. So you'd close if it goes past YH and back within the range?

Yes sort of.Take today my high was 5585 and my low was 5520 at 8.15 the binary was 74 to buy
by 8.30 the ftse was at 5600 and the binary at 94 .
I would have got out at 5585 with 20 points then waited for it to hit my low before getting back in if my closeing price was telling me the market would finish up on the day.
I had to go in to work so couldn't play today, but can you see by playing it to its high or low if its a down day you miss all the sea sawing as it won't affect you like an hourly trader.your better off playing one trade at £10 a point than ten trades at £1 a point as if you do get it wrong that sea sawing then helps you get your stake money back.
My closeing price was 5552 but i see it did'nt make it,finished at 5538 had i been here watching i would have been looking at what the dow was doing before getting back in.
As my targets for the dow was high 10712 low 10602 close 10657 it went down to 10590 i would have seen that there was not the time left in the ftse binary to chance it getting back to my target and would have played the dow instead finishing up at 10663,
I think the one most important think in trading is targets,if you don't know where your going how will you know when you have got there.
Start the day with good targets then if the markets not heading towards eather of them get out as time decay will eat your stake up slowly.
If it touches a target start making some money.
Hope thats a little insight in to how i play.

Hi I have been trading binary options for a while, I dont know if it is the same thing you are talking about though. Based on my experience, Good 5 minute time frame technical indicators can really help you out.

Money management comes also into play since it is a fixed risk investment, you know how much you will make or lose within a trade. planning your risk strategy is crucial IMO when trading binary options.

ibetyou said:

Yes sort of.Take today my high was 5585 and my low was 5520 at 8.15 the binary was 74 to buy
by 8.30 the ftse was at 5600 and the binary at 94 .
I would have got out at 5585 with 20 points then waited for it to hit my low before getting back in if my closeing price was telling me the market would finish up on the day.

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Interesting. Will investigate it, thanks.

Oh, this is something I used to use: http://www.trade2win.com/boards/fix...610-my-binary-scalping-method.html#post388868

Thankyou Shadowninja, had a good look at your ninja hourly trading,intresting that were both doing the same thing just your doing it ten times faster than me and useing much closer targets.
So i conclude that you must have nerves of still.
I have not yet found a consistent way of pin pointing the high and low of hourly trades and get burnt everytime i play them.
Even if i get in on a peak because of the 7 points its cost me to play,it never seems to fall back enough to get into profit, when it does time starts erodeing eny profit i may have earned.
Haveing said that i do enjoy playing them and have to restrict myself from dabbling in them, especially on quite days.
Like you said you make a bit then give it back later,but i seem to give back more than they give me by the end.
So i think i will stick to longer term binarys for now.

Hi Cocoy.jurado.options are the future price of a share or index,your trying to guess what the price of a share or index will be in 3 months time.
Where i'm trying to guess where it will be tomorrow,
Which makes me wonder why your useing 5 minute indicators,but if it works use it.

OOPS
Made a classic mistake today, at about 2.30 i opened the binary buy and sell window as i wanted to see the price,at the same time i was watching the dow charts.
I was thinking of buying the ftse as my target was for the ftse finishing at 5506 but only if i thought the dow would pull it back up in time for the close.
I could see the dow had no energy in it so thought i would play the dow ,as my target was high 10711 low 10609 close 10660 at this time the dow had hit 10614 and riseing
so i jumped on board at 35 oops i'm now in the ftse going down,
I'm hopeing the dow will spike up at 3.00 so i can get out,no such luck,
Do i play an hourly and try to get my money back.no
I'm tired thats why it happened so packing in for today with a lesson learned,
LOOK BEFORE YOU LEEP

I said I USED to use it. It's too stressful for me.

i know what you mean,i started with hourlys and 20 min your high one min then low the next and thats just your stress levels.
Stopped trading and got the books out to see what i was doing wrong,
Just about everything i'd been taught.
I now play dailys with much more success,useing what i've been taught over the years.
It's easy for someone with little trading skills to get carried away with the market movement and jump in forgeting all of the basics of trading untill it starts going wrong.
It's funny how you can see it all so clear after the event.

hehe. Yep. TBH in the end I just decided to learn to trade "properly".

Hi Shadowninja,just watched the vid trader lossing it.i feel for the guy,
I've never had it that bad but have touched on it.
I try to tell myself its just a business exspence but it still hurts.
It's not the money so much it's the getting it wrong that hurts more.
I would never have put myself in that position in the first place.
Still can't help feeling sorry for the guy trouble is you can't help them.

Have a good weekend,i'm going to try and see if i can perdict the close on friday,should be intresting after this fridays move down.
Wish me luck as i think i will need it.

ibetyou said:

Hi Shadowninja,just watched the vid trader lossing it.i feel for the guy,
I've never had it that bad but have touched on it.
I try to tell myself its just a business exspence but it still hurts.
It's not the money so much it's the getting it wrong that hurts more.
I would never have put myself in that position in the first place.
Still can't help feeling sorry for the guy trouble is you can't help them.

Have a good weekend,i'm going to try and see if i can perdict the close on friday,should be intresting after this fridays move down.
Wish me luck as i think i will need it.

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Beyond the question of how you trade binaries, I still can't understand why you'd want to do so, rather than just trade the underlying index, or whatever, with a far tighter effective spread? Yes, you know your maximum win or loss, but isn't that the same for anything else with a stop, possibly allowing for a bit of slippage sometimes.

Yes your correct.
I started out spread betting at first thinking i new everything there was to know about trading having been on a couple of very exspensive courses and read loads of books.
It soon came apparent to me that i new nothing and was forced to stop trading and start learning what i thought i had already learned.
The binary trading came about as away of testing my strategies without to much outlay.
But your right thanks Jack.
With a stop loss in place there is no more risk playing spreads than there is binarys.
I can't belieave i did'nt see that myself.
I can only think that i have been so focused on getting my strategies working i've been closed off of everything else.
Thankyou for opening my eyes, just the sort of thing i joined the forum for.

ibetyou said:

Yes your correct.
I started out spread betting at first thinking i new everything there was to know about trading having been on a couple of very exspensive courses and read loads of books.
It soon came apparent to me that i new nothing and was forced to stop trading and start learning what i thought i had already learned.
The binary trading came about as away of testing my strategies without to much outlay.
But your right thanks Jack.
With a stop loss in place there is no more risk playing spreads than there is binarys.
I can't belieave i did'nt see that myself.
I can only think that i have been so focused on getting my strategies working i've been closed off of everything else.
Thankyou for opening my eyes, just the sort of thing i joined the forum for.

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Don't worry, we all do dumb things at first! When I started about eight years ago, SB platforms and internet connections were unreliable, and the spreads were far wider on most markets, so binaries just about made sense. Now everything (usually) works properly, but I believe there are those (not incurable gamblers) who still trade binaries. I was just hoping that one of them would explain the logic behind it.