Guppy Binary Options Strategy
The Guppy binary options system may have a ridiculous name, but its results are not ridiculous at all. This is a fantastic strategy for beginners and experienced traders that provides a series of simple signals to identify prevailing trends.
It was first described by Darrrill Guppy, an experienced trader, in his book Trend Trading. His system is based on wave theory, uses a complex of moving averages , and takes as a basis the analysis of multiple time frames without using multiple graphs.
Who Is Daryl Guppy?
Daryl Guppy is a trader from Australia. Actually, “Guppi” is read correctly, but in Russia everyone calls it like a guppy fish, it’s funny. One day a brilliant idea occurred to him. If everyone uses MA so often, why not take full advantage of them, without denying yourself anything? This is how the Guppy strategy, consisting of 13 moving averages, was born.
What is the Guppy system?
The Guppy system for binary options is not aquarium equipment, if that’s what you’re thinking of. This is a simple and effective strategy based on moving averages. The main and most difficult part of it is the settings. “Guppies” uses 13 exponential moving averages, divided into 3 groups.
The first two groups are six moving averages (6 short-term averages and 6 long-term averages), the third group consists of one moving average, 200 bar. The average averages are 3,5,8,10,12 and 15, the long-term averages are 30, 35, 40, 45, 50 and 60.
The first group is highlighted in light blue, the second in dark blue, and the 200 bar in red. The 200 bar can be replaced by the 150 for volatile assets, and you can switch the entire spectrum to simple moving averages if you need to get more false signals. The original system was designed for short-term trading using 5-minute charts.
“Guppies” is a trend following strategy, if it moves up, look for bearish signals. Signals are generated when short-term and long-term moving averages cross above the 200 bar average, in a trend line. All moving averages must intersect in order for the signal to have strength. As soon as the first signal is generated, an additional signal will be generated immediately.
Strong signals are generated when prices change direction in the long run. You can get a signal by observing the spread between the moving averages: if they are wide, you need to wait, if they are narrow, you can buy.
Disadvantages of the strategy
This strategy can have only one drawback – sometimes you have to wait a long time for the necessary signal for binary options, even if a five-minute chart is used. Signals are generated based on the complete intersection of the short-term and long-term moving average, so that it will take a certain amount of time to confirm each reverse movement.
Why doesn’t Guppy have any flaws?
There are no serious drawbacks to this strategy. It can take a lot of time, as it will take time for the trend to be established, but the signals received will be really good. In addition, as soon as you catch the opposite direction, you will be able to get a certain number of signals following it, this will happen until the next price turn. You can trust the strategy because. It is based on several serious methods of analysis and can be used on many time frames.
The system “Guppy” at the broker Binomo
To trade with the profitable Guppy strategy as comfortable as possible, we recommend working in a reliable functional terminal, such as that provided to a Russian trader by a successful broker Binomo.
Its platform offers advanced customization options: chart view, indicators, a wide selection of options and expiration dates, as well as professional technical support, convenient withdrawal and deposit of funds, many promotions and bonuses – all this makes binary options trading more profitable and interesting. You can get acquainted with real reviews about the Binomo broker, as well as get involved in an active discussion of active 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 Finmax 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.
Bonuses broker Binomo
The official website of Binomo offers a variety of promotions and special offers, which traders can familiarize themselves with here. Working on the platform using bonuses, you save your budget and get a good chance of a decent income without personal expenses.
Binomo Weekly Tournament
Weekly free Binomo tournaments are an opportunity to get real money as a gift, while not investing your own investments in trading. 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
Findings
The Guppy system, although it has a funny name, but the results of its work are far from ridiculous. It generates a good income that you can count on if you have patience. Depending on the market and/or time frame, it generates high-quality signals that can be traded.
Its advantage is that this system is perfect for any asset and can be used in any time frame, you can customize it as you need. The system is recommended for beginners and experienced traders, as it generates easy-to-read signals and is ideal for binary options trading.
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