With
Binary Options Strategy
“Three Indians” is a simple system that makes trading much more effective. To do this, you do not need special theoretical knowledge, only attentiveness and a desire to make money on online trading.
The advantage of this technique is that it is a classic of technical analysis, a strategy that appeared in trading one of the first and today is considered to be a profitable toolfor a professional trader
. In the market, it is known as “Three Touches”, “Three Indians”. A variant of the name “Three Indians” was given to the strategy by the famous trader Linda Raschke (in her book “Exchange Secrets”).
Features of the “Three Indians” strategy
- The binary strategy is non-indicator, you do not need indicators to search for
signals
, only the MetaTrader 4 trading terminal (
download
) and a price chart. - It is multicurrency, suitable even for unprepared market participants who are just mastering the possibilities of trading binary options.
- Working according to the strategy, it is necessary to find three points on the price chart that are located on the same line, these are trend lines. To do this, you must draw a line on the chart at two trend points, when the line touches the third point, you can enter the market with the trend.
Types of figures of the “Three Indians” strategy
- Bullish model – suggests that the entry into the market will take place in an upward trend, it is worth buying call options (up),
- Bearish pattern – suggests that the entry into the market will take place in a downward trend, it is worth buying PUT options (down).
Quality criteria for signal search
If you draw all the lines on three points, then there will be a lot of them on your price chart. You need to be able to filter them in order to work with effective signals, based on the following recommendations:
- Choose the right timeframe. For strategy trading, it is better to use intervals from M30 (30 minutes), but up to W1 (1 week), for example,
daily trading
. At large time intervals, you can forget about the third touch, high-speed trading up to M30 is also not suitable (we are talking, for example, about trading with timeframes of
60 seconds
or
5 minutes
), because in this case it will be difficult for you to have time to notice the signals and place a bet on time. - Trade with the trend.
- Choose the shape of the “arches” on the price chart. It is better to work with situations where touches will resemble a hairpin, as if the price pierces the trend line and returns to its original position. This design of the figure will increase the results of trading.
- Draw a trend line from the outside. The trend line should not intersect with the price.
Buying a CALL option
To buy CALL binary options (up), you need to find an uptrend on the chart, which will be indicated by consistently growing lows. At the same time, you can easily draw a trend line through 1 and 2 points. The best time to buy a CALL option would be to start forming a third point and touching the trend line for the third time.
To confirm the market trend, you can add
the reliable Stochastic
indicator (settings: 9, 6, 3). After touching the trend line for the third time, it should be in the oversold zone.
Buying a PCI option
To buy PUT binary options (down), you need to find a downtrend on the chart, which will be indicated by successively falling highs. You can also easily draw a trend line through 1, 2, and 3 points. At the same time, Stochastic should be in the overbought zone.
The “Three Indians” strategy at the Binomo broker
In order for your trading to bring you a good income, it is worth working in a reliable trading terminal of a trusted broker, for example, the Binomo binary broker platform. Among the advantages of the company: a functional terminal, advanced customization options (chart types, adding indicators, the possibility of convenient mobile trading, a large selection of options, expiration dates, etc.), convenient withdrawal and deposit of funds, a large number of promotions and bonuses – all this makes binary options trading with Binomo much more profitable. Get to know the reviews of real traders about Binomo, as well as take part in an active discussion of traders here.
A detailed review of the Binomo broker is here.
Go to the official website of the Binomo broker here.
In order to buy a
CALL
option in the Binomo trading terminal, follow these steps by going to the binomo.com website and preparing the option, indicating:
- Type of asset
- Expiration
- The size of the bet
- Forecast of quote movement: UP
- Click the “buy” button and follow the results.
In order to buy
a PCI
option in the Binomo trading terminal, follow these steps by going to the binomo.com website and preparing the option, indicating:
- Type of asset
- Expiration
- The size of the bet
- Forecast of quote movement: DOWN
- Click the “buy” button and follow the results.
Real reviews of traders about Binomo
Bonuses broker Binomo
A separate advantage of Binomo should be considered a large number of promotions and offers, which you can find here. Working on the platform with bonuses, the trader not only gets a good chance of a decent income, but can also get the most out of trading faster.
Binomo Weekly Tournament
Weekly free tournaments from Binomo are an opportunity to get real money without your own investments. They can be withdrawn in any convenient way or put into trading with a broker. Such tournaments are held on Thursdays, traders with any experience who have a demo account with a broker can participate in them. The main prize, which is awarded to the winner with the highest profit during the tournament, is options in the amount of $ 150.
Participate in the Binomo tournament
