What are 5 Minute Options?
Trading on a five-minute expiration period is especially popular with traders. It is also characterized as the “golden” middle of trading, which will help minimize risks and give good profits. In general, all expirations of up to 15 minutes are common in the derivatives market. This is an opportunity to make quick money, trading is effective, effective, in general, with the right approach, it allows you to avoid risks and loss.
The expiration of “5 minutes” will allow you to make a large number of transactions during the day and get a good income, which is more often available when trading for a week. Strategies with the expiration of options “5 minutes” are the best option for novice traders who are just starting their acquaintance with trading. The main advantage of such expiration is that it works with all assets, in any market situation. Often, quite rightly, the expiration of “5 minutes” is referred to as scalping, because With a short time, there are a lot of entries into transactions.
Advantages of “5 minutes” expiration in trading
- The possibility of quick earnings
- The possibility of an unlimited number of transactions during the day, which will guarantee unlimited income
- Ease of trading and clarity of work, which can be easily mastered by a novice trader
- The ability to rely on indicators that will become reliable filters for detecting false signals
- Since trading takes place over a short period of time, the price behavior will not be so sharp and uncertain; On the contrary, the price is characterized by stable dynamics
- By applying 5 Minute options trading strategies, you can achieve a good result.
Binary Options Strategy on Trend Lines
As you know, the trend shows the current state of the market. It is easy to determine the movement of the market, you do not need to study the market algorithms. And yet, in order to have a good income in options, you need to be able to determine trends, that is, the dynamics of the market using support and resistance lines.
- The support line is used to connect all price lows on the chart; This is the minimum price limit below which sellers are “unwilling” to trade an asset. The support level depends on the trend and is directed up or down, the asset chart, as a rule, touches this line.
- The resistance level is used to connect the tops (peaks) of the price trend, which, having reached the maximum, repels and continues to move in the opposite direction.
It is important for a trader to be able to correctly find entry points to the market. Depending on the price dynamics, and, accordingly, the placement of support and resistance lines, there are three types of market trend:
- bullish (i.e. upward) – when the price is directed upwards
- bullish bearish (i.e. downward) – when the price is directed downwards
- Bullish channel trend (or in other words, flat) – when the price does not have a clear trend.
These points can be determined in many ways, but one of the most effective strategies in this case is to trade binary options with the trend. This is a simple and effective strategy, which is referred to as non-indicator (that is, indicators are not needed for its operation). To make a decision, you will need the data of the resistance support lines. The signal is the moment of rebound from the trend line on time intervals (timeframes).
The strategy is highly effective, shows an increase in the deposit in a short time. This strategy can be applied to all assets and at any expirations, starting from 60 seconds. It is recommended to use it with an expiration of “5 minutes”, which will reduce the number of false signals and increase profit per session.
How to trade with a strategy
You should buy an option when the price bounces off the support line.
First, you should choose the type of asset.
Then determine which expiration you will use, we recommend choosing 5 minutes.
The next step is to determine the price dynamics at the intervals above (M5, M15, M30).
Trades must be made in the direction of the trend.
The strategy is suitable for all types of binary options, but it is better to choose currency pairs.
Buy for a fall
A trade must be opened when the chart is based on the resistance line.
It is worth waiting for the price to touch the trend line and move in the direction of the main price movement of at least 5 points.
Now you can open a deal.
Note. Binary trend strategies are based on the fact that trades are opened only in the direction of the main direction. So, when determining the price dynamics on a 1-hour segment, transactions will be opened only in the direction of the main direction of the price and with a 5-minute expiration.
How to draw a trend line
Open a live chart to analyze binary options.
Next, you need to click on the line in the left corner. You will see a menu with different trend lines. In our strategy, we need a trend line.
To make it on the chart, drag it with the mouse.
Then, you can adjust the position of the lines on all time formats of the chart.
Outcomes
The results of the strategy are characterized by high income, stable, as can be seen in the image below.
In this case, the trader opened trades only in one direction, which was determined by the strategy, on the hourly chart. The trend strategy allows you to trade on several assets at the same time. With the right direction, you can catch and take advantage of a wave of positive trades. If the trend is determined incorrectly, everything becomes clear on the first negative trade.
Binary options trading “5 minutes” with the broker FiNMAX
For productive trading of express options, we recommend choosing a reliable broker FiNMAX. The broker offers its users advanced features for working with binary options: the choice of expiration from 30 seconds to six months, a set of indicators (the broker plans to increase it), types of charts, detailed analytics, a convenient personal account, transaction history, training materials.
Also, for the most comfortable work, you can use the mobile version of the platform in order to trade anywhere, anytime. You can see what the terminal workspace looks like in the image below. Explore the broker’s capabilities by going to the finmaxbo.com website.
A detailed review of the FiNMAX broker is here.
Go to the official website of the FiNMAX broker here.
To buy an express CALL option in the Finmax trading terminal, you need to do the following:
1. Go to the broker’s website finmaxbo.com and prepare an option, indicating:
2. Type of asset
3. Expiration
4. Bet size
5. Forecast of quote movement: UP
6. Click the “buy” button and follow the results.
To buy an express PCI option in the Finmax trading terminal, you need to do the following:
1. Go to the broker’s website finmaxbo.com and prepare an option, indicating:
2. Type of asset
3. Expiration
4. Bet size
5. Forecast of quote movement: DOWN
6. Click the “buy” button and follow the results.
FiNMAX broker bonuses up to 100%
The official FiNMAX website offers many lucrative promotions and special offers to its users, which you can get acquainted with here. Promotions and bonuses make binary options trading with a broker much more effective.
Tournament on demo accounts from FiNMAX
Free tournaments of the official FiNMAX website are held for those traders who have a demo account on the broker’s platform. The tournament is organized with the aim of supporting talented market players, giving them the opportunity to receive prize money for further trading without replenishing the deposit. So, the broker makes trading possible without personal investment. The main condition for participation in the tournament is the availability of a demo account. Both options beginners and professionals can participate in the event.
Take part in the FiNMAX tournament
Tagged with: 60 Seconds Option Strategy • Binary Options Strategy
