Options trading in trading is becoming more and more popular today. In many ways, this is due to the opportunity to get real earnings on the Internet. Options become more accessible thanks to productive strategies that have already been tested in practice and trust in them is justified.
The “Sneaky investor” strategy is one of the simple, but reliable and highly profitable, which will allow you to save your funds on deposit and get a decent income. This system will allow you to forget about worries about the possible loss of the deposit, make the process of working in the market simple, and its result is expected.
Despite the stereotypes, short-term strategies can be low-frequency and accurate in the signals generated. Being short-term, the “Sneaky investor” strategy is used on a five-minute chart, but involves opening no more than 3-7 trades per week.
Preparatory stage
In order to start working on the “Sneaky investor” strategy, you need to open the MetaTrader 4 terminal. If you don’t have this platform, you can download it here.
After you have installed and opened the program, add the strategy archive to the root folder of the terminal, you can download it here. You can learn how to install indicators and trading strategies in MetaTrader here.
Also, for convenience , use the video instructions for this strategy:
So, the strategy files are added to the terminal, all that remains is to add them to the price chart, and if there are no errors and everything is installed correctly, the chart will look like this:
Indicators
Bollinger Bands
is a channel trend indicator that determines the moments when the price goes beyond normal values (occurs in the event of a breakthrough of the boundaries of one of the bands).- Ozzymandias is an instrument presented on the chart in the form of a blue broken moving line. His role in strategy is to show the general direction he chooses by analyzing the movement of all Moving Average strategies.
- Super Trend is a histogram indicator that assesses the state of strength/weakness of the trend (blue bar is an uptrend; red is a downtrend).
- Additionally, the strategy uses an arrow indicator, which was originally necessary to determine favorable entry moments. During testing, it was found that the accuracy of signals without this tool is much higher, therefore, when analyzing the rules of the trading system, we ignore its data.
The logic of the strategy
The “Cowardly Investor” strategy finds strong short-term trend impulses that are more likely to be implemented in the next half hour. So, it seems possible to implement the system in the following cases:
- during periods when a global trend is formed (in the direction of movement);
- during periods of sideways market condition (when the bands of the Bollinger indicator are not narrowed and are at a sufficient distance (over 30 points) from each other).
The success of this strategy will be based on the ability to find a “clean” signal that will have a 90% probability of implementation.
Conditions for the purchase of a CALL option
The main signal of the “Cowardly Investor” strategy to buy a CALL option occurs at the moments when the Ozzymandias line has crossed the middle band of the Bollinger Bands in the bottom-up direction. Then the following conditions must be met (see image below):
- most of the candlestick where the crossover occurred should close above Ozzymandias, the middle of the Bollinger Bands, and all subside MAs;
- the Super Trend bar should be blue;
When these conditions are met, after closing the signal candle, you can enter the buy. The expiration period is 6 candles (i.e. 30 minutes). As an asset, choose classic bundles, for example, “euro-dollar”. The size of one bet should not exceed 3% of your deposit.
Terms and Conditions for Selling a PCI Option
To sell a PCI option (down), the following conditions must be met (see image below):
- Ozzymandias crossed the middle band of the Bollinger Bands in a top-down direction.
- The main part of the signal candle closed under Ozzymandias, the middle of the Bollinger Bands and the rest of the MA.
- Super Trend has a red color.
When these conditions are met, when a new candle is formed, you can enter the sale. Timeframe – M5; Expiration – 30 minutes. The size of the bet should not exceed 3% of your deposit.
The “Cowardly Investor” strategy at the FiNMAX broker
Work with strategy signals in the terminal of a reliable broker FiNMAX, while getting a good income. Advantages of the broker: a modern convenient trading platform equipped with the necessary tools; Guarantee of high profits, a simple personal account, fast withdrawal of funds. You can see what the terminal workspace looks like in the image below. By choosing a FinMax broker, you increase the effectiveness of the “Cowardly Investor” strategy several times!
A detailed review of the FiNMAX broker is here.
Go to the official website of the FiNMAX broker here.
In order to purchase a
CALL
option in the FiNMAX trading terminal, follow these steps by going to the finmaxbo.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 purchase a
PCI
option in the FiNMAX trading terminal, follow these steps by going to the finmaxbo.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.
FiNMAX broker bonuses
The official website of FiNMAX constantly holds promotions and contests for its users, which can be found here. By trading with bonuses, you save personal money, making your work with the broker much more effective.
Tournament on demo accounts from FiNMAX
Free tournaments of the official FiNMAX website are held for market players with any trading experience who have a demo account on the broker’s platform. The tournament supports talented traders, giving them the opportunity to get real money for further trading without replenishing the deposit. This money can be withdrawn in any convenient way or traded on the broker’s site. In this way, FiNMAX makes trading possible without personal investment.
Participate in the FiNMAX tournament
Findings
In general, it is not so difficult to understand how to make a profit in trading, the main thing is to know how to do it. A proven way to get a stable profit is the classic short-term strategy “Sneaky investor”. This trading system is easy to use, generates productive signals that even a beginner of options can use. The efficiency of this trading system is high. If it is important for you to get a good income from trading, this strategy will help you achieve your goal.
Usually, professional traders are not limited to one or two strategies, constantly learning new trading systems. Based on your experience, it is important to form your strategy. In this case, the intensity of trade is not so important. And, if the strategy gives one signal per year, then, in the case of high profitability and high probability of implementation, it is worth using.
Do you want to achieve more in trading or are you just starting your journey in options? Study indicators and strategies, take advantage of the rating of brokers, open an account and convert your knowledge into profit.
Tagged with: Binary Options Strategy